Raleigh Charitable Remainder and Charitable Lead Trusts Attorney

Planning that gives 

If charity is already part of your life, these trusts let your giving do double duty. A charitable remainder trust turns a highly appreciated asset into lifetime income and a current tax deduction without a capital gains tax bill. A charitable lead trust gives to charity for a period of years and then passes what remains to your children with little or no gift tax.

Charitable remainder trust (CRUT)

• You contribute appreciated stock, real estate, or a business interest. The trust, which is tax-exempt, sells it with no capital gains tax and reinvests the full proceeds.
• The trust pays you (and your spouse) a percentage of its value every year for life. You receive an income tax deduction now for the value the charity will eventually receive.
• At the end, the remainder goes to the charities you name, including a donor-advised fund.
• Many families pair the trust with an ILIT so that the children receive the value that went to charity.

Charitable lead trust (CLAT)

• The trust pays a fixed annual amount to charity for a term of years, and what is left passes to your children or a dynasty trust.
• The gift to your children is the funded value minus the value of the charity's payments. Set the payments high enough, and the gift is near zero, so all growth above the IRS rate passes to your family tax-free.
• Unlike a GRAT, your death during the term does not undo the plan.

Who should consider them?

• Anyone with a concentrated, low-basis position or a business about to be sold who gives regularly to charity.
• Families who want to support a cause and still provide for children.

How we price advanced planning

Advanced planning is priced case by case. These trusts are significantly more complex than a standard revocable trust or a Medicaid asset protection trust: each one involves tax modeling, valuation, coordination with your CPA and financial advisor, and years of administration that the document has to anticipate. For that reason, they are not on our flat-rate menu. After your consultation, we quote a flat fee for your specific plan, so you still know the full cost before any work begins.

Common questions

Can I change the charity later?

Yes, if the trust is drafted to allow it. Many clients name a donor-advised fund so the family can direct the gifts over time.

Can I fund a charitable remainder trust with my business right before the sale?

Timing matters. The contribution must happen before there is a binding agreement to sell, or the IRS will tax the gain to you. Talk to us before you sign a letter of intent.

Get Started Today

Schedule a consultation with Kevin Peach. We will tell you plainly whether advanced planning is right for your family and quote a flat fee for your plan.

Call (919) 759-6353 today to schedule an initial consultation with our firm.

Disclaimer: This page is general information about North Carolina and federal estate planning, not legal advice, and does not create an attorney-client relationship. Exemption amounts are as of 2026 and change annually. Every plan depends on the client's facts, and no result is guaranteed.