Charitable Giving Most people have charitable wishes they wish to fulfill, regardless
of the tax consequences. However, a person who makes charitable donations,
either during life or at death, can provide for their favorite charity,
while receiving estate and income tax benefits for themselves. Charitable
donations reduce the size of the estate, thereby lowering estate tax
liability, resulting in a lower effective cost of giving.
DeMent and
Marquardt can develop a strategy that makes it possible for
you to realize your philanthropic objectives, while lowering your liability.
Options include:
•
ACharitable
Remainder Trustlets you continue to enjoy income
from assets placed in trust, with the balance of the trust assets
going to the charity when the trust terminates.
•
Charitable Lead Trustsallow
you to provide income to a charity for a specific period of time,
with the remaining assets passing to your beneficiaries—or even
you—at the end of the trust’s term.
•
Wealth
Replacement Trusts can provide your family with an inheritance while you
retain the income and charitable deduction advantages of a Charitable
Remainder Trust.
•
Establishing a Private Foundation
gives you maximum control of your gift of charitable
assets, allowing you to pursue charitable purposes, support innovative
organizations and leverage the value of contributions to multiple
organizations.