Donating to charitable organizations is very commendable rewarding in its own right, but if done correctly, it can have many advantageous effects on your taxes.
One way to structure your charitable donation is through a charitable remainder trust. This type of trust gives an annual payment to a chosen beneficiary, such as a family member, for a set number of years, or for the duration of that person's lifetime. Afterwards, the remaining assets of the trust pass directly to the charity of your choice.
Alternatively, a charitable lead trust makes regular donations to a charity of your choice for a set period of time, and afterwards, the remainder is given the beneficiaries you name at the time you establish the trust.
Finding the right way to structure your donation so that you can take maximum advantage of the tax benefits is dependent on a number of different factors. Our seasoned attorneys can help you determine which method is right for you. We can also help determine the best way to balance your donation against the future needs of your family and yourself.