a type of U.S. trust that pays income to one or more charities for the life of named individuals or for a term of years, and then distributes the principal either to the donor or to other individuals selected by the donor.
The conceptual opposite of a charitable remainder trust. During the term of the charitable lead trust (based on a specified number of years or the life of a named individual), an annuity or unitrust income interest is distributed each year to the designated charitable beneficiary (ies). Upon the expiration of the trust term, the trust assets are distributed to the trustor's or grantor's designated noncharitable beneficiary (ies) (generally children or grandchildren).
This is a trust that provides for payments to a tax exempt organization for a stipulated period free from federal gift and estate taxes. At the end of the trust term, trust assets are directed to a designated individual. Codicil: An amendment to a previously signed valid will, made through a separate instrument and with the same formalities as the will itself. Conservator: A person or organization appointed by a court to have custody and control of the property of a minor or incompetent person under supervision of the court. Corpus: The principal of a fund or trust. The Statute of Descent and Distribution: The distribution of property to heirs and next of kin, as directed by state law. This applies to the estate of a person who dies without a will or leaves a will that is invalid in whole or part.
An arrangement in which property income or investment income is given to a charity while the grantor is living, but the remainder passes to other designated parties upon the grantor's death. see also charitable remainder trust, trust.
The opposite of a charitable remainder trust, a gift agreement that provides income to a charity for a term of certain years and the remaining principal either returns to the donor or a designee of the donor. There are four basic variations of this trust that provide different tax consequences and many other specific personal variations. The normal use of such a trust instrument benefits the donor by reducing potential estate taxes.
A donor creates and funds an irrevocable trust that provides for payments to the EMU Foundation for the benefit of EMU for a specific period of time. At the end of that period, the trust assets go to beneficiaries designated by the original donor.
A trust that pays a fixed percentage of its annual value to a nonprofit or a private foundation. An alternative form can pay the greater of a fixed percentage of the trust's annual value or its net income.
a gift arrangement in which the donor transfers income-producing assets to a trust for a specified term of years or for the life or lives or individuals
an agreement in which only the income generated by assets placed in trust can be paid to LSCPI for a fixed period of time, with the principal returning to you or passing to your family at the end of that period
an arrangement in which you can give the income from assets of your choice, which you have placed in trust, to Red Butte Garden for a term of years
an effective technique available to pass wealth to the next generation with a minimum of transfer taxes
an excellent means of transferring property to another generation at a significantly reduced gift or estate tax cost
an irrevocable trust that designates Bard College as the income beneficiary for a specified number of years or for a period measured by the named person's life
an irrevocable trust to which you transfer assets, which then provides a stream of payments for charity (perhaps your Private Foundation) for a period of time, and distributes the remainder to family members
a plan for giving that can transfer substantial assets to your children or others at a reduced tax cost by directing the income from those assets to go to the Medical System for a designated period of time
a plan for giving that can transfer substantial assets to your heirs at a reduced tax cost by directing the income from those assets to the University of Nebraska for a designated period of time
a popular method of ultimately transferring assets to children or grandchildren, while reducing or avoiding estate/gift taxes
a private non-exempt trust that provides payments to others (individuals or organizations) for a term of years
a proven technique for passing wealth to the next generation with a minimum of transfer taxes, while providing Mannes with an annual contribution
a separately invested and managed trust that, during a specified number of years, pays a fixed percentage of the trust's assets to Orran
a taxable trust that allows the donor to give income to the charity for a term of years after which the asset reverts to the specified family members
a tax-advantaged estate-planning tool that uses your assets to provide income for a charity during your lifetime and then transfers your assets to the heirs of your choice
a tax-advantaged instrument that allows you to use the income or capital growth of a particular asset to build a charitable fund over time while reserving the core asset for your heirs (or for your own future use)
a tax-advantaged philanthropic strategy
a trust arrangement that provides an income payment to the Foundation at some designated rate for the donor's life or over a pre-established number of years
a trust for a term of years, and during the trust term a specified annual payment (based on a percentage of the trust assets) is paid to one or more designated charitable organizations
a trust that pays annually a specified annuity or unitrust amount to one or more charitable beneficiaries for a specified term of years or for the life of a named individual or lives of certain named individuals
a trust that the estate owner establishes either during life (an inter vivos trust) or at death (a testamentary trust)
a trust which provides an income stream to a charity after which the trustee returns the remainder to whomever the donor designates, usually one's heirs
a vehicle for transferring substantial assets to your children or others while minimizing transfer taxes
a way to make a gift to UCSF and to transfer assets to heirs at a reduced gift tax cost
A charitable lead trust is often used to transfer assets to heirs at reduced tax cost while making a gift to St. Lawrence. The donor irrevocably transfers assets to a trustee. The donor receives a gift tax deduction equal to the value of the income stream promised to St. Lawrence. Unlike income tax deductions, gift tax deductions are not subject to IRS limitations. Each year, the trust pays an amount to St. Lawrence. The lead trust's term may be for a specific number of years (10-20 years is common), one or more lifetimes, or a combination of the two. Payments are made out of trust income, or trust principal if the trust income is not adequate. If trust income exceeds the charitable payment in a given year, the trust pays income tax on the excess. When the lead trust term ends, the trust distributes all of its accumulated assets to family members or other beneficiaries named by the donor.
An irrevocable trust that distributes income to the Church or charity for a period of years and, when the trust ends, distributes the remaining property to you or other named beneficiaries.
The donor creates a trust and irrevocably funds it (see definition of "irrevocable" below). The Betty Ford Center gets the income for the term of the trust. At the end of the term, the donor's beneficiaries receive the remaining principal. Minimum gift is $100,000.
A Charitable Lead Trust (CLT) pays the trust income to a charity first for a specified period, with the principal reverting to the donor or going to other person(s) at the end of the period. Also called Income Trust.
trust under which a non-charitable beneficiary receives the remainder of the trust after payment of amounts over time to a charitable beneficiary. Often used to facilitate diversification of single low-basis stock holdings, and to maximize charitable gifts and deductions while providing income payments to the grantor.
This type of estate planning arrangement allows for a regular, fixed amount to go to a charity for a for a specified period, after which , the remainder of the trust passes to one or more persons designated by the donor. The donor is entitled to a charitable contribution deduction for the portion of the property given to the charity.
A charitable lead trust pays income to the GCRCF for a specified period (not less than 1 year & 1 day), with the principal reverting to the donor or another person(s) at the end of the period.
An irrevocable trust that provides for payments to the charitable organizations, such as Miami University, for a stipulated period of time. At the end of the trust term, the trust assets go to a designated individual.
A legal device used to set aside money or property of one person for the benefit of one or more persons or organizations. Specifically, this type of trust allows for a regular, fixed amount to go to a charity for a specific number of years. At the end of that time, the remainder of the trust passes to one's heirs.
A trust that is irrevocable for a term of years with the income being paid to the charity during this term. There is a provision for the property to revert back to the trustor at the end of the term.
It is the converse of a charitable remainder trust. Whereas a remainder trust pays the income to noncharitable beneficiaries and then distributes the remainder to charity, a lead trust pays the income to charity and distributes the remainder to noncharitable beneficiaries.
An agreement between a donor and a charity. The reverse of a charitable remainder trust: in a lead trust, the charity is the “up-front” recipient of an annual fixed percentage or sum for a specified period of time, after which the trust assets revert to the donor or designated beneficiary/beneficiaries. It allows property to be transferred to other individuals (often children or grandchildren) at a low transfer tax cost. It is particularly attractive when an individual has property with high-appreciation potential.
A trust for a fixed term of years wherein a charity is the beneficiary of an annuity or unitrust payment and the remainder goes to a noncharitable beneficiary.
another type of trust established for a specific term by contributing an income-generating asset, often real estate. The trust pays a fixed annual amount to the Jewish community until the end of the term. At the end of the term, the assets revert to the donor or the donor's heirs.
A trust that makes payments to a charity for a period of time. The remainder goes to a family member or other beneficiary.
A trust established for the benefit of a charitable organization under which the charitable organization receives income from an asset for a set number of years or for the trustor's lifetime. Upon the termination of the trust, the asset reverts to the trustor or to his or her designated heirs. This type of trust can reduce estate taxes and allows the trustor's heirs to retain control of the assets.
A charitable trust that you can establish in which the charity is the â€œleadâ€ beneficiary.
a trust that provides income to the charitable organization, with the corpus of the trust reverting to the donor or donor's family after a specified period of time.
Legal document used to avoid estate taxes, in which the charity receives the investment income and the principal goes to the trust beneficiaries when you die.
A trust that provides for the payment of an amount annually, or at more frequent intervals, to a designated charity. The amount must equal at least five percent of the initial fair market value of the trust. At the death of the trust creator, or at the end of the designated term of years, the remaining trust principal is distributed to a designated beneficiary or beneficiaries.
An arrangement whereby charity receives an annual percentage or a fixed amount from a trust for a term of years or for a period measured by the lives of one or more individuals with the remainder payable after the term to one or more individuals.
The Charitable Lead Trust provides income to the charity for a term of one year, then transfers the assets to a non-charity.
A charitable lead trust is conceptually the opposite of a charitable remainder trust. In a lead trust, the donor gives Goodspeed Musicals the current economic benefit of the transferred assets and retains the right to reacquire possession and control of the assets at a future date. The lead interest can be paid either for a specified term of years or for the life or lives of an individual or individuals, or a combination of both. There is no limit on the term of years that can be established, and the measuring lives are not required to have a relationship to the trust.
Property is transferred into a trust permitting a fixed annuity to be distributed each year to the selected charity for a chosen number of years. At the end of the chosen term of years, principal is distributed to family members.
An arrangement whereby the charity receives an income from a trust for a period of years, then the remainder is paid to non-charitable beneficiaries (generally either the donor or his or her heirs).
A special kind of trust in which property is transferred to a trust. Income from the property is paid to a qualified charity for a specified period of years, with any property remaining going to the trust maker or persons designed by the trust maker. There may be income tax, capital gains tax and estate tax advantages to the trust maker.
A trust that pays a charity income from a donated asset for a set number of years, after which time the principal goes to the donor's beneficiaries with reduced estate or gift taxes.
These trusts provide income -- either a percentage or a specified amount -- to a Foundation for a specific number of years. At the termination of this time, the principal is returned to the donor or to someone else designated by the donor. In some cases, donors may include the income in their taxable income, but is entitled to a corresponding charitable deduction if they itemize the amount of income paid to the Foundation in that year.