Charitable Leads Trust

Our probate attorney takes great pride in using estate planning instruments to help our clients realize their philanthropic goals. One of the tools that we can talk with you about includes the charitable lead trust.

At Bezaire, Ledwitz & Associates, our attorneys will take the time to sit with you and learn about your charitable goals. Our estate planning attorney can help you understand your options for donating assets and discuss how various options can help you avoid estate tax.

Retain Assets while Receiving Charitable Tax Benefits

If you currently have assets that are income producing, including real estate and stocks that you would like to use to accomplish your charitable giving goals now, but you would like to maintain the asset as part of your estate, a charitable lead trust may be a solution.

In a charitable lead trust, the assets are irrevocably transferred to a lead trust. The trust will then use the asset to pay income to a designated organization for a predetermined number of years. When the term of the trust expires, the property in the trust will transfer to other individuals. In many cases, a donor will typically designate that the assets transfer to his or her children or grandchildren.

Tax Savings

There are important tax implications and potential savings when using a charitable lead trust. The appreciation of the asset while it is in the trust is not taxed at the time that it is transferred back to the beneficiaries and it avoids probate. If you have assets that you expect will appreciate in value, a charitable lead trust is an important option for your charitable giving toolbox. When interest rates are low, this option becomes a great tax strategy to accomplish your charitable objectives.

Our firm looks forward to discussing your goals and needs for your charitable giving. We will talk with you about your situation and also about whether or not a charitable remainder trust could also help you meet your goals.