A charitable lead trust can work well for high net worth individuals who face substantial estate and gift tax liability. Income-producing assets such as stock or real estate are irrevocably transferred to a lead trust, which pays income to an organization like KQED for a number of years. Following the term of the trust, the property transfers back to other individuals - typically the donor's children or grandchildren - at reduced costs, because appreciation of the asset while it is in the lead trust is not taxed when transferred back. This is an excellent way to transfer to your heirs assets that are expected to appreciate in value.
Also on KQED.org this week ...
Obamacare Explained: A Guide for Californians
Starting Jan 1, 2014, most Americans will be required to have health insurance or pay a fine. KQED has created a simple guide to explain how the health law affects you, your family or your small business.
KQED Celebrates the Holidays
Find holiday-related KQED television and radio programming, events, gift ideas, recipes, and other Web-exclusive goodies.