 |
            |
|
Charitable Instruments...which one is best for your client Let CCF staff work with you and your clients to choose from several types of deferred giving arrangements. Some choices can be structured to provide a life income for your clients’ loved ones. Charitable Remainder Funds A charitable remainder trust pays your client and/or chosen beneficiary a fixed or variable income for life - or for a fixed term not to exceed 20 years. Your client can also choose to have a combination of the two types. When the term of the trust ends, the remaining property passes to a charitable beneficiary, such as a CCF fund. With this type of trust, your client realizes greater spendable income, saves capital gains tax and reduces estate taxes, while receiving professional management of the assets in trust and a degree of financial protection. Your client will also receive a charitable income tax deduction equal to the current value of the future gift to CCF. Charitable Lead Trust A charitable lead trust is the reverse of a charitable remainder trust and provides your clients a means to transfer property to family members at a lower tax cost. This is particularly useful for property that may appreciate in value. Your clients may establish this type of trust through their wills or during life and can provide annuity or unitrust payments to charitable funds at CCF, for any term of years. When the term ends, the remaining principal is paid to your clients or any non-charitable beneficiary. For a life trust, your clients generally will not have to pay income tax on the income from the assets placed in the trust and may reduce the gift tax on the property which will eventually pass to their heirs. If your clients create the trust via their wills, the trust will substantially reduce estate taxes because of the charitable deductions resulting from the gift to charity. The value of the charitable interest depends on the length of the trust and the amount or percentage they wish to be paid out to charity each year. Their family members may receive substantially more because of these estate tax savings than if they left them the property outright. Life Estates Your clients may give their home or property to CCF and retain the right to live there until they die. This allows their estate to take a charitable deduction for the current value of the remainder of the property after they die and thereby avoid any potential capital gains taxes if the property appreciates. They would deed the property to CCF and CCF would manage it for them, paying the taxes etc. When the life estate ends, the real estate is sold and the proceeds are used to support the charities they designated. For more information, contact CCF at: 843-723-3635. |
Neighborhood leaders receive 2005-2006 grants through the N.E.W. Fund (Neighborhoods Energized to Win) to improve their communities with safe playgrounds, senior centers, after-school programs and more. Grant recipients also attend leadership training workshops to improve their organizational and motivational skills. |