Lead Trusts allow you to pass assets to your heirs at reduced gift and estate taxes while providing an income stream to Alley Cat Allies for a set number of years.
For example if, at age 65, you were to establish a charitable lead annuity trust with $300,000 of appreciated property (with a cost basis of $200,000) designed to pay 7% to Alley Cat Allies for 10 years and then pass the assets in the trust to your heirs, you would receive:
- An immediate income tax deduction of more than $125,000
- Reduced gift and estate tax levels when the assets are passed to your heirs.
Lead trusts can be set up in many different ways and can be very flexible.
To learn more about charitable lead trusts, please contact the Development team at 1-866-309-6207, or firstname.lastname@example.org.