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Protecting wealth across generations with a dynasty trust

How wealthy families keep assets out of probate, divorce, and creditor claims.

9 min read
Protecting wealth across generations with a dynasty trust

A dynasty trust is an irrevocable trust designed to last for multiple generations — sometimes in perpetuity, depending on the state. Assets inside it are insulated from estate tax at each generation, from beneficiary divorces, and from creditor claims.

Why families use them: a $5M dynasty trust earning 7% over 50 years grows to over $147M — and never pays estate tax along the way (versus losing 40% at each generation outside a trust). Combined with strong asset protection, it's one of the most powerful wealth-preservation tools in the U.S. tax code.

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