This type of gift provides a lifetime income to you that can be significantly higher than the current income you receive from your investments. In addition, you will be entitled to a charitable tax deduction for your contribution and if you establish the trust with appreciated securities you can avoid costly capital gains taxes.

Here is how it works: You place income producing assets such as marketable securities, mutual fund shares, bonds, certificate of deposits, or cash in an irrevocable trust (usually a $100,000 minimum) with AOTF as the trustee, and professionally managed by AOTF's investment advisor, Morgan Stanley Dean Witter. You are then paid an annual income for life. The type of trust you establish with AOTF determines the payout rate:

• Annuity Trust - You receive a fixed sum each year, either a dollar amount or a percentage of the fair market value of the trust when it is originally established.
• Unitrust -The income you receive each year is determined by multiplying the current fair market value of the trust by a fixed percentage.

The trust terminates upon your death, or that of your beneficiary, and is transferred to AOTF to fund programs in occupational therapy education and research. The advantages of establishing a trust are numerous and include:

• Knowledge that you are supporting AOTF's vital programs in occupational therapy education and research.
• Income for life.
• A significant charitable deduction.
• Avoidance of costly capital gains taxes when you establish all or part of the trust with appreciated securities.

You can also make AOTF a beneficiary of a trust that is established with another organization.

For information on how you can establish a Charitable Remainder Trust with AOTF or make AOTF a beneficiary of another trust, please contact the AOTF Advancement Office by email or by phone at (301) 652-6611 x2550.
 

The examples cited in this home page are for illustrative and informational purposes only. Your personal situation may differ. Please consult your tax or legal advisor about your particular situation.

The American Occupational Therapy Foundation is a 501(c)(3), charitable, non-profit organization. Gifts to AOTF are tax-deductible to the extent allowed by law.