A charitable trust can be a wonderful way to support the life-changing work of Cal Farley’s, while at the same time providing additional income to you and/or others you choose. There are two primary options to consider when looking for the trust that best-suits your planning needs:
Charitable remainder trusts
Charitable remainder trusts provide for a meaningful future gift to Cal Farley’s after first providing income to you and/or others for life or other period of time you decide. They provide an income-tax deduction and allow you to bypass capital gains taxes on assets that have increased in value at the time you fund the trust. When the trust ends, the remaining funds are used by Cal Farley’s to help pass along the timeless values of integrity, faith and perseverance.
Your Cal Farley’s charitable remainder trust can come in one of two forms:
- Fixed income — A “charitable remainder annuity trust” makes fixed annual payments to you or others you choose.
- Variable income — A “charitable remainder unitrust” makes variable payments to you and/or others. The payments will vary as the value of the assets in the trust changes each year.
Cal Farley’s is pleased to help you in any way we can. Contact our planned giving team at:
Thank you for your interest in supporting Cal Farley’s!
Charitable lead trusts
A charitable lead trust provides income to Cal Farley’s for a period of time you choose, either a fixed number of years or one or more persons’ lives.
There are two types of charitable lead trusts:
- Grantor lead trust — You retain ownership of the trust. You will be entitled to an immediate income tax deduction for the value of future payments to Cal Farley’s, but income from the trust will appear each year on your tax return as it is earned. You are allowed an income tax deduction for income that will not be taxable until a future date.
- Non-grantor lead trust — A non-grantor lead trust makes payments to Cal Farley’s for the period of time you choose, but will not be returned to you. While there are no immediate income tax advantages under this option, you will not be liable for federal gift or estate tax on all or a portion of the assets that eventually pass to your family or others you choose.
Cal Farley’s provides this information as a courtesy to our generous supporters. It is not intended to offer professional financial, accounting or tax advice. Always consult with your financial adviser before making decisions affecting your long-term financial planning.