Introduction

Clients who wish to integrate charitable planning into their estate plans have a variety of options, such as outright gifts during lifetime, a bequest in a Will or Trust or, among other choices, the establishment and gift to a private charitable foundation. While there are pros and cons for each type of planning, for some creating and gifting to a private charitable foundation is the right fit. The benefits of a private charitable foundation include long term control over assets and estate and gift tax planning. However, a private charitable foundation may not be for everyone. Factors to consider include the goals of the client, the client’s tax situation, the ability and desire for family members to participate in the foundation and the cost and expense of creating and maintaining the foundation.