Charitable remainder trusts (CRTs) are gift arrangements that enable you to contribute to the Kerry Blue Terrrier Foundation while providing lifetime income or income for a fixed number of years for you and/or someone important to you. Charitable remainder trusts can be tailored to your assets, income requirements, and financial objectives. Upon termination of the trust, the principal is distributed to the Kerry Blue Terrrier Foundation.
There are two types of charitable remainder trusts. A charitable remainder annuity trust provides a fixed dollar payment. When you set up the annuity trust, you determine the payout rate - which, by law, must be at least five percent of the initial fair market value of the trust. You may not add assets to an annuity trust. A charitable remainder unitrust provides a variable income payment. When you set up the unitrust, you determine the fixed annual payout rate (not below 5 percent). Every year (generally January 1), the fair market value of the trust's assets are revalued. Distributions will vary in relation to the changing market value of the revalued assets in the trust. You may add assets to a unitrust. If the principal grows over time, the great advantage of the unitrust is that distributions grow as well.
John Van den Bergh, President