Attorneys specializing in estate planning or trust
officers at financial institutions will help guide you through the decision
making process of using a charitable trust to support the mission of Granville
Christian Academy. A few options of charitable trusts include:
Remainder Trust (CRT)
You may be concerned about the high cost of
capital gains tax with the sale of an appreciated asset. Perhaps you recently
sold property and are looking for a way to save on taxes this year and plan for
retirement. A charitable remainder trust might offer the solutions you need! Your cash or other assets fund the trust,
which then makes payments to you for your lifetime, or a specified number of
years, then distributes the remainder to Granville Christian Academy.
Remainder Annuity Trust (CRAT)
Annuity trusts allow the life income
beneficiary(ies) to receive annually a fixed dollar amount of the assets in the
trust. This form of trust is appropriate for those who prefer a fixed annual
income, unaffected by changes in the stock market, interest rates, and the
like. You may stipulate, for example,
that you receive a 5% to 6% return (or some other fixed sum) each year as a
result of setting up a $100,000 annuity trust.
With a lead trust you freeze the taxable value of
your appreciating assets and use them to make gifts today, then pass them on to
family later. In other words, your trust
is created with cash or property and set up to make payments to GCA for a
specified period, then distributes the trust assets to a designated
beneficiary, often a family member.
In many cases it will be wise to share your
charitable intentions with family members and we encourage you to do this. You may also want contact your CPA, attorney,
or financial advisor.
We can also offer ideas of professionals in our
community who may provide assistance to you as well.
Granville Christian Academy Inc. is an IRS
designated nonprofit corporation, EIN 47-1245702.