Charitable Lead Trusts
you want to benefit from the tax savings that result from supporting UT
Austin, yet you don't want to give up any assets that you'd like your
family to receive someday? You can have it both ways with a charitable
HOW IT WORKS
You give assets to a trust that pays the Business Honors Program an income for a number of years, which you choose. The longer the length of time, the better the gift tax savings for you. When the term is up, the remaining trust assets go to your family or other beneficiaries you select.
is an excellent way to transfer property to family members down the
line (typically children and grandchildren) at a minimal tax cost. This
type of charitable lead trust (also called a nongrantor, or family lead,
trust) is especially appealing to UT Austin supporters who are
financially comfortable enough that they can forgo investment income on
- You support an organization you love while also making sure your family is taken care of after your lifetime.
- The gift qualifies for gift or estate tax savings based on the current value of the income paid to the Business Honors Program over the trust term.
- A lead trust is an irrevocable gift to the University of Texas.
You transfer assets into the trust for use by the University for either a term of years or for your lifetime, as you decide.
While the trust is in effect, the University invests the funds and makes
trust payments to the Business Honors Program.
At the end of the trust term, the assets are returned either to you or to your heirs, depending on your financial goals.
MAKE A GIFT
For information on Charitable Lead Trusts, contact Dianne Bangle
in the McCombs School at (512) 475-8177.