Establishing a foundation is, essentially, a way to create your own charity. This can be an effective method for controlling your charitable impact and donating to your favorite organizations. You can make yourself and your family members directors of the foundation. Future generations of family members can then operate the foundation following your death. Family foundations create a lasting legacy, a family bond, a shared purpose and a way to encourage community involvement among children and grandchildren.
Foundations are often created in conjunction with charitable remainder trusts (CRTs). The assets that pass from the CRT following your death will pour into your foundation tax-free.
If you have any additional questions about establishing a foundation, schedule a complimentary, no-obligation consultation and learn more about how Creative Planning Legal can help you.