Charitable Giving

Charitable giving can be the answer to your income needs. Not only can you benefit yourself, but you can also benefit your family and leave behind a legacy.

If you are like many people today, you own highly appreciated assets such as real estate or stock that you are reluctant to sell because of the significant capital gains taxes you would owe. At the same time, you may be looking for ways to increase your income or diversify your portfolio. Usually, that would mean selling those highly appreciated assets, paying the high taxes and reinvesting with a substantially reduced amount. Fortunately, there may be a solution to your dilemma - The Charitable Remainder Trust.

A Charitable Remainder Trust, also known as a CRT, was created with the tax reform act of 1969. It's an irrevocable trust designed to convert an investor's highly appreciated assets into a lifetime income stream without generating estate and capital gains taxes. CRT's have become very popular in recent years because they not only represent a valuable tax-advantaged investment, but also enable you to provide a gift to one or more charities that have special meaning to you. A CRT can potentially:

  • Eliminate immediate capital gains taxes on the sale of appreciated assets, such as stocks, bonds, real estate and just about any other asset.

  • Reduce estate taxes of up to 55% that your heirs might have to pay upon your death.

  • Reduce current income taxes with a sizable income tax deduction.

  • Increase your spendable income throughout the rest of your life.

  • Create a significant Charitable Gift.

  • Avoid probate and maximize the assets your family will receive after your death.

When you establish a CRT, you or another beneficiary, such as your spouse or another family member, receive income from the trust for life or for a term of up to 20 years.

When the trust ends, the remaining assets pass to the qualified charity or charities of your choice.

For additional information, fill out the form on our Request Free Information Page. You will receive a sample proposal along with a questionnaire that you can complete and return for your own FREE customized proposal. Many estate-planning firms charge $500.00 or more to develop this type of detailed proposal. Find out if a Charitable Remainder Trust is the answer to your investment needs.

Click here for FREE information on Charitable Giving using a CRT.



Harding Financial Services, LLC
The information contained on this site is for educational purposes only, it is not intended to be professional tax or legal advise; consult a tax advisor about your specific situation.


Annuity Trust (CRAT)

"The best and most beautiful things in the world cannot be seen or even touched. They must be felt with the heart."
- Helen Keller