Charitable Remainder Trust

Solutions for Large Donations

If you have built a sizable estate and also are looking for ways to receive reliable payments, consider a charitable remainder trust. This type of trust provides you or other named individuals income each year for life or a period not exceeding 20 years from assets you give to the trust you create. At the end of the trust term, the balance in the trust goes to Willamette University.

These types of gifts may offer you tax benefits and the option for income. There are two ways to receive payments and each has its own benefits:

The annuity trust pays you, each year, the same dollar amount you choose at the start. Your payments stay the same, regardless of fluctuations in trust investments.

The unitrust pays you, each year, a variable amount based on a fixed percentage of the fair market value of the trust assets. The amount of your payments is redetermined annually. If the value of the trust increases, so do your payments. If the value decreases, however, so will your payments.

An Example of How It Works

Woman hugging dog Ashley, 75, wants to make a gift to Willamette but would also like more income in the future. Ashley creates a charitable remainder unitrust with annual lifetime payments equal to 5% of the fair market value of the trust assets as revalued annually, and funds the trust with assets valued at $500,000.

Ashley receives $25,000 the first year from the trust. Subsequent payment amounts vary each year depending on the annual valuations of the trust assets. Ashley is eligible for a federal income tax charitable deduction of $290,360* in the year the trust is created and funded. This deduction saves Ashley $92,915 in their 32% tax bracket.

*Based on a 5.2% charitable midterm federal rate. Deductions and calculations will vary depending on your personal circumstances.

Fund Your Donation With:

Calculate Your Benefits

Submit a few details and see how a charitable remainder trust can benefit you.

See My Benefits

Next Steps

Contact the Office of Gift Planning at 503-370-6546 or giftplanning@willamette.edu to talk about supporting Willamette University by setting up a charitable remainder trust.
Seek the advice of your financial or legal advisor.
If you include Willamette University in your plans, please use our legal name and federal tax ID.

Legal name: Willamette University
Address: 900 State Street, Salem, OR 97301
Federal tax ID number: 93-0386972

Discover More

See which type of charitable trust best fits your estate plan with the FREE guide Trusts: Choose From Two Ways to Donate.