Charitable Remainder Trusts
27. Income Comparison
Remember, as shown on the right, the charitable remainder trust will pay the Brodys $650,000 in lifetime income.
When you add in the income tax savings of $31,625 and subtract the insurance premium of $93,258, that still leaves them with $588,367 of income -- $16,367 more than if they had sold the stock themselves, as shown on the left.