Gifts That Provide Income

You can achieve your goal of creating an income stream  for yourself or someone  you care about while also making an impact through a gift to Overlake.

Charitable Remainder Trust

A charitable remainder trust makes annual payments to one or more persons for a period of time before distributing its assets to one or more charitable organizations. 

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• You transfer cash or securities to an irrevocable trust.
• You avoid capital gains taxes when securities are sold.
• You receive a fixed annual amount for life or for a specific number of years.
• You receive an immediate tax deduction.
• After the term has ended, the remaining funds are distributed to the charitable organizations you chose.

Alternatively, you may choose a Charitable Remainder Unitrust, in which payments reflect a fixed percentage of the current value of the trust.

Charitable Lead Trust

A charitable lead trust features annual payments made first to Overlake for a number of years, after which the remainder goes back to you or passes to another person designated by you, such as a child or grandchild.

• You contribute cash or other property to fund a trust.
• The trust pays income to Overlake for a specified term.
• At the end of the term, the assets (and any accrued value) go back to you or your heirs.
• This strategy significantly reduces gift and estate taxes on assets you wish to leave to your heirs.

Life Estate

A retained life estate arrangement allows you to give your residence, vacation home, or farm to Overlake but retain the right to use the property for the remainder of your life and the life of your spouse or other designated individual.

• Receive a charitable income tax deduction for the present value of the property.
• The amount of your tax deduction depends on the value of the property, whether you donate a full or partial interest, your age and/or the age of any other individual given use for life or some other time period and other factors determined by the IRS.
• You may make a gift of your property even if there is a mortgage on it.
• You retain responsibility for the maintenance, insurance and taxes on the property while you retain the right to use it.

We encourage you to speak with your professional advisors to learn how the giving options listed above fit into your overall financial and charitable goals.