Gifts That Pay You Income
You can raise the curtain on exceptional performances while earning an income from your gift.
Charitable Remainder Trusts
A Charitable Remainder Trust (CRT) is a tax-free trust that pays you and/or other beneficiaries an annual distribution. This payment is either a percentage of the annual value of the trust, or a percentage of the original gift amount.
How it works:
- You transfer cash or an appreciated asset* into an irrevocable trust.
- The trustee then sells the asset, paying no capital gains tax, and reinvests the proceeds.
- For the rest of your life (or a term of years), you and/or another beneficiary receive payments from the trust.
- After your lifetime, the remaining principal is used to support the mission of Houston Grand Opera.
* While donating real estate is the most common way to fund a charitable trust, a wide variety of assets can be used, including cash, appreciated publicly traded or closely held stock, as well as oil, gas or mineral interests.
Benefits to you include:
You receive income for life for you or your heirs.
You receive a charitable income tax credit for the charitable portion of the trust.
You create your legacy of preserving a beautiful artform for years to come.
