PRESENTATIONS
CRT Experts’ recorded presentations address specialized charitable remainder trust planning topics that can materially affect long-term planning outcomes. These presentations are intended to help CRT beneficiaries and their advisors understand planning opportunities that may be available in appropriate CRT matters.
Optimized CRT Design
Income deferral and lives-plus-term planning for CRTs designed to preserve flexibility and improve long-term after-tax outcomes.
Lives-Plus-Term CRTs
A focused discussion of how CRTs can be structured to extend potential family benefits beyond the donor’s lifetime.
CRTs as Stretch IRA Substitutes
Planning with CRTs as IRA beneficiaries to recreate certain economic features of the former stretch IRA.
Optimized CRT Design
When establishing charitable remainder trusts, most clients want to maximize both flexibility and after-tax value. That usually means designing the trust to span the longest appropriate duration and, where appropriate, allowing for periods of income deferral.
This recorded presentation discusses two planning opportunities that are often available but underutilized when CRTs are drafted: income deferral and lives-plus-term CRT design.
Synopsis
A well-designed CRT should do more than satisfy the technical qualification rules. It should be structured around the donor’s assets, family circumstances, tax objectives, and long-term planning goals.
This presentation discusses two areas where careful CRT design can materially affect long-term outcomes: trust duration and income deferral. It explains how lives-plus-term design may allow a CRT to extend benefits to children, grandchildren, or other family members where appropriate under the applicable qualification rules, and how income-deferral structures may be useful where current distributions are not needed.
Topics include
-
Why CRT design decisions can matter for decades
-
Using lives-plus-term CRT design to extend potential family benefits
-
Income-deferral CRT structures, including NIMCRUTs and Flip CRUTs
-
Planning for beneficiaries who do not need current distributions
-
The interaction between payout rate, trust duration, and qualification requirements
-
Common drafting considerations for preserving long-term flexibility
Lives-Plus-Term CRTs
A CRT can be structured so that after the donor and spouse die, children may continue receiving income. In some cases, after the children die, grandchildren may also receive income. Depending on the ages of the beneficiaries, payout rate, and applicable qualification rules, the expected duration of a CRT can extend significantly beyond the donor’s lifetime.
This recorded presentation focuses on how lives-plus-term CRT design works and how it may be used to extend potential family benefits where appropriate.
Synopsis
Many CRTs are drafted for the donor’s life, or for the joint lives of the donor and spouse. In some cases, that structure is appropriate. In others, a longer-duration design may better align with the donor’s family and tax planning objectives.
This presentation explains how lives-plus-term CRTs work, how successor beneficiary interests can be incorporated, and how the structure can allow a CRT to function as a longer-term family income vehicle. It also discusses the qualification constraints, payout-rate considerations, actuarial requirements, and drafting issues that must be evaluated before using this type of structure.
Topics include
-
The difference between life-only, term-only, and lives-plus-term CRTs
-
How successor income beneficiaries can extend family benefits
-
Planning for children, grandchildren, or other family members
-
How payout rate and trust duration interact
-
Qualification and actuarial considerations
-
Drafting and implementation issues for longer-duration CRTs
CRTs as Stretch IRA Substitutes
Without planning, the SECURE Act generally compresses the distribution period for many inherited IRAs. In appropriate cases, naming a charitable remainder trust as the beneficiary of an IRA can recreate certain economic features of the former stretch IRA by allowing inherited retirement assets to be paid to heirs over time, with the remainder ultimately passing to charity.
This recorded presentation explains how the strategy works, which IRA owners and beneficiaries may benefit most, and the key planning and implementation issues advisors should consider.
Synopsis
Before the SECURE Act, many non-spouse IRA beneficiaries could stretch distributions over life expectancy. For many beneficiaries, that planning option has been replaced by a shorter required distribution period. A charitable remainder trust may provide an alternative structure in appropriate cases.
This presentation explains how a CRT can be named as beneficiary of an IRA, how the CRT can make payments to children or other heirs over time, and how the charitable remainder component fits into the planning. It also discusses the practical tradeoffs, tax considerations, drafting issues, and beneficiary-designation steps involved in using a CRT as a stretch IRA substitute.
Topics include
-
How the SECURE Act changed inherited IRA planning
-
Why CRTs may be useful as IRA beneficiary trusts
-
Which IRA owners and beneficiaries may benefit most
-
Lifetime and term-based CRT payment structures
-
The role of the charitable remainder beneficiary
-
Tax, drafting, and implementation considerations
To discuss a charitable remainder trust matter, call 703-520-2275 or email experts@crt-experts.com.