Background
Successful entrepreneur, married with children. He had recently sold a portion of his business resulting in a significant liquidity event. With this new significant wealth, he had concerns about strategic tax planning and protecting his assets. He was seeking guidance on his estate planning and how to efficiently gift to the charitable causes close to his family.
Callan Capital Solutions
Collaborated with their council to develop a sophisticated estate plan:
- Establish and fund Family Limited Partnerships encompassing the entire estate and utilize discounts, partnership interests, and maximized lifetime insurance transfers to their full advantage
- Partial transfer of liquidity event proceeds to Grantor Defective Spousal Lifetime Access Trust “SLAT”. Subsequently, sell any remaining liquidity event proceeds to Defective Grantor SLAT, at a discounted value up to current lifetime exemption amount.
- Protect access to both spouses by utilizing a testamentary power of appointment
- Chose to leverage Wyoming law and a private trust company, incorporating a trust protector for enhanced asset protection
- Fund a Charitable Lead Annuity Trust
Results
- Present day tax savings
- Ability to invest or reallocate tax savings
- Enhanced asset protection
- Fund charitable goals
Disclaimer:
Our case studies are intended for illustrative purposes only and meant to provide an example of Callan Capital’s process and methodology. They represent specific client’s experiences based on their specific facts and circumstances with some details excluded and or changed to protect the anonymity of the client. An individual’s experience may vary based on their unique circumstances. Similar results cannot be guaranteed in comparable situations. This case study should not be interpreted as a testimonial or endorsement of Callan Capital, and it is impossible to determine whether a specific client would have been satisfied with their results.