Charitable Remainder Unitrust

Establishing a charitable remainder unitrust with The Sierra Fund is one of several ways you can receive income for life or for a term of years.

A charitable remainder unitrust is similar to a charitable remainder annuity trust. The main difference is that with a unitrust your payment is a fixed percentage of the trust assets. Each year the trust is revalued, and a new payment for that year is determined based on the new value of your trust.


  • Income you can count on
    When you establish a charitable remainder unitrust you transfer assets to a trust for The Sierra Fund’s benefit and you receive income from the trust each year-income which you can count on!
  • Immediate Tax Savings
    By creating a charitable remainder unitrust, you qualify for an income tax charitable deduction in the year you make the gift. If you decide to fund your trust with appreciated property, you may also be eligible for capital gain tax savings.
  • Smart Retirement Strategy
    You can use a charitable remainder unitrust to build retirement assets. By establishing a FLIP unitrust, you contribute appreciated assets to a trust that makes little or no income payments until a “triggering event” occurs. This event can be a date in the future like retirement. Your trust will “flip” at the beginning of the tax year immediately following the triggering event and will pay a percentage of the trust assets to you or your beneficiary. During the first phase of the trust, you should benefit from significant growth of principal.

How It Works

The following chart illustrates the approximate federal income tax charitable deduction for an individual creating a $100,000 trust with a 5% payout.

*Age Annual Income Income Tax Deduction
65$5000 $40,200

*These figures are for illustration purposes only. These figures will change based on your age, the size of the gifts used to fund the trust, the number of beneficiaries, the percentage to be paid out and the current IRS mandated discount rate. Please call us at (530) 265-8454 for more information.

Making Your Gift

Gift Requirements

Minimum Age: 50

Minimum Dollar Amount: $50,000 for trusts funded with cash or securities. $100,000 for trusts funded with real estate

For more information on charitable remainder unitrusts or other gifts that provide income, please fill out our online form, e-mail, or call us at (530) 265-8454.

In order to provide you with a personalized proposal for a charitable remainder unitrust, please let us know the date(s) of birth of the income beneficiary and the approximate amount you are considering giving.