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Support Audubon >Planned Giving
Charitable Remainder Unitrusts
(Gift example*)
You are considering a gift to Audubon of $250,000, but you are concerned about the capital gains consequences of liquidating assets, and reducing your and your spouse's cash flow.
You and your spouse, ages 70 and 68, own a small commercial building that has doubled in value and consequently generated several offers to purchase. You decide to place the building into a unitrust that will pay 5% of the trust's value for your lifetime (initially from the rental income from the building, then a percentage of the proceeds of its sale) to the two of you. After the donors’ lifetimes, the remainder of the unitrust will go to Audubon.
What are your benefits?
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Comparison
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Unitrust
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Private Sale
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Amount transferred
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$250,000
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$250,000
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Capital Gains Tax (@15%):
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0
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$18,750
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Net for reinvestment
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$250,000
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$231,250
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First year's income
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$12,500
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$11,562
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Charitable deduction
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$101,328
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0
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Tax savings @ 35% rate
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$33,438
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0
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Total benefit, first year
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$45,938*
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$11,562
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* Unitrust payment plus tax savings from charitable deduction
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Click here to calculate the benefits a unitrust would give you.
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*This example is based on a factor that changes monthly. Contact our office for a personal illustration based on the latest rates.
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For more information
Email us, complete the personal illustration form, or call us at 212-979-3033 so that we can assist you through every step of the process.
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