Sale and Charitable Remainder Unitrust

Sale and Charitable Remainder Unitrust

If you own highly appreciated assets—such as real estate, stock, or other investments—that are not generating much income, you may be looking for a way to unlock their value without taking a significant tax hit.

A “sale and unitrust” strategy can help you convert those assets into cash and income, while also supporting Roger Bacon High School.

How It Works

This strategy combines a partial sale with a charitable remainder unitrust:

1. Create the Trust
   You establish a charitable remainder unitrust (CRUT).
2. Transfer a Portion of the Asset
   A percentage of your asset is transferred into the trust, while you retain the remaining portion.
3. Sell the Asset
   The property is sold. You receive your share of the proceeds directly, and the trust receives its portion.
4. Receive Ongoing Income
   The trust provides you with income for life (or for a set period), based on its value.
5. Support Roger Bacon
   After the trust term ends, the remaining assets benefit Roger Bacon High School.

Key Benefits

This approach offers flexibility and tax advantages:

• Access immediate cash from the sale of your asset
• Create a stream of income for retirement or other needs
• Potentially reduce or avoid capital gains taxes on the portion placed in the trust
• Receive a charitable income tax deduction
• Make a meaningful future gift to Roger Bacon

A Flexible Planning Tool

The cash you receive from the sale can be used however you choose—whether that’s reinvesting, purchasing a new property, funding retirement, or meeting other financial goals.

At the same time, the unitrust portion provides ongoing income and long-term charitable impact.

Additional Considerations

In some cases—such as when using a primary residence—there may be additional tax advantages available, including potential exclusions on capital gains. A qualified advisor can help determine how this strategy applies to your specific situation.

A Smart Way to Give and Plan

A sale and charitable remainder unitrust allows you to balance liquidity, income, and philanthropy—turning underperforming assets into a powerful financial and charitable solution.