Charitable Remainder Trust
A Charitable Remainder Trust (CRT) is a financial arrangement where a person donates assets to a trust, which then pays them or their beneficiaries income for a set period or for life. After this period, the remaining assets in the trust go to a charity of the donor's choice. This setup allows the donor to receive a charitable tax deduction, generate income during their lifetime, and support a charitable cause after their death, combining philanthropy with financial benefits.
Additional Insights
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A charitable remainder trust (CRT) is a financial arrangement where you place assets into a trust that provides income to you or your beneficiaries for a set period, after which the remaining assets go to a charity. This allows you to receive income while benefiting a charitable cause later. Additionally, you may receive tax benefits, such as a charitable deduction when you create the trust. CRTs can be a strategic way to manage charitable giving, retirement income, and estate planning.