Lead Trusts

How It Works

• Establish a Harvard-managed CLT with a gift of $1 million or more, in cash or high-basis marketable securities. (You can also choose to establish a CLT with your own advisors and name Harvard as the income beneficiary.)
• Harvard will receive annual gifts from the trust for a set term of years, typically between 10 and 20. You can direct funds to either an unrestricted presidential or dean’s discretionary fund, or to a specific School or initiative that interests you and your family.
• At the end of the term, Harvard will transfer the remaining principal and appreciation back to you or your heirs (typically children or grandchildren) outside of probate, avoiding estate taxes.

Benefits

• Create an annual stream of support for Harvard students and faculty.
• Reduce or avoid income tax, depending on the nature of the trust.
• Reduce or eliminate transfer, estate, or gift taxes, which may enable you to transfer a larger estate after tax to your heirs than would otherwise be possible.
• Harvard's planned giving partner, TIAA Kaspick, can invest and administer your trust with no separate management fee.