The annuity trust provides for regular payment of a fixed dollar amount to the designated beneficiary(ies) for a term of years or for the beneficiary(ies) lifetimes.
The amount must equal at least 5 percent of the initial fair-market value of the trust. At the death of the last beneficiary, the trust principal is distributed to the UW Foundation.
In addition to the income you will receive from the trust, you will also be entitled to a charitable income-tax deduction for the value of our remainder interest in the trust assets.
How it Works
- Create trust agreement outlining terms of the trust
- Transfer cash or other property to trustee
- Trustee invests and manages trust assets
- Trustee makes payments to income beneficiaries
- Remainder to the UW Foundation for purposes you specify
- Income to one or more beneficiaries that remains fixed for the life of the trust
- Federal income-tax deduction for the charitable remainder value of your gift
- No capital-gain tax when trust property is sold
- Trust remainder will provide generous support for the UW Foundation