unitrust
Percentage-based trust payout
A unitrust is a type of trust that pays beneficiaries a fixed percentage of the trust's assets each year, with the payout recalculated annually as the value fluctuates.
Unlike a fixed annuity, unitrust distributions rise and fall with investment performance.
Charitable remainder unitrusts allow donors to receive income while eventually transferring assets to a charity: They established a unitrust to fund their retirement while benefiting the university.
Designated asset receiver
- grantorOne who transfers rights
- settlorTrust's founding party
- fiduciaryAgent bound by loyalty
- irrevocableCannot be undone
annuity · corpus · principal · distribution · term · fair market value · IRS · tax code
Voluntary charitable gift
- nonprofitOrganization serving public good
- philanthropyGenerous giving for others
- donorOne who contributes freely
- tax deductionPermitted income reduction
capital gains · endowment · foundation · giving · benefactor · grantmaking · cause · stewardship
Collected works or assets
- assetsOwned items of value
- securitiesTradeable financial assets
- stocksOwnership stakes or inventory
- bondsTies that unite
capital · equities · market value · returns · yield · growth · rebalancing · diversification
Preparing asset distribution posthumously
- wealth transferShifting assets between parties
- inheritanceProperty received from ancestors
- bequestGift left by will
- legacyWhat's passed down
heir · probate · testamentary · succession · testator · revocable · asset protection · income stream
beneficiary
Designated asset receiver
irrevocable · annuity · corpus · principal · distribution · term · fair market value · IRS · tax code · regulations
donation
Voluntary charitable gift
- nonprofitOrganization serving public good
- philanthropyGenerous giving for others
- donorOne who contributes freely
tax deduction · capital gains · endowment · foundation · giving · benefactor · grantmaking · cause · stewardship · public charity
portfolio
Collected works or assets
- assetsOwned items of value
- securitiesTradeable financial assets
- stocksOwnership stakes or inventory
bonds · capital · equities · market value · returns · yield · growth · rebalancing · diversification · investment management
estate planning
Preparing asset distribution posthumously
- wealth transferShifting assets between parties
- inheritanceProperty received from ancestors
- bequestGift left by will
legacy · heir · probate · testamentary · succession · testator · revocable · asset protection · income stream · survivor
trust, unit, trusting, mistrust, distrust, entrust, distrustful, untrustworthy, trustee