| Assets to transfer | Transfer tax | Net assets | |
|---|---|---|---|
| Grantor | $13 million | $0 | $13 million |
| Child | $46 million | $0 | $46 million |
| Grandchild | $156 million | $0 | $156 million |
| Great-grandchild | $528 million | $0 | $528 million |
Disclosure
Source: Schwab Center for Financial Research. Assumptions: 4.5% annual growth, 2.47% inflation, 25 years per generation, estate/gift tax sunset rules apply after transfer to child. Lifetime gift tax exemption of $13.61 million, in 2024. Rounded to nearest million.
The example is hypothetical and provided for illustrative purposes only. It is not intended to represent a specific investment product. Dividends and interest are assumed to have been reinvested, and the example does not reflect the effects of taxes or fees.