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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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MIAMI A
[] AromaticTroubledDormouse
20:55
How does one know if they are UR1 or UR2?
[] AromaticTroubledDormouse
20:56
CONGRATS MACAQUE!
TY
got a random stanford email and almost had a heart attack
ALSO CONGRATS!
Congrats1!
21:15
Miami A, yall I'm so excited I could cry.
21:15
Feel like I can finally stop holding my breath!! Whew!!!
[] baddestbunny
22:16
every time I get accosted by a strange man who follows me around because my male coworkers were too busy talking to walk me back to my car I get closer to saying we need to bring back traditional gender roles
Dkk
22:32
Nice! @Macaque
Dkk
22:32
@Aromatic, Have to guess.
Dkk
22:33
That sucks @Bunny do you have to go to the hospital?
[] baddestbunny
22:40
I said accosted not assaulted
23:35
guys. my notre dame address just went long is this good or bad
1a2b3c4d26z
23:37
Oooooo me too
23:37
omg is this good or bad
Dkk
23:47
Idk if gender roles are gunna fix that then.
23:49
it looks like most people who applied in october last cycle didn't get a decision until january... does it even mean anything that our addresses went long??
hows ED 2 compared to ED 1?
Dkk
0:10
No idea
windyMagician
0:34
reporting live to say my ndls address also went long
does it mean anything ^
Dkk
2:21
NDLS and Fordham took a very long time last year. It's good info for people to know.
[] baddestbunny
4:29
let’s get after it boys and girls
Dkk
5:21
I gtg to bed soon.
Dkk
5:22
Big day today. Gunna be a crazy one. I will sleep through the first half.
good morning lsd it is 5 am EST
also jazzy my ndls address went long ages ago i sadly do not think it means anything
my stanford address also went long LOL i think at most it's an indicator it's under review
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