How a Fixed Annuity Can Fund a Charitable Remainder Trust

Episode 48 of Annuities with Fexingo explores a powerful but underused strategy: using a fixed annuity to fund a charitable remainder trust (CRT). Lucas and Luna walk through a concrete example of a 68-year-old retiree with $500,000 in highly appreciated stock, who wants income for life plus a charitable legacy. They compare the tax and income outcomes of selling the stock directly versus transferring it to a CRT and using the proceeds to buy a fixed annuity. The hosts explain how the CRT sells the stock tax-free, the annuity provides guaranteed income, and the charity receives the remainder. Key numbers include the income tax deduction (about $125,000 based on IRS tables) and the annuity payout rate (roughly 5.8% for a 68-year-old). The episode also covers risks: loss of control over the assets, irrevocability, and the impact of inflation. A practical, numbers-driven look at combining charitable planning with annuity income. #FixedAnnuity #CharitableRemainderTrust #CRT #RetirementIncome #TaxPlanning #CharitableGiving #AnnuityStrategy #AppreciatedStock #IncomeTaxDeduction #GuaranteedIncome #EstatePlanning #NonqualifiedAnnuity #Finance #RetirementPlanning #FexingoBusiness #BusinessPodcast #AnnuitiesWithFexingo #WealthManagement Keep every episode free: buymeacoffee.com/fexingo