Enjoy Payments and Minimize Potential Taxes
A charitable remainder trust is a special kind of irrevocable trust that you can establish either during your lifetime or in your will. Either way, Hadassah benefits, and so do you.
Consult with your estate planning attorney or other financial advisor to discuss whether a charitable remainder trust is right for you.
How does it work?
- You may establish a charitable remainder trust by donating funds (minimum $100,000) in cash or appreciated securities to Hadassah, and entering into a written trust agreement with Hadassah, naming Hadassah as the trustee and the ultimate beneficiary of the trust funds. As an alternative, you may establish a charitable remainder trust with a bank or other trustee of your choice and name Hadassah (and other charities) as the ultimate beneficiaries of the funds.
- The trust makes regular payments to you for life or, if you prefer, for a fixed term up to 20 years. You may also choose for others to receive payments, such as your spouse, children, or grandchildren. The trust payout rate must be at least 5 percent. The trust payout is negotiated between you and the trustee you select to manage your charitable remainder trust.
- At the end of the trust term, the remaining amount in the trust is available for Hadassah's use.
With this type of gift you can:
- Receive a federal income tax charitable deduction for a portion of your gift’s value, depending on your tax situation.
- Pay no up-front capital gains tax when you donate appreciated assets.
- Potentially enjoy other tax benefits, depending on how the trust assets are invested.
- Provide long-term support for Hadassah's life-saving and life-enhancing work.
Options to Consider
- Charitable Remainder Annuity Trust. This type of trust pays you, year after year, a fixed dollar amount you select at the outset. The payments are fixed, based on the starting valuation.
- Charitable Remainder Unitrust. This type of trust pays you, each year, a variable amount based on a set percentage of the value of the trust assets, recalculated annually.
We invite you to use this interactive tool to calculate your potential benefits of a charitable remainder trust.
- Contact us at 800-428-8884 or firstname.lastname@example.org with any questions.
- Seek the advice of your financial or legal advisor.
- Please use our legal name, address and Federal Tax ID if incorporating Hadassah into your estate plans.
Legal Name: Hadassah, The Women's Zionist Organization of America, Inc. Address: 40 Wall Street, New York, NY 10005 Federal Tax ID No.: 13-1656651
The information and content contained herein are intended for educational purposes only and are not intended to provide legal, tax or other professional advice or to be relied upon. We encourage you to consult with an attorney, tax advisor or accountant.