Charitable Lead Trust

You can benefit from the tax savings that result from supporting Benedictine College Preparatory and/or Saint Gertrude High School without giving up the assets that you'd like your family to receive someday with a donation in the form of a charitable lead trust.

There are two ways that charitable lead trusts make payments to Benedictine College Preparatory and/or Saint Gertrude High School:

Betty would like to support Benedictine College Preparatory and Saint Gertrude High School and provide for her children. Betty received a windfall amount of income and needs a large income tax deduction to offset the income. Following her advisor's recommendation, Betty funds a grantor charitable lead annuity trust with assets valued at $1,000,000. Betty's trust pays $70,000 (7% of the initial fair market value) to Benedictine College Preparatory and Saint Gertrude High School each year for 15 years, which will total $1,050,000. After that, the balance in the trust reverts back to Betty. She receives an income tax charitable deduction of $955,700. Assuming the trust earns an average 6% annual rate of return, Betty receives approximately $767,240 at the end of the trust term.