Charitable Lead Trust

A Charitable Way
to Pass Assets to Heirs



Charitable Lead Trust Diagram

How it works

How it Works 1

You contribute cash, securities or other property to a trust.

How it Works 2

The trust makes fixed annual payments to the American Heart Association for a specified term of years.

How it Works 3

When the trust ends, the remaining principal goes to your heirs.


  • You qualify for a gift tax deduction for the present value of the annuity payments to .
  • The annuity payments and the term of the trust can be specified in such a way so as to reduce or even eliminate the transfer taxes due when the principal reverts to your heirs.
  • All appreciation that takes place in the trust goes tax-free to your heirs.
  • You can use your available estate tax credit (consult with your financial advisor for the current applicable amount) to further reduce the taxes on transfers to your heirs.
  • You can have the satisfaction of making a significant gift to now that reduces the taxes due on transfers to your heirs later.


For more information

Email us, complete the personal illustration form, or contact the charitable estate planning representative in your area so that we can assist you through every step of the process.