Charitable Remainder Unitrust |
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The assets given to a charitable remainder unitrust are valued each year. The annual income payout is made based upon a fixed percentage determined when the trust is established. This allows for a variable payout from year to year, in contrast to the fixed dollar amount from the Charitable Remainder Annuity Trust.The unitrust is often used when inflation and its effect on the future purchasing power of a fixed income is a concern.
The same basic tax benefits that apply to a Charitable Remainder Annuity Trust also apply to the unitrust.
A Charitable Remainder Unitrust or a Charitable Remainder Annuity Trust is usually created with assets worth $100,000 or more.
