Charitable Lead Trust

Lead the way for charity and your family.

If you are looking for a way to pass on some of your assets to your family while reducing or eliminating gift or estate taxes, a Charitable Lead Trust (CLT) can be an excellent option.

By investing your appreciated assets or cash in a CLT, you will support Children’s Health now while transferring the remainder to a friend or family member in the future.

How a Charitable Lead Trust works:

  1. You donate cash or appreciated assets to a trust and receive an immediate deduction.
  2. Children's Medical Center Foundation receives income from the trust for a pre-determined number of years.
  3. At the term of the trust, your family receives the remaining trust assets, including any growth in the invested funds.

Benefits of a Charitable Lead Trust:

  • Receive a gift or estate tax charitable deduction
  • Pass inheritance on to family at a reduced or zero cost
  • Make life better for children during or after your lifetime

Donor example:

Betty is a business owner facing a large estate tax, is a grateful patient family and charitably inclined, and wants to support Children’s Health during her lifetime. She creates a 10-year-term CLT, makes a donation of $1,000,000 donation using highly appreciated stock to avoid capital gains tax and receives an immediate charitable tax deduction. The trust makes yearly payments of $50,000 to Children’s Medical Center Foundation while invested to grow over time. She elects to have the remainder of the trust benefit her son, Carl. She may also elect to reinvest the funds in a new CLT at the term of the trust so the funds continue to grow and later benefit her family.

Get Started Today

To learn more about establishing a Charitable Lead trust and to receive a customized proposal, please reach out to Kelsey Picken, Director, Legacy & Gift Planning, at Kelsey.Picken@childrens.com or 469-516-7024 today.