PASS ASSETS INTACT WITH A LEAD TRUST

Are you concerned about the possibility of the government taking a huge part of the assets you were planning to leave your heirs?

There’s a way to pass assets to your family with significant estate tax savings while at the same time making a gift to the Seventh-day Adventist Church. It’s called a charitable lead trust.

Give Without Forfeiting Assets

This trust pays out income to the Church either for a number of years you specify or for the life of one or more individuals you name. The income can be the same amount each year or a percentage of the trust value. When the term is up, the principal goes to your family, with estate or gift taxes reduced or even eliminated.

The lead trust is an exceptional way to transfer property to your children or other heirs at minimal tax cost. It’s ideal if you’re willing to forgo investment income on an asset but don’t want to force your heirs to surrender the principal.

A Lead Trust in Your Will

Instead of funding a lifetime lead trust, you can also create one in your will – a testamentary lead trust. The major difference is that the Church begins to receive income only after your death.

Which is better, a lifetime or a testamentary lead trust? If you fund a trust now, you satisfy your present needs, and you can observe the results. The lifetime lead trust is also a way to pass assets to your family, with greatly reduced or avoid estate and gift tax.

Either type of lead trust offers you a good way to carry out your philanthropic plans over the coming years and save on taxes. Plus, you keep ultimate control of the trust assets within the family.