Provide for Your Loved Ones and Rose Community Foundation
Charitable Lead Trusts
Do you want to benefit from the tax savings that result from supporting Rose Community Foundation, yet you don't want to give up any assets that you'd like your family to receive someday? You can have it both ways with a charitable lead trust.
There are two ways charitable lead trusts make payments:
Each year, the charitable lead annuity trust pays a fixed amount to Rose Community Foundation. The annuity payments can be added to a donor-advised fund for your philanthropic grant recommendations. Charitable lead annuity trusts tend to be more attractive when interest rates are low.
Each year, the charitable lead unitrust pays a variable amount based on the value of the assets in the trust. With a unitrust, if the trust's assets increase in value, the payments to Rose Community Foundation increase as well.
See which type of charitable trust best fits your estate plan with the free guide Choose From 2 Win-Win Ways to Donate.View My Guide
Delay Your Payments
If you are younger than 60 or don't need your payments immediately, you can set up a deferred gift annuity. This allows you to delay receiving payments until a later date—such as when you reach retirement. To learn more, view and download the free guide Plan for Retirement With a Deferred Gift Annuity.
An Example of How It Works
George would like to support his favorite organization and provide for his children. George received a windfall amount of income and needs a large income tax deduction to offset the income. Following his advisor's recommendation, George funds a grantor charitable lead annuity trust with assets valued at $1,000,000. George's trust pays $70,000 (7 percent of the initial fair market value) to his favorite organization each year for 15 years, which will total $1,050,000. After that, the balance in the trust reverts back to George. He receives an income tax charitable deduction of $854,311. Assuming the trust earns an average 6 percent annual rate of return, George receives approximately $767,240 at the end of the trust term.
*Assuming annual payments and a 3.2 percent charitable midterm federal rate.
Calculate Your Benefits
Submit a few details and see how a charitable lead trust can benefit you.
- Contact Judy Altenberg at 303.398.7407 or email@example.com to talk about supporting Rose Community Foundation by setting up a charitable lead trust.
- Seek the advice of your financial or legal advisor.
- If you include Rose Community Foundation in your plans, please use our legal name and federal tax ID.
Legal Name: Rose Community Foundation
Address: 600 S. Cherry Street, Suite 1200, Denver, CO 80246-1712
Federal Tax ID Number: #84-0518447
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The information on this website is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor. Figures cited in any examples are for illustrative purposes only. References to tax rates include federal taxes only and are subject to change. State law may further impact your individual results. Annuities are subject to regulation by the State of California. Payments under such agreements, however, are not protected or otherwise guaranteed by any government agency or the California Life and Health Insurance Guarantee Association. A charitable gift annuity is not regulated by the Oklahoma Insurance Department and is not protected by a guaranty association affiliated with the Oklahoma Insurance Department. Charitable gift annuities are not regulated by and are not under the jurisdiction of the South Dakota Division of Insurance.