Charitable Lead Trust

With a charitable lead trust, you can make a meaningful gift to University of the Cumberlands now while preserving the assets you want your family to inherit later. This option allows you to:

  • Provide steady support for our mission during the trust term.

  • Enjoy potential tax savings today.

  • Pass assets to your loved ones at the end of the trust period, often with reduced gift or estate taxes.

Two Flexible Options

  • Charitable Lead Annuity Trust (CLAT): Pays a fixed amount to the University each year. This option is especially appealing when interest rates are low because you lock in predictable payments.

  • Charitable Lead Unitrust (CLUT): Pays a variable amount each year based on the trust’s value. If the trust assets grow, your gifts to the University grow too.

Either way, you create a powerful legacy—helping students now while ensuring your family benefits in the future.

An Example of How It Works

George would like to support Cumberlands and receive tax benefits. George received a windfall amount of income and needs a large income tax deduction to offset the income. Following his advisor’s recommendation, George funds a grantor charitable lead annuity trust with assets valued at $1,000,000. George’s trust pays $60,000 (6% of the initial fair market value) to Cumberlands each year for 15 years, which will total $900,000. After that, the balance in the trust reverts back to George. He receives an income tax charitable deduction of $614,445. Assuming the trust earns an average 8% annual rate of return, George receives approximately $1,600,286 at the end of the trust term.

*Based on a 5.2% charitable midterm federal rate. Deductions and calculations will vary depending on your personal circumstances.

Location

6191 College Station Drive Williamsburg, KY 40769

Phone Number

606-539-3571

Email address

[email protected]

Discover More

See which type of charitable trust best fits your estate plan with the FREE guide Choose From 2 Win-Win Ways to Donate.

Contact Us

Next Steps

  • Contact Tyler Smith at 606-539-3571 or [email protected] to talk about supporting Cumberlands by setting up a charitable lead trust.
  • Seek the advice of your financial or legal advisor.
  • If you include Cumberlands in your plans, please use our legal name and federal tax ID.

Legal Name: University of the Cumberlands, Inc.
Address: 6191 College Station Drive, Williamsburg, KY 40769
Federal Tax ID Number: 61-0470593

Additional Resources

Calculate Your Benefits

Submit a few details and see how a charitable lead trust can benefit you.
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Fund Your Donation With:

Bequest of Specific Dollar Amount or Percentage of an Estate 
“I hereby, give, devise, and bequeath $ DOLLARS, or ___% PERCENTAGE of my estate to University of the Cumberlands,  a nonprofit organization located at 6191 College Station Drive, Williamsburg, KY,  40769 Federal Tax ID #61-04710593, for its general use and purpose.” 
 
 
 
Bequest of Specific Personal Property 
“I hereby, give, devise, and bequeath (DESCRIPTION OF PROPERTY) to University of the Cumberlands, a nonprofit organization located at 6191 College Station Drive, Williamsburg, KY,  40769 Federal Tax ID #61-04710593, for its general use and purpose.”