Zero Tax Plan - A lead trust can be setup in a way that allows you to transfer assets to your family members with no transfer tax. The IRS assumes that a lead trust only earns interest based on the current low federal rate. If the actual investments of the trust produce a higher return than the payments made to the ministry (over the term of the trust), then the full value of the trust may be transferred to family members with no gift tax.

FLP/Lead Trust Plan - To discount your gift to family even more, you may consider first transferring your real estate or other assets into a Family Limited Partnership (FLP), which will fund your lead trust. The combination of the FLP, the lead trust and a gift exemption can permit the lead trust to pay income to us for a number of years and potentially transfer substantial tax-free assets to your family.

Increasing Payment Lead Trust - With the continued stock market volatility, you may also want to consider creating a lead trust that makes fixed payments of increasing amounts to the ministry over time. Because the payments to us are fixed, your family ultimately benefits from any growth in the trust. Low payouts in early years allow the trust to grow. This provides stability and protection should the economy produce below-average returns in the future.

Grantor Lead Trust - A grantor lead trust permits you to transfer your cash or assets to a trust that in turn, will contribute gifts to a ministry for many years. At the end of the trust term, you receive the assets back from the trust.