Gift Planning

Charitable Remainder Unitrust

A charitable remainder unitrust is an irrevocable trust, wherein the income payouts are based on a percentage, not less than five percent, of the trust’s assets as valued annually. The payout percentage must be set at the creation of the trust. At Notre Dame, a charitable remainder unitrust can be established with a contribution of $100,000 or more.

Because a charitable remainder unitrust is tax-exempt, the capital gains tax is bypassed if appreciated assets, such as real estate or publicly traded stock, are contributed to the trust. Unlike an annuity trust, additional gifts can be made to a unitrust at any time.

For those who prefer the potential of higher payments based on the annual valuation of the trust, a charitable remainder unitrust may be an attractive option.

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