Ottawa University Planned Giving

Charitable Remainder Unitrust

A charitable remainder unitrust is like a combination of a gift and an investment plan. You place assets in trust and you (and/or another beneficiary) receive lifetime income from them, then we receive the remainder. With a unitrust, the amount you receive, as income is a set percentage of the value of the trust assets, redetermined annually.

You also have the option of choosing one of five variations of unitrusts. A unitrust with a net income plus makeup provision, for example, pays only the actual trust yield, even if it is below the stated percentage. Then in later years when performance is better, those deficiencies are made up. This option is excellent for devising a supplemental retirement plan, in which we can provide you with more details.

Benefits

• Lifetime income (often greater than your previous yield)
• A sizable income tax charitable deduction
• Avoidance of capital gains tax if you donate appreciated securities
• Professional management of the assets frees you from investment responsibilities