Discover a Gift That Is Truly Win-Win
Looking for a way to give Roberts Wesleyan a significant gift? If you have built up a sizeable estate and are also looking for ways to receive reliable payments, you may want to check out the advantages of setting up a charitable remainder trust.
Benefits of a charitable remainder trust include:
- Potential for a partial charitable income tax deduction
- Potential for increased income
- Up-front capital gains tax avoidance
There are two ways to receive payments with charitable remainder trusts:
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.
Example Scenario
Thomas wants to make a gift to Roberts Wesleyan but would also like more income in the future. He creates a charitable remainder unitrust with annual lifetime payments to him equal to 5% of the fair market value of the trust assets as revalued annually. He funds the trust with assets valued at $500,000.
Thomas receives $25,000 the first year from the trust. Subsequent payment amounts vary each year depending on the annual valuations of the trust assets. He is eligible for a federal income tax charitable deduction of $290,360* in the year the trust is created and funded. This deduction saves him $92,915 in his 32% tax bracket.
*Based on a 5.2% charitable midterm federal rate. Deductions and calculations will vary depending on your personal circumstances.
How do I fund it?
Your options include:
- Cash
- Appreciated securities
- Closely held stock
- Real estate
- Retirement plan assets
- Tangible personal property
Calculate Your Benefits
Submit a few details and see how a charitable remainder trust can benefit you.
Next Steps
- Contact Marna Distaffen at 585-594-6535 or distaffenm@roberts.edu to talk about supporting Roberts Wesleyan University.
- Seek the advice of your financial or legal advisor.
- If you include Roberts Wesleyan in your plans, please use our legal name and Federal Tax ID.
- Legal Name: Roberts Wesleyan Universit
- Address: 2301 Westside Drive, Rochester, NY 14624-1997
- Federal Tax ID Number: Please contact us for our federal tax ID number.
Information contained herein was accurate at the time of posting. The information on this website is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor. Figures cited in any examples are for illustrative purposes only. References to tax rates include federal taxes only and are subject to change. State law may further impact your individual results.
A copy of our most recently filed financial report is available from the Charities Registry on the New York State Attorney General’s website (www.charitiesnys.com) or, upon request, by contacting the New York State Attorney General, Charities Bureau, 28 Liberty Street, New York, NY 10005, or us at 2301 Westside Drive, Rochester, NY 14624-1997. You also may obtain information on charitable organizations from the New York State Office of the Attorney General at www.charitiesnys.com or (212) 416-8401.