Charitable Lead Trust (CLT)

A Charitable Lead Trust (CLT) is an estate planning vehicle that allows a family to support charitable causes while preserving wealth for future generations. In a CLT, assets are placed into a trust that provides income to a designated charity for a specified term or the lifetime of the donor. After the term ends, the remaining trust assets are transferred to non-charitable beneficiaries, such as family members. CLTs are significant for family offices as they enable philanthropic goals, reduce taxable estate values, and potentially minimize gift or estate taxes, aligning with both legacy planning and tax-efficient wealth transfer strategies.