A Charitable Remainder Annuity Trust, is a Planned Giving vehicle that entails a donor placing a major gift of cash or property into a trust. The trust then pays a fixed amount of income each year to the donor or the donor's specified beneficiary. When the donor dies, the remainder of the trust is transferred to the charity. For example if I wanted to "" or "sell my gold" I would contact a collateral lender or pawnshop in say Beverly Hills or Los Angeles, get the most cash for it, then make the money work for me by investing in a charitable remainder annuity trust, a portion of this is paid to you every month and the portion of this that remains in account when the investor passes is donated to a charity or given to the listed beneficiary named, instead of letting that value set in a jewelry box, when you "sell your gold" or sell your diamond the money works for you, and dose good for the charity named.
Charitable trusts such as a CRAT require a trustee. Sometimes the charity is named as trustee, other times it is a third party such as an attorney, a bank or a financial advisor.
Famous quotes containing the words charitable, remainder and/or trust:
“Family ... the home of all social evil, a charitable institution for comfortable women, an anchorage for house-fathers, and a hell for children.”
—J. August Strindberg (1849–1912)
“The route through childhood is shaped by many forces, and it differs for each of us. Our biological inheritance, the temperament with which we are born, the care we receive, our family relationships, the place where we grow up, the schools we attend, the culture in which we participate, and the historical period in which we live—all these affect the paths we take through childhood and condition the remainder of our lives.”
—Robert H. Wozniak (20th century)
“I trust that some may be as near and dear to Buddha, or Christ, or Swedenborg, who are without the pale of their churches.”
—Henry David Thoreau (1817–1862)