Planned Giving

Charitable Remainder Annuity Trusts

What is a charitable remainder annuity trust?

A charitable remainder annuity trust is a separately invested and managed charitable trust that pays you, your spouse, and/or other beneficiaries a fixed annuity income for life or a term of years. You receive a charitable income tax deduction for a portion of your gift to the trust. No additional gifts are permitted. After the annuity trust terminates, the accumulated principal or "remainder interest" goes to Organizations friendly to BJU*. Minimum gift is $100,000 and the advantages are considerable.

  • Receive stable, predictable income (particularly appealing to older donors and income beneficiaries).
  • Depending on how your trust is invested, much of your income could be taxed at the capital gains rate of 15%.
  • Avoid ALL capital gains tax on any appreciated assets you donate.
  • Reduce estate tax liability if your estate is at the taxable level.
  • Enjoy the satisfaction of making a deferred gift to Organizations friendly to BJU* during your lifetime.

*BJU does not qualify as a 501(c)(3) tax-exempt organization, and gifts to it may not be deducted for federal income, gift, or estate tax purposes. The BJU M&G, MSF, HAF, DNSF, S&E Endowment Fund, and GFA are all 501(c)(3) tax-exempt organizations, and gifts to these organizations may be deducted for federal income, gift, or estate tax purposes. All gifts above marked by an asterisk can be established only for the BJU M&G, MSF, HAF, DNSF, S&E Endowment Fund, or GFA, but not for BJU.

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