Charitable Lead Trusts
How it works
You contribute cash, securities or other property to a trust.
The trust makes fixed annual payments to Woodland Healthcare Foundation for a specified term of years.
When the trust ends, the remaining principal goes to your heirs.
Benefits
- You receive a gift-tax deduction for the present value of the annuity payments to Woodland Healthcare Foundation.
- The annuity payments and the term of the trust can be specified to help reduce or even eliminate transfer taxes due when the principal reverts to your heirs.
- All trust appreciation will be tax-free to your heirs.
- You can use your available estate-tax credit to further reduce taxes on transfers to your heirs.
- You can make a significant gift to Woodland Healthcare Foundation now and reduce the taxes due on transfers to your heirs later.
Consider a charitable lead trust if you:
- Have appreciating assets that you want to pass on to the next generation
- Want to reduce your gift and estate taxes
- Plan to preserve the value of your estate, not increase your income or reduce your income tax
- Want to give your family more of your estate over a longer period of time
- Want your gift to provide a stream of income to Woodland Healthcare Foundation
Related Links
More about charitable lead trusts
Gift example
For assistance with this gift plan, please complete the request information form or contact Kevin Duggan at (530) 669-5680 or e-mail to Kevin.Duggan@DignityHealth.org.