Office of Institutional Advancement

Charitable Remainder Trusts

There are two types of charitable remainder trusts. A unitrust provides a cash flow that may increase over time and enables you to contribute appreciated assets to the trust, receive fixed payments, defer or eliminate capital gains tax. An annuity trust provides a steady cash flow and enables you to contribute appreciated assets to the trust, receive fixed payments, defer or eliminate capital gains tax. 

How it works

  1. You transfer cash, securities or other appreciated property into the charitable remainder trust.
    1. If you choose a unitrust, it pays a fixed percentage of the value of its principal, which is re-valued annually, to you or to beneficiaries you name for your lifetime or their lifetimes or a term of years.
    2. If you choose an annuity trust, it makes fixed annual payments to you or to beneficiaries you name.
  2. When your trust terminates, the remainder passes to Jefferson and is used in the manner you specified in the trust agreement. 
Charitable Remainder

Benefits

  • You receive an immediate income tax deduction for a portion of your contribution to the trust. 
  • You pay no upfront capital gains tax on appreciated assets you donate. 
  • You or your designated beneficiaries receive income for life or a term of years. 
  • If you choose a unitrust, you may be able to make additional gifts to the trust as your circumstances allow and qualify for additional tax deductions. 
  • You have the satisfaction of making a significant gift that benefits you or your designated beneficiaries now and Jefferson in the future. 

Questions? Contact the Planned Giving team:

Lisa W. Repko, JD
Senior Director, Planned Giving
P: 215-955-0437, Lisa.Repko@jefferson.edu

Kathy Sarlson
Associate Director, Planned Giving
P: 215-955-9259, Katherine.Sarlson@jefferson.edu