Discover a Gift That Is Truly Win-Win
Looking for a way to give Cal Poly a significant gift? If you have built up a sizable estate and are also looking for ways to receive reliable payments, you may want to check out the advantages of setting up a charitable remainder trust. A charitable remainder trust provides you or other named individuals income each year for life or a period not exceeding 20 years from assets you give to the trust you create.
Benefits of a charitable remainder trust include:
- Potential for a partial charitable income tax deduction
- Potential for increased income
- Up-front capital gains tax avoidance
There are two ways to receive payments with charitable remainder trusts:
The annuity trust pays you, each year, the same dollar amount you choose at the start. Your payments stay the same, regardless of fluctuations in trust investments.
The unitrust pays you, each year, a variable amount based on a fixed percentage of the fair market value of the trust assets. The amount of your payments is redetermined annually. If the value of the trust increases, so do your payments. If the value decreases, however, so will your payments.
Other Useful Information
Determine the Payout Rate for Your Trust (PDF)
Gifts of Real Property Funding Charitable Remainder Flip Unitrusts (PDF)
Life Income Gifts (PDF)
TIAA Kaspick Overview-Get to Know Our Investment Managers (PDF)
- Contact Cal Poly's Office of Gift Planning at 805-756-7125 or email@example.com to talk about supporting Cal Poly by setting up a charitable remainder trust.
- Seek the advice of your financial or legal advisor.
- If you include Cal Poly in your plans, please use our legal name and Federal Tax ID.
Legal Name: California Polytechnic State University Foundation
Address: Heron Hall, Building 117, San Luis Obispo, CA 93407-0444
Federal Tax ID Number: 20-4927897
Submit a few details and see how a charitable remainder trust can benefit you.
Check Out This Potential Scenario
Susan, 60, wants to make a gift to Cal Poly but would also like more income in the future. Susan creates a charitable remainder unitrust with annual lifetime payments to her equal to 6 percent of the fair market value of the trust assets as revalued annually. She funds the trust with assets valued at $500,000.
Susan receives $30,000 the first year from the trust. Subsequent payment amounts vary each year depending on the annual valuations of the trust assets. She is eligible for a federal income tax charitable deduction of $276,880* in the year she creates and funds the trust. This deduction saves Susan $88,232 in her 32 percent tax bracket.
*Based on annual payments and a 3.2 percent charitable midterm federal rate. Deductions and calculations will vary depending on your personal circumstances.
Watch this video to see how it works
The information on this website is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor. Figures cited in any examples are for illustrative purposes only. References to tax rates include federal taxes only and are subject to change. State law may further impact your individual results. Annuities are subject to regulation by the State of California. Payments under such agreements, however, are not protected or otherwise guaranteed by any government agency or the California Life and Health Insurance Guarantee Association. A charitable gift annuity is not regulated by the Oklahoma Insurance Department and is not protected by a guaranty association affiliated with the Oklahoma Insurance Department. Charitable gift annuities are not regulated by and are not under the jurisdiction of the South Dakota Division of Insurance.