WHAT IS A LEGACY CHARITABLE REMAINDER TRUST?

A legacy charitable remainder trust, often called a “give it twice” trust, is a trust funded after the Lord calls you home. Once funded, the trust provides quarterly income payments to your heirs for up to 20 years. When the trust term ends, the remaining assets are distributed to the WELS or WELS-affiliated ministry (or ministries) of your choosing.

KEY FEATURES

• Gift size: Minimum of $200,000, typically funded from a retirement account through a beneficiary designation.
• Payout rate: Five percent annual payout, distributed quarterly, for up to 20 years to your heirs.
• Charitable distribution: The remaining trust assets are distributed to the WELS or WELS-affiliated ministry (or ministries) of your choice at the termination of the trust.

BENEFITS

• Flexibility: Because the trust is funded after the Lord calls you home, you retain full control of your assets throughout your lifetime.
• Provides for your heirs: Rather than a one-time lump sum, this trust provides your heirs with a steady source of income for up to 20 years.
• Tax advantages: Funding a legacy trust with a tax-deferred retirement account may offer additional tax benefits. Rather than having to distribute an inherited IRA within 10 years, the IRA can be used via beneficiary designation to fund a legacy charitable remainder trust with a 20-year payout period.
• A gift to ministry: When the payout period ends, the remaining assets support the ministry (or ministries) you choose. The gift may be distributed as a lump sum or used to establish an endowment fund—providing ongoing support for your favorite WELS ministries.