Cascading GRAT Simulator

This GRAT Simulator calculates the potential value of assets transferred to heirs at the expiration of the term of each of ten, 3-year zeroed-out ("Walton") GRATs.  The GRATs are structured so that the annual payments increase geometrically by 20%.  


Click on the dollar amount in Step 2                     to change the value of the assets transferred to the initial GRAT.  The Section 7520 rate                     and the annual growth rate                      for all GRATs can be set by selecting the rates using the drop-down list for each of those factors.   


If you want to vary the Section 7520 rate or the rate of return for one or more of the GRATs, scroll to the top of the drop-down list for the Section 7520 Rate                       and the Annual Growth Rate                      and select "Variable."  You will then be able to use the drop-down lists in the "Variable Rate Assumption Table" to choose varying rates for one or more of the successive GRATs.


Click on the                  located in the results section for each GRAT to view a Diagram of hypothetical results for that GRAT and all of the preceding GRATs.   


Important Notice:  The results shown for each of the GRATs below are hypothetical and cannot be relied upon in determining the potential outcome of any estate planning strategy.  You must consult with qualified legal, financial and tax professionals before implementing this or any other estate planning strategy.                                                                         






This website and all materials appearing herein are presented solely for educational purposes and cannot be relied upon by anyone for elder law, estate planning, tax or any other purpose.  You must seek advice from competent legal, financial and tax advisors before attempting any form of elder law planning or any other form of estate planning.  Nothing presented on this website implies or creates an attorney-client relationship between a site visitor and the author, Jay H. Krall.  Attorney Krall is licensed by the North Carolina State Bar and not in any other state.  Links to other internet sites are not endorsements of any products or services described at those sites.   

Circular 230 Disclosure: Pursuant to U.S. Treasury Department Regulations, we are required to advise you that, unless otherwise expressly indicated, any federal tax advice contained in this communication, including attachments and enclosures, is not intended or written to be used, and may not be used, for the purpose of (i) avoiding tax-related penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another party any tax-related matters addressed herein.

© 2020 Jay H. Krall,  Attorney at Law

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