Charitable Remainder Unitrusts
A Charitable Remainder Unitrust is an irrevocable trust, which pays income to one or more beneficiaries and distributes the remainder to charity after the death of the beneficiaries, or a term of years. The Unitrust can be funded with cash, appreciated real estate, publicly traded stock, closely held stock, bonds, and other assets. Income payments can be variable, based on a percentage of Unitrust assets (valued at the first of each year). 
A Charitable Remainder Annuity Trust is an option for those desiring income payments at a fixed rate. The donor is entitled to an income tax deduction equal to the value of the remainder interest in the year that the trust is funded.
The Charitable Remainder Unitrust is an excellent tool for dealing with highly appreciated assets, which produce little or no income. If the donor were to sell these assets, capital gains tax would have to be paid, and there would be a smaller amount left to invest. However, if the donor contributes the appreciated asset to a Charitable Remainder Unitrust, the trust can sell the asset and invest the entire proceeds for the benefit of the donor and family, because the trust is not subject to capital gains tax.
Charitable Remainder Unitrusts can also be used creatively to set aside funds for retirement. Further income tax advantages can be obtained by naming a Charitable Remainder Unitrust as the beneficiary of an IRA or other retirement account. The funds can be invested in the trust to produce income for children or other heirs.
Please see our helpful Charitable Remainder Unitrust Brochure Lifetime Advantage.
Moody Bible Institute has a long established Planned Giving program in which attorneys may be able to provide assistance to you for your estate plan when you have strong charitable intent for the ministries of Moody. If you would like to learn more about Charitable Remainder Unitrust opportunities, or if you would like to meet with a Moody Giving Representative, please contact our Stewardship office.