Are you inclined to help a charity for a period of time without ultimately giving up the property? Consider the benefits of a charitable lead trust (CLT). This type of trust is essentially the opposite of the charitable remainder trust (CRT), a better-known alternative (see Is a CRT A Better Option? below). With a CLT, the property reverts to family members — not the charity.
At the same time, the CLT provides a stream of annual income to the charity for a term of years. So everyone wins. (more…)
The Tax Cuts and Jobs Act (TCJA) represents the biggest overhaul of the tax code in more than three decades. Tax experts are still sorting out all the intricacies. But this much is clear: The TCJA will have a significant impact on estate planning and related aspects, such as charitable giving.
Even though the TCJA reduces tax incentives for making charitable donations for some people, it encourages contributions for others. Let’s take a closer look at the new tax landscape and how it relates to charitable giving. (more…)
Is a substantial portion of your net worth tied up in your closely held business? Even if you plan to stay involved with the company for many years, it’s critical to have an exit strategy.
An employee stock ownership plan (ESOP) is one tool that offers a tax-efficient way to share equity with employees. It can also help you address issues such as a lack of liquidity and enable you to provide for family members who don’t work in the business. (more…)
