Charitable Lead Trusts

Generosity with personal benefit

A Charitable Lead Trust (CLT) is an irrevocable trust designed to provide income payments to charitable organizations for a fixed term. To start a CLT, the donor transfers assets to the trustee. The PCAF can serve as trustee. The trustee invests and manages the assets, making annual payments to a designated charitable beneficiary. You may choose from a number of investment options to recommend. If you designate a donor-advised fund at the PCAF as the charitable beneficiary, you may also recommend grants from the fund to various charities over time.

At the end of the trust, assets are distributed one of two ways:
1) To the donor (Grantor Lead Trust)
2) To a named beneficiary or beneficiaries (Non-Grantor Lead Trust).

These CLTs can be structured to commence during the donor’s lifetime or upon death. The minimum amount required to establish a CLT with the PCA Foundation is $50,000. The CLT is subject to fees.

Call us to ask questions at 800-700-3221