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Question about Planned giving Charitable Remainder Trusts

  • 1.  Question about Planned giving Charitable Remainder Trusts

    Posted 12 days ago

    Hello everyone,

     

    We are just starting to create our planned gift policies and as we go through our records I have come across the following and I am not sure how it should be put in the system.

     

    We have a donor that created two CRTs with two of her nieces as beneficiary for each one. They are currently receiving interest payments from the CRTs, once they both pass then our University will receive what is left.

     

    The question I have is should this planned gift go on the record of the person who created the CRTs and just list her two nieces as beneficiaries or should the planned gift go on the niece's records as a planned gift since we will not receive anything until they pass?

     

    We are currently using RE.

     

    Thanks for any help you can give.

     

    Cindy Hornbeck

    Gift Processing Specialist

    University Advancement

    940-898-3894

    CHornbeck1@twu.edu

     

     

     



  • 2.  RE: Question about Planned giving Charitable Remainder Trusts

    Posted 12 days ago
    The legal donor - the individual who should have received the gift receipt - is the person who established the trust.  You should have entered a gift for both the face and IRS discounted value of the trust at the time it was established.  The net IRS value is what is reported in the VSE.

    John

    John H. Taylor
    Principal
    John H. Taylor Consulting, LLC
    2604 Sevier St.
    Durham, NC   27705
    919.816.5903 (cell/text)

    Serving the Advancement Community Since 1987