Charitable Lead Trust

Protect Your Assets

If you want to make an impact now at Louisville High School and also provide for your family later, consider setting up a charitable lead trust. You transfer cash or other assets to a trust that makes payments to Louisville High School for a period of time. When the term is up, the remaining trust passes to your family or other beneficiaries you select.

There are two ways that charitable lead trusts make payments to Louisville High School:

A charitable lead annuity trust pays a fixed amount each year to Louisville High School and is more attractive when interest rates are low.

A charitable lead unitrust pays a variable amount each year to Louisville High School based on the value of the assets in the trust. With a unitrust, if the trust’s assets go up in value, for example, the payments to Louisville High School go up as well.

An Example of How It Works

Woman smiling Helen would like to support Louisville High School and receive tax benefits. Helen received a windfall amount of income and needs a large income tax deduction to offset the income. Following her advisor’s recommendation, Helen funds a grantor charitable lead annuity trust with assets valued at $1,000,000. Helen’s trust pays $60,000 (6% of the initial fair market value) to Louisville High School each year for 15 years, which will total $900,000. After that, the balance in the trust reverts back to Helen. She receives an income tax charitable deduction of $614,445. Assuming the trust earns an average 8% annual rate of return, Helen receives approximately $1,600,286 at the end of the trust term.

*Based on a 5.2% charitable midterm federal rate. Deductions and calculations will vary depending on your personal circumstances.

Fund Your Donation With:

Calculate Your Benefits

Submit a few details and see how a charitable lead trust can benefit you.

See My Benefits

Next Steps

Contact Janice Dingman at 818.346.7510 or Giving@LouisvilleHS.org to talk about supporting Louisville High School by setting up a charitable lead trust.
Seek the advice of your financial or legal advisor.
If you include Louisville High School in your plans, please use our legal name and federal tax ID.

Legal name: Louisville High School
Address: 22300 Mulholland Drive, Woodland Hills, CA 91364
Federal tax ID number: 95-2109345

Discover More

See which type of charitable trust best fits your estate plan with the FREE guide Trusts: Choose From Two Ways to Donate.