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Two types of charitable remainder trusts can help you achieve your estate planning goals. A CRT can provide income to your beneficiaries in one of several ways. This flexibility allows you to further customize your trust to help meet your financial, family, and charitable giving goals. Consider these options: Charitable remainder unitrust (CRUT)—pays a variable income distribution that will increase or decrease based on the annual valuation of the trust. Charitable remainder annuity trust (CRAT)—pays a fixed distribution every year based on the value of the trust at the time of funding. It's also important to remember that while the contribution you make to a CRT is irrevocable, you may elect to add or change charitable beneficiaries at any time, by trust amendment. Source: Robert Keebler, CPA Is a CRT right for me? People who choose a CRT typically want to balance their strong philanthropic interests with: • A reluctance to give up control of their assets during their lifetime • A need for continuing income for themselves or their beneficiaries • A desire to convert appreciated assets into a potential lifetime income stream while minimizing the associated tax burden How can a CRT benefit me, my family, and my charity? The greatest charitable benefit of your CRT is that it provides income to a charity that's important to you while helping to meet your income tax and estate planning needs. Other potential benefits include: • Helping to ensure that your spouse and heirs have needed income • Helping to increase your income throughout your life • Maintaining control over your investments, either directly or through an appointed trustee • Receiving an income tax deduction at the time the trust is funded • Avoiding capital gains taxes on the sale of appreciated assets contributed to the CRT • Reducing estate taxes for your heirs • Creating a legacy that aligns with your philanthropic values Donor (Income beneciary) CRT Annual (or more frequent) payments for life (or a term of years) At the donor's death (or at the end of the trust term), the charity receives the residual assets held in the trust Public charity (Remainder beneciary) Donor receives an immediate income tax deduction for present value of the remainder interest (must be at least of the value of the assets originally contributed) Transfer of highly appreciated assets

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