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Charitable Remainder Unitrusts
(Gift example*)

Example

A 55 year-old donor in the 35% tax bracket establishes a unitrust with $100,000 of appreciated stock, originally purchased for $10,000. Unitrust pays donor 5.0% of the trust assets re-valued annually for life. Trust earns a 8% average total return. Assume IRS discount rate of 3.2%.

Trust principal

$100,000

Income tax deduction

$33,469

Income tax savings (35%)

$11,714

Cap. gains tax savings (15%)

$13,500

Income (Year 1)

$5,000

Projected after-tax benefit to income beneficiary

$156,698

Projected benefit to Samford University

$228,793

PLEASE NOTE: This example is for illustrative purposes only and is not intended as legal or tax advice. Consult your legal and tax advisors prior to making any material decisions based on this data.

For more information

Email us, complete the personal illustration form, or call us at (205) 726-2807 so that we can assist you through every step of the process.