Charitable Remainder Trust
Solutions for Large Donations
If you have built a sizable estate and also are looking for ways to receive reliable payments, consider a charitable remainder trust. At the end of the trust term, the balance in the trust goes to the H. E. Butt Foundation.
These types of gifts may offer you tax benefits and the option for income. There are two ways to receive payments and each has its own benefits:
The annuity trust pays you, each year, the same dollar amount you choose at the start. Your payments stay the same, regardless of fluctuations in trust investments.
The unitrust pays you, each year, a variable amount based on a fixed percentage of the fair market value of the trust assets. The amount of your payments is redetermined annually. If the value of the trust increases, so do your payments. If the value decreases, however, so will your payments.
See which type of charitable trust best fits your estate plan with the FREE guide Choose From 2 Win-Win Ways to Donate.View My Guide
Calculate Your Benefits
Submit a few details and see how a charitable remainder trust can benefit you.
Not Sure How to Begin Planning?
Our complimentary resource will walk you through the estate planning process step-by-step.Download My Kit
An Example of How It Works
"Susan", 75, wants to make a gift to the H. E. Butt Foundation but would also like more income in the future. "Susan" creates a charitable remainder unitrust with annual lifetime payments to her equal to 5% of the fair market value of the trust assets as revalued annually. She funds the trust with assets valued at $500,000.
"Susan" receives $25,000 the first year from the trust. Subsequent payment amounts vary each year depending on the annual valuations of the trust assets. She is eligible for a federal income tax charitable deduction of $299,845* in the year she creates and funds the trust. This deduction saves "Susan" $95,950 in her 32% tax bracket.
*Based on a 1.2% charitable midterm federal rate. Deductions and calculations will vary depending on your personal circumstances.
- Contact Claudia San Miguel at 830-315-9240 or CSanMiguel@hebfdn.org to talk about supporting the H. E. Butt Foundation by setting up a charitable remainder trust.
- Seek the advice of your financial or legal advisor.
- If you include the H. E. Butt Foundation in your plans, please use our legal name and federal tax ID.
Legal Name: Friends of H.E. Butt Foundation
Address: 719 Earl Garrett Street, Kerrville, TX 78028
Federal Tax ID Number: 74-2749249