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Simple English definitions for legal terms

charitable remainder annuity trust

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A quick definition of charitable remainder annuity trust:

A charitable remainder annuity trust (CRAT) is a type of trust that allows someone to give money to a charity while still receiving income from it during their lifetime. The person who creates the trust (called the grantor) chooses a fixed percentage of the trust's assets to receive as income each year. After the grantor dies, the remaining assets in the trust go to the chosen charity. The grantor can't change the trust once it's created, but they do get tax benefits and can avoid paying capital gains taxes. CRATs are different from charitable remainder unitrusts (CRUTs), which allow for more flexibility in how income is generated and how much can be contributed after the trust is created.

A more thorough explanation:

A Charitable Remainder Annuity Trust (CRAT) is a type of trust that allows a person to generate income from their assets while also benefiting a charity. The trust pays a fixed percentage of its assets to the grantor or a chosen beneficiary for a set period of time, and then transfers the remaining assets to a charity after the beneficiary's death.

For example, let's say John creates a CRAT and funds it with $1 million. He chooses to receive 5% of the trust's assets every year for the next 20 years. After 20 years, the remaining assets in the trust will be transferred to a charity of John's choice.

CRATs are popular because they offer tax benefits to the grantor. They can receive deductions and delay capital gains taxes while still generating income from their assets. However, once the trust is created, the grantor cannot make any changes to it, including adding more assets to the trust.

It's important to note that CRATs are different from Charitable Remainder Unitrusts (CRUTs). CRUTs generate income based on the trust's performance and allow contributions by the grantor after its creation.

charitable organization | charitable remainder trust

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TGM
18:41
not sure if I should email them to say that, or just hold off on sending it and not give an excuse
18:41
I think I just wouldn’t reach out and if they ask for them then say that
Dkk
18:41
@tgm Yeah sounds good, say that if they ask
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Dkk
18:50
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Dkk
18:57
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19:05
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Dkk
19:18
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Dkk
19:19
I can accept a president with maybe one or two of the poems traits hut good God, all of them??? No ty.
windyMagician
19:20
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windyMagician
19:20
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Dkk
19:21
Bill Clinton, first and last black president
windyMagician
19:23
I want to go running but my leg feels weird
windyMagician
19:23
it doesn't hurt its just tingly
Dkk
19:26
It needs more alcohol. You tingle when your nerves need watering.
19:27
try stretching it maybe to see what's up
windyMagician
19:27
stretches make me think it's just soreness
windyMagician
19:27
I'm sober lol
Dkk
19:38
Anyone else get the google notification that your LSD password has been compromised lol. LSD got hacked.
20:48
what.jpg @Dkk
CynicalOops
21:03
You think you just fell out of a coconut tree?
jackfrost11770
21:10
nope dk
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