Charitable Remainder Trust
Be Forever Generous
Providing for loved ones and fulfilling your philanthropic goals does not have to be an "either/or" proposition. Life income gifts, such as a Charitable Remainder Trust (CRT), may be the answer to assuring the future of both your loved ones and the IEEE Foundation.
CRTs enable you to support one or more charities that have a special meaning for you, while retaining the security of income for you and/or your loved ones. CRTs are irrevocable and tax-exempt, therefore they can offer attractive tax benefits. You as the donor will:
- Receive regular income payment for life (or term of years)
- Get an income tax deduction for a substantial portion of the value of the gift you make to establish the CRT
- Avoid capital gains tax on the appreciated assets you use to establish the trust
- Know that your gift will help shape the future of the engineering profession
- Become a member of the IEEE Goldsmith Legacy League
CRTs provide for and maintain two sets of beneficiaries. The first is the income beneficiaries who receive income from the trust for life, or a term of years. This can be anyone - you, your spouse, a child, a sibling - anyone. The second set is the charitable beneficiaries you name. The charities will receive the remaining principal of the trust.
There are two types of CRTs:
Charitable Remainder Unitrust (CRUT) pays out an amount, at least 5% and not more than 50%, of the annual value of trust assets to the income beneficiary. CRUTs are the more flexible of the two types and allow for additional contributions. CRUTs generally produce higher amounts of income but a smaller tax deduction. CRUTs are good for someone looking to grow their income stream as the trust value grows over the years.
Charitable Remainder Annuity Trust (CRAT) pays a fixed dollar amount, at least 5% and not more than 50%, of the initial fair market value of trust assets to the income beneficiaries. No additions to the principal may be made once a CRAT is established. CRATs are good for someone who wants to guarantee a fixed income stream each and every year, regardless of the performance of the trust.
If you decide a CRT is right for you, or you already have one, please consider including the IEEE Foundation as one of your charitable beneficiaries. You have the option of specifying which IEEE Foundation program or initiative you would like your gift to ultimately support. To establish or modify a Charitable Remainder Trust, consult your legal advisors. To implement your wishes, your attorney may need the following information:
IEEE Foundation, Incorporated
Employer Identification Number (EIN):
Join the IEEE Goldsmith Legacy League
If you decide to name the IEEE Foundation as a beneficiary of your Charitable Remainder Trust, we hope you will share the good news with us. This will allow us to thank you for your generosity and recognize you during your lifetime by adding you to the roster of the IEEE Goldsmith Legacy League, the IEEE Foundation's planned giving recognition group. If you prefer to remain anonymous, we will honor your wishes and include you as an anonymous donor.
For more information, or to hold a confidential discussion, please contact:
Stan H. Retif
The information on this site is for educational purposes only and is not intended as legal, tax or investment advice. If you are considering a planned gift to the IEEE Foundation, we highly recommend you consult with your own tax and legal advisors to determine the best options for you.
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