One afternoon, they met with a gift planner from Utah Valley University (UVU) who thanked them for their faithful annual gifts. As the conversation turned to long-term planning, Ron and Kathy shared their hopes for both their family and their philanthropy.

• Kathy: "We wanted to continue making annual gifts to UVU. At the same time, I was concerned about sacrificing our children's inheritance."
• Ron: "Our stock portfolio had appreciated significantly over the years. I wanted to pass those gains on to our family without triggering a large gift or estate tax."

The gift planner introduced them to the idea of a charitable lead trust, a strategy that could meet both of their goals. The trust would pay income to UVU for a number of years, and afterward, the remaining trust value (including any growth) would pass to their children. This approach would allow them to make a meaningful impact at UVU while minimizing taxes and preserving wealth for their family.

• Kathy: "I could see how this plan would work well if we funded the trust with our appreciated stock. Each of our children would receive one-third of the trust assets in the future, and we'd continue supporting UVU every year."
• Ron: "I also liked that the trust gave our children time to learn how to manage and invest their inheritance. Setting up the charitable lead trust felt like the perfect way to help our children succeed while continuing our commitment to UVU."

What is a charitable lead trust?

A charitable lead trust is a way you can support Utah Valley University for a number of years and pass on your assets to your family while reducing or eliminating gift or estate taxes.

Is a charitable lead trust right for you?

A charitable lead trust can be an excellent part of many tax-planning strategies. If you have questions about lead trusts, please contact us.

Please note: The information above is representative of a typical donor and may or may not be an actual donor to our organization.