If you have a large amount of assets that you want to be managed in the event that you are unable to do so, then placing them in a trust ensures that they will be conserved for whatever purpose you may have for them both in Miami and beyond. Florida’s Trust Code requires that, when creating a trust, you must designate a beneficiary. There are, however, certain exceptions to this rule, one of which is if you wish to create a charitable trust.
Florida law states that charitable trusts may be created for purposes such as:
- The relief of poverty
- Advancing art, science, education or religious programs
- Promoting government or municipal agencies
You can either name a specific organization to benefit from your charitable trust, or you can simply state the intent of the trust. In such a case, the court will decide who shall receive the designated assets or properties. An example of this may be if you set aside a sum of money in a charitable trust help save the whales. The court may choose to award the money to a local university or a national conservationist group.
If you have family members or friends that you want to help provide for while maintaining some assets for charitable purposes, you can still accomplish this goal through a charitable trust. Fidelity Investments highlights two types of these trusts: charitable remainder trusts and charitable lead trusts. With a charitable remainder trust, your designated beneficiaries will receive income from the trust assets for a designated period of time, at the end of which the remaining assets will be paid to charity. A charitable lead trust functions in the same way, only in the opposite order.