Charitable Remainder Trusts

The use of charitable remainder trusts (CRTs) is a popular way to make a generous charitable contribution, receive tax savings and provide an income stream for you and your family.

While the concept of a charitable remainder trust is simple, there are many details to be considered, so please consult your own attorney and tax advisor before you decide what method of giving is right for your situation.

How it Works

1. The donor creates a charitable remainder trust and donates cash or appreciated property (such as stocks or land) to that trust.
2. The appreciated assets are sold and invested for income. No capital gains tax is due at the time of the transfer of these assets to the trust.
3. The donor or his beneficiary receives payments for life from the trust. The donor may be entitled to a current income tax deduction for the value of the donated assets (reduced by the value of the payments to the beneficiaries for their lives).
4. The “remainder” of the trust passes to the charity, usually upon the death of the beneficiaries.
5. There may be estate tax savings.

CRTs can be funded with cash, appreciated securities, real estate, or other assets with a value of at least $100,000. For donors who wish to make contributions of cash or securities of lesser amounts and receive similar benefits, Shriners Children's offers Charitable Gift Annuities.

For More Information

For more information on supporting Shriners Hospitals for Children® through a planned gift, please contact the Planned and Major Gift office at 813-367-2241 or by email at plannedgiving@shrinenet.org. Shriners Hospitals for Children® is a fully qualified 501(c)3 charitable organization under IRS regulations. Donations are tax-deductible to the fullest extent provided by law.