Charitable Lead Trust
Protect Your Assets
You can benefit from the tax savings that result from supporting the Women's Foundation of Minnesota 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 the Women's Foundation:
A charitable lead annuity trust pays a fixed amount each year to the Women's Foundation and is more attractive when interest rates are low.
A charitable lead
An Example of How It Works
George would like to support the Women's Foundation (WFMN) and provide for his children. George received a windfall amount of income and needs a large income tax deduction to offset the income. Following his advisor's recommendation, George funds a grantor charitable lead annuity trust with assets valued at $1,000,000. George's trust pays $70,000 (7 percent of the initial fair market value) to WFMN each year for 15 years, which will total $1,050,000. After that, the balance in the trust reverts back to George. He receives an income tax charitable deduction of $854,311. Assuming the trust earns an average 6 percent annual rate of return, George receives approximately $767,240 at the end of the trust term.
*Assuming annual payments and a 3.2 percent charitable midterm federal rate.
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Submit a few details and see how a charitable lead trust can benefit you.
- Contact Amanda Storm Schuster at 612-236-1830 or firstname.lastname@example.org to talk about supporting WFMN by setting up a charitable lead trust.
- Seek the advice of your financial or legal advisor.
- If you include WFMN in your plans, please use our legal name and federal tax ID.
Legal Name: Women's Foundation of Minnesota
Address: 105 Fifth Ave. South, Suite 300 Minneapolis MN 55401
Federal Tax ID Number: 41-1635761
The information in this publication is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor. Figures cited in examples are for illustrative purposes only. References to tax rates include federal taxes only and are subject to change. State law may further impact your individual results.