Many people want their estate plan to do more than pass on wealth; they want it to make a lasting difference. A charitable trust is a powerful tool that allows you to support causes you care about while also providing tax benefits and financial security for your loved ones. For families in Cincinnati, charitable trusts offer a meaningful way to combine giving with smart estate planning.
What Is a Charitable Trust?
A charitable trust is a legal arrangement that directs assets—such as cash, property, or investments—toward charitable organizations. Depending on the structure, a charitable trust can provide income for you or your beneficiaries during your lifetime and then benefit the charity afterward.
Two of the most common types are:
- Charitable Remainder Trust (CRT) – Provides income to you or your beneficiaries for a set period of time, with the remainder going to charity.
- Charitable Lead Trust (CLT) – Pays income to a charity for a set period, with the remainder going to your family or heirs.
Benefits of a Charitable Trust
Establishing a charitable trust offers multiple advantages:
- Support Your Favorite Causes – Direct assets to charities that reflect your values.
- Tax Advantages – Reduce estate, income, and capital gains taxes.
- Legacy Building – Leave a lasting impact on your community or faith-based organizations.
- Family and Charity Benefits – Provide income to loved ones while also giving back.
- Flexibility – Choose how and when assets are distributed.
Who Should Consider a Charitable Trust?
A charitable trust may be right for you if you want to:
- Support nonprofits, religious institutions, or community causes.
- Reduce the tax burden on your estate.
- Provide income for your family while making a charitable impact.
- Create a long-term legacy tied to your values.
- Ensure your wealth is used with purpose beyond your lifetime.
Charitable Trusts vs. Other Trusts
While living and family trusts focus primarily on avoiding probate and protecting assets, charitable trusts balance philanthropy and family needs. They’re ideal for individuals who want both financial efficiency and lasting impact.
Why Work With a Cincinnati Trust Attorney?
Setting up a charitable trust requires careful planning to maximize both the charitable gift and the benefits to your family. A Cincinnati trust attorney can:
- Help you choose between CRTs, CLTs, or other charitable strategies.
- Draft legally sound documents that comply with Ohio law.
- Guide you on tax benefits and reporting requirements.
- Coordinate your trust with your overall estate plan.
Take the Next Step
A charitable trust allows you to give generously, protect your family, and reduce your tax burden. If you’re ready to turn your estate into a legacy, now is the time to act.
Protect your family. Call to setup an appointment with Krugler Law. (513) 916-1600.
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