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Sharing Sentimental Shares
Gifts of Stock — Charitable Reminder Unitrust
It did not take long for them to appreciate how a charitable remainder unitrust offered them a perfect opportunity for their stock.
Sharon and Bob both worked on the assembly line for a major corporation. They worked together as colleagues and friends for a very long time before their relationship became romantic. Their first date was impromptu — right after the company holiday party. As their relationship developed, so did their careers. They were soon married and began navigating through life’s changes. Although they found new opportunities, earned promotions and took department transfers, they always remained at the same company — and with each paycheck they both received a little share of company stock.
Even after they retired, the value of those shares continued to grow. Bob and Sharon refused to sell their shares for sentimental reasons — and because of the large capital gains tax that would then be due.
A few years ago they approached Episcopal Relief & Development and asked about their giving options. It did not take long for them to appreciate how a charitable remainder unitrust offered them a perfect opportunity for their stock.
Bob and Sharon transferred many of their shares to fund the unitrust. The trust then sold the stock tax-free and invested the proceeds. Bob and Sharon then received income each quarter from the trust for their remaining years. In addition, they received an income tax deduction for a portion of the funding amount. They also eliminated the need to pay any capital gains tax since the trust sold the stock tax-free. More importantly for Bob and Sharon, the stock that held sentimental value is now a very valuable and loving gift for those less fortunate than themselves.
If you would like to learn how a charitable remainder unitrust can benefit you now and in the future, please contact us.
