Charitable Trusts at Baldwin Wallace University

Charitable remainder trusts (CRTs) are a popular option for donors to consider in their financial planning.  Charitable trusts offer a variety of income tax, estate tax and investment benefits.

Through the creation of a charitable trust document, a donor gives property to a trust, managed by a trustee.  The trustee is empowered to invest the assets, provide income to a beneficiary and ultimately distribute the assets to charity.

Current tax law allows for a variety of CRT structures.  Donors can choose to be paid a fixed amount per year (annuity trust) or a percentage payment (unitrust).  The term of the trust can be a lifetime or term of years.  Payments can begin right away or delayed for a particular term.  Tax savings may be significant—donors obtain a current income tax deduction, avoid immediate payment of capital gains taxes and reduce the value of their taxable estates.  

Baldwin Wallace University serves as trustee of charitable trusts at no charge.  Our staff of gift planning professionals is experienced in all phases of trust administration.  We offer assistance in creating trusts, as well as administration, including remittance of income, statement reporting, and tax information preparation.  Investment counsel is also available through the Baldwin Wallace charitable trust investment committee.

Curious about the financial benefits of a charitable trust?  Our GiftCalcs service illustrates your options in designing a charitable trust - allowing you to choose the payout percentages, length of trust term and other features. 

Because of the variety and complexity of charitable trusts, legal counsel is recommended for all donors who are considering this form of gift.

The Baldwin Wallace University Office of Gift Planning welcomes  inquiries about charitable trusts.  We are pleased to provide illustrations of the benefits of a CRT.  Please contact Mike Walczak (mwalczak@bw.edu) at 440/826-3558 or Tom Konkoly (tkonkoly@bw.edu) at 440/826-3460.

 

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