Planned Giving Tip of Week: Charitable Remainder Trust

Just in time for March Madness, CFO is ready to put on a full court press for planned giving. The Foundation’s board of directors has challenged the organization to enlist at least one new Legacy Society member from each affiliate and 20 new members from metropolitan Springfield during this fiscal year. Between now and the end of March Madness you will receive a weekly tip on how to make a simple planned giving commitment. These commitments are important; they truly will make a difference down the road and they encourage others to think about giving back to their communities. This week’s tip is:

Charitable Remainder Trust

Creation of a Charitable Remainder Trust during your lifetime can provide significant advantages for you, particularly when it is funded with highly appreciated property. This arrangement involves the irrevocable transfer of assets (most often stocks or real estate) to a Trust, retaining for yourself (or yourself and your spouse) an “annuity” payment for your lifetime or for a term of years, with the remaining assets of the Trust passing to charity at your death (or the death of the survivor of you and your spouse), or upon the expiration of the term of years.

You are entitled to an immediate charitable income tax deduction for the present value of the charity’s future right to receive the trust assets. Additionally, if the Trustee of the Charitable Trust sells the appreciated assets which you transferred to the Trust, you are able to avoid the immediate imposition of capital gains taxes on that sale. The trust will provide a benefit for you (or you and your spouse) for your lifetime and, at your death, the remaining trust assets will pass to the charity without the necessity of probate and qualifying for an estate tax charitable deduction.

You can review past editions of CFO’s Planned Giving Tip of the Week on our web site. Past tips include:

Please remember that the Community Foundation of the Ozarks staff stands ready to assist you in this effort. A major part of our website ( is dedicated to planned giving, and we have a simple form that signifies your charitable planned giving commitment. In these challenging economic times, this is something that all of us can do to support the community foundation movement. Please contact Gary Funk or Winter Skelton at (417) 864-6199 if you would like to discuss this planned giving option.

As always, thanks for all that you do for the Ozarks!

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