Charitable Trusts

Providing for Both Your Family and Converge

A Charitable Trust provides both charitable giving to Converge and income for you or your heirs. It is a creative, tax-smart solution that helps you balance out both interests. Generally it is best to fund Charitable Trusts with highly appreciated assets, such as stock or real estate, in which you have a low cost basis.

Two Types of Charitable Trusts

There are two types of Charitable Trusts your financial advisor or attorney can draft for you, in order to open a Charitable Trust:

  1. Charitable Lead Trust (CLT)
    Money is paid first to a charity (Converge) for a specified amount of time. At the end of that specified time, the balance of the Trust goes to back to you or another designated beneficiary — or to your heirs upon your death without being taxed as part of your estate.
  2. Charitable Remainder Trust (CRT)
    A CRT reverses the payout order — it pays a beneficiary first. At the time of the beneficiary’s death, or at the end of a specified period of time, the remainder of the CRT goes to a charity (Converge). When you open a CRT by transferring appreciated assets into your Trust, you avoid taxes on the sale of the assets placed inside the Trust, and you receive an immediate income tax deduction.

Kindly Inform Converge

Prior to finalizing your Charitable Trust with your financial advisor or attorney, please inform Converge of your Trust’s provisions which pertain to Converge, in order to assure accurate handling of your Trust’s payment(s) to Converge.

Need Help?

Call Steve Schultz at 1-800-323-4215 (ext. 3256) or email Steve now.

    Point - September 2018

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