A Win-Win Planning Solution

Looking for a tax-efficient way to support your favorite charities while providing for your heirs? A charitable lead trust (CLT) may be a solution. With a CLT, you can make a meaningful impact on causes you support while potentially reducing your tax burden.

WHAT IS A CHARITABLE LEAD TRUST?

It's a legal arrangement that allows you to transfer assets to a trust, which makes annual payments to the charity of your choice for a specified period. Once that period ends, the remaining trust assets can be passed on to your heirs or beneficiaries.

A charitable lead trust is an irrevocable trust that aims to reduce a beneficiary's potential tax liability.

A UNIQUE OPPORTUNITY

A key advantage of a CLT is its ability to generate tax savings for you. Trust funding can offset some of your income, estate, and gift taxes. Additionally, any appreciation of the trust assets during the charitable period won't be subject to estate or gift taxes when passed on to your heirs. This can effectively transfer wealth to future generations while supporting causes that matter to you now.

Creating a charitable lead trust is a complex financial decision that requires careful consideration and the advice of tax, legal and financial professionals.