Comprehensive Wealth Management

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Comprehensive Wealth Management

• Presented By
• Reliance Trust Company
• John A. Rodgers, III

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The Reliance Story

• Reliance Trust Company
• Overview
• Services
• Products
• Roles
• Personal Trust Services
• Trust Transfer Program
• Web Site

3
The Reliance Story

• Reliance Trust Company
• Overview
• Services
• Products
• Roles
• Trust Services Offered
• Trust Transfer Program
• Web Site

4
Reliance Trust Company

• Established
• Headquartered in Atlanta, GA
• Licensed trust company
• Administrator to assets over 43 Billion

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Reliance Trust Company

• Full menu of trust services, including
• Personal trusts
• Family Trusts
• Revocable Trusts
• Irrevocable Trusts
• Life Insurance Trusts
• Special Needs Trusts
• Charitable Trusts
• Planned Giving Annuity Trusts
• Asset Retention Trust
• Retirement accounts
• Wealth management

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Reliance Trust Company

• Agency/Custody services
• Self trustee accounts
• Third party services (Escrow Accounts)

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Reliance Trust Companys Role As A Fiduciary

• Trust Investment Committee (TIC)
• Meets quarterly
• Investment reviews Do the investments satisfy
  the clients objectives?
• Initial
• Annual
• Trust Administrative Committee (TAC)
• Meets quarterly
• Account reviews Is the account administered
  properly?
• Initial
• Annual
• Reliance Trust Company is held to the highest
  level of fiduciary responsibility.

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The Reliance Story

• Reliance Trust company
• Overview
• Services
• Products
• Roles
• Trust Services Offered
• Trust Transfer Program
• Web Site

9
Trust Services Offered

• Personal Trust Services
• Basic Estate Planning
• Living Trusts
• Charitable Remainder Trusts
• Life Insurance Trusts

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Trust Services Offered

• Personal Trust Services
• Basic Estate Planning
• Living Trusts
• Charitable Remainder Trusts
• Life Insurance Trusts

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Personal Trust Services

• What is A Trust?
• A legal arrangement that transfers ownership of
  an individuals assets into a trust held by a
  third party know as the trustee for the benefit
  of a named person or persons
• A trust created in an individual lifetime is an
  INTERVIVOS TRUST or Living Trust
• A trust established by a will is a TESTAMENTARY
  TRUST

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Personal Trust Services

• Trust Benefits
• Certain types of trusts can reduce or minimize
  federal estate taxation
• Trusts can avoid the probate process
• Provide for minor children or individuals with
  special needs

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Personal Trust Services

• How A Trust Is Created
• Attorney meets with client and creates trust
  document
• Trust document is reviewed by trustee
• Document accepted or declined by trustee
• Upon acceptance, trust account is established

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Personal Trust services

• Parties To A Trust
• The Grantor
• The person who establishes the trust
• The Trustee
• The person or institution holding property in a
  trust

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Personal Trust services

• Parties To A Trust
• The Beneficiaries
• The person who or organization who has any
  present or future beneficial interest, vested or
  contingent in the assets of a trust
• Fiduciary
• The person having duty to act primarily for
  anothers benefit

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Trust Services Offered

• Personal Trust Services
• Basic Estate Planning
• Living Trusts
• Charitable Remainder Trusts
• Life Insurance Trusts

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Basic Estate Planning Distribution Of An Estate
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Basic Estate Planning

• How to Pay Estate Taxes
• Cash
• Sale of Assets
• Installments
• Life Insurance

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Basic Estate Planning

• Estate Taxes Reduction Techniques
• Marital Deduction
• Unified Credit
• Gifting

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Trust Services Offered

• Personal Trust Services
• Basic Estate Planning
• Living Trusts
• Charitable Remainder Trusts
• Life Insurance Trusts

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Living Trusts

• Benefits Of A Living Trust
• Trust (Successor Trustee) Administers Assets
  After Grantors Incapacity
• Trust Avoids Probate At Grantors Death
• Provides For Management Of Assets After Grantors
  Death
• Speedy Transfer Upon Death

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Living Trusts

• Features Of A Revocable Living Trust
• Revocable and Amendable
• Income Taxable To Grantor
• Assets Included In Estate Of Grantor

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Trust Services Offered

• Personal Trust Services
• Basic Estate Planning
• Living Trusts
• Charitable Remainder Trusts
• Life Insurance Trusts

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Charitable Remainder Trust

• Definition
• A Charitable Remainder Trust (CRT) is an
  Irrevocable Trust that consists of a gift of
  property made to a Charitable Trust that
  generates a charitable deduction and an income
  stream for the donor, and, eventually, a
  distribution of principal to a qualified charity.

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Charitable Remainder Trust

• When Is A CRT Used?
• You own highly appreciated assets
• The assets generate low income yield
• You wish to endow a charity
• You are seeking asset diversification greater
  income yield
• You are the beneficiary of an over-funded
  qualified retirement plan

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Charitable Remainder Trust

• How A CRT Works
• Donor creates a Charitable Remainder Trust
• Attorney drafts trust document
• Donor chooses a Trustee

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Charitable Remainder Trust

• Appreciated asset is transferred to CRT
• CRT is tax-exempt No capital gains tax on sale
• Trustee sells assets and invests in
  income-producing assets
• Permits diversification, helps to manage risk

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Charitable Remainder Trust

• Donor receives current charitable deduction
• Based on fair market value of assets transferred
  (present value)
• Can be used to offset 30 of AGI in year of
  transfer (50 for cash)
• Any amount unused in 1st year can be carried over
  for next five years

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Charitable Remainder Trust

• Donor receives income stream from CRT
• Based on specific percentages of fair market
  value of assets in the trust (not less than 5)
• Percentage chosen by donor at creation of trust
  (the higher the income percentage, the lower the
  deduction)
• Income is distributed for term of lives or years
• More principal available to be invested by the
  trustee compared to sale outside of trust
  therefore more income to beneficiary

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Charitable Remainder Trust

• Remainder transferred to charity
• At the termination of the trust, assets
  remaining in trust are transferred to charity

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Charitable Remainder Trust

• Income from CRT and tax savings is used to
  purchase life insurance
• through an irrevocable trust, with proceeds
  distributed to family at
• donors death (to replace value of assets
  transferred to CRT)

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Trust Services Offered

• Personal Trust Services
• Basic Estate Planning
• Living Trusts
• Charitable Remainder Trusts
• Life Insurance Trusts

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Life Insurance Trust

• Features
• Trustee owns life insurance policy
• Policy proceed are excluded from estates of
  grantor and survivor
• Gift tax implications

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Life Insurance Trust

• Advantages
• Proceeds provide liquidity for estate taxes and
  administration costs
• Proceeds are excluded from estates of grantor and
  spouse
• Proceeds may be held in trust for benefit of
  children and grandchildren without additional
  estate taxes or generation skipping taxes

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Life Insurance TrustHow They Work
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The Reliance Story

• Reliance Trust company
• Overview
• Services
• Products
• Roles
• Trust Services Offered
• Trust Transfer Program
• Web Site

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Trust Transfer Program

• Complete program to gather assets in Bank Trust
  Departments
• Marketing plan
• Marketing material
• Flow chart
• Procedures
• Asset retainer
• Build relations across multiple generations
• Reliance Trust Company listed as successor
  trustee

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The Reliance Story

• Reliance Trust company
• Overview
• Services
• Products
• Roles
• Trust Services Offered
• Trust Transfer Program
• Web Site
• www.relico.com/CIC