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Charitable Remainder Trusts

This is a flexible gift arrangement that allows a People For the American Way Foundation (PFAWF) donor to make a gift to a special kind of charitable trust and choose the payment level that they wish to receive over their lifetime, typically 5-10%, although it can be more. Choose a fixed amount or a fixed percentage of the principle that will grow as the trust grows. Choose a lower annual percentage payout and the trust will grow faster, plus you will receive higher payments in the future.

The donor gets an income tax deduction and will often receive favorable income tax treatment, and the payments can be made to one or more individuals as the donor decides. There is also some flexibility to adjust or defer the income to help in retirement planning.

CRTs can be funded with gifts of cash, appreciated securities, real estate or most other assets. A great advantage of the CRT is that trust gifts can be sold and reinvested by the trust tax free.

The payments are determined only by the assets in the trust, and most trusts are created with gifts in excess of $200,000 or more. When the trust is closed, PFAWF will receive the remainder.

The donor can be his or her own trustee or choose someone else (a friend, lawyer, bank, or even PFAWF if you prefer) to handle the investments and administer the trust. CRTs can be quite flexible and adjusted to meet a wide variety of needs. They can be funded during lifetime.

To discuss possibilities or get additional information, please contact:

Kristen Smith
People For the American Way Foundation
2000 M Street, NW, Suite 400
Washington, DC 20036

Phone: (800) 714-7730
(202) 467-2339
Fax: (202) 293-2672
Email: ksmith@pfaw.org