Prepared for: enter donor name
| A. Input Assumptions | |
|---|---|
| Date of transfer | April 28, 2024 |
| Fair market value of property transferred | $1,000,000.00 |
| The term income interest of the trust will last | 20 years |
| Payout rate | 5% |
| Payment frequency | Quarterly |
| Date of first payment: | June 30, 2024 |
| The number of months from the valuation date and the first payout for the first full taxable year of the trust | 3 |
| This table uses a hypothetical future discount rate of | 4.6% |
| B. Calculation of Present Value of Remainder Interesst Factor: (Interpolation of Table D Factor for Term Certain) | ||
|---|---|---|
| 1. | Factor from Table F based on the payment period, the number of months between the valuation date and the first payment date, and the discount rate | 0.97236 |
| 2. | Adjusted payout rate (Table F factor * payout rate) | 4.86% |
| 3. | The nearest usable payout rate less than the Line 2 rate | 4.8% |
| 4. | Line 2 minus line 3 | 0.06% |
| 5. | Line 4 divided by .20 percent | 0.309 |
| 6. | Factor from Table D at the Line 3 rate | 0.373886 |
| 7. | Factor from Table D at the rate .20 percent higher than the line 3 rate | 0.358486 |
| 8. | Line 6 minus Line 7 | 0.0154 |
| 9. | Line 8 times Line 5 (Interpolation adjustment) | 0.004759 |
| 10. | Present value of remainder interest factor (Line 6 - Line 9) | 0.369127 |
| C. Calculation of Tax Deduction for Charitable Remainder Unitrust | |
|---|---|
| Fair market value of property transferred | $1,000,000.00 |
| Present value of remainder interest in unitrust factor as a percent | 36.91% |
| Present value of remainder interest = the tax deduction (Line 1 * Line 2) | $369,127.00 |
| 10% remainder interest test | Passed |
NOTE: This calculation is provided for educational purposes only. The type of assets transferred, the actual date of the gift, and other factors may have a material effect on the amount or use of your deduction. You are advised to seek the advice of your tax advisors before implementing a gift of this type.
Calculations provided by EzCharitable, Copyright 2022 EzCharitable, LLC
