Grantor Retained Annuity Trust (GRAT): Definition and Example What Is a Grantor Retained Annuity Trust (GRAT)? A grantor retained annuity trust (GRAT) is an estate planning tool used to minimize taxes on large financial gifts made to family members
Grantor retained annuity trust - Wikipedia A grantor-retained annuity trust (commonly referred to by the acronym GRAT) is a financial instrument commonly used in the United States to make large financial gifts to family members without paying a U S gift tax
Grantor Retained Annuity Trusts (GRATs) | Charles Schwab Grantor Retained Annuity Trusts (GRATs) A properly structured GRAT can help donors transfer significant assets to their beneficiaries with no estate tax and a significantly reduced gift tax cost
Grantor Retained Annuity Trusts (GRATs): What are They? The Grantor Retained Annuity Trust ("GRAT") is one of the most powerful estate planning tools available to high–net–worth families to efficiently transfer wealth to the next generation
Understanding Grantor Retained Annuity Trust (GRAT) A Grantor Retained Annuity Trust (GRAT) is an estate planning tool that allows tax-efficient wealth transfer by providing the grantor with annuity payments and potentially tax-free asset transfers to beneficiaries
How to Use a Grantor Retained Annuity Trust (GRAT) in Estate Planning A GRAT is an irrevocable trust that allows the grantor (the person creating the trust) to transfer assets into the trust while retaining the right to receive an annual annuity payment for a specified term of years