Charitable Remainder Annuity Trust
Jump to navigation
Jump to search
 | The examples and perspective in this article deal primarily with the United States and do not represent a worldwide view of the subject. (May 2016) (Learn how and when to remove this template message) |
 | This article does not cite any sources. (December 2009) (Learn how and when to remove this template message) |
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.
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.
