TCP Charitable Planning · Updated November 2026
Charitable Lead Trust vs Charitable Remainder Trust
The names tell you who gets paid first.
CLT
A charitable lead trust pays charity first, with remainder to noncharitable beneficiaries.
CRT
A charitable remainder trust pays noncharitable beneficiaries first, with remainder to charity.
Planning use
The structures support different income, estate, gift, and philanthropic goals.
Exam strategy
Focus on the order of beneficiaries.
The takeaway
In a CLT charity gets the lead interest; in a CRT charity gets the remainder.
Related Summit resources
FAQ
Who receives the first interest in a CLT?
Charity.
Who receives the remainder in a CRT?
Charity.
Are the trusts economically identical?
No.