Build a level withdrawal plan from a gifted fund while allowing for investment growth and an estimated tax drag on earnings. The calculator shows the sustainable periodic withdrawal, total cash received, projected taxes, and the balance after the final period.
Periodic withdrawal = P × r ÷ (1 − (1 + r)−n)
Here, r is the after-tax periodic return and n is the number of withdrawals.
The main result is the level amount the fund can support each period under the entered constant-return assumptions.
This is a planning estimate, not tax, legal, or investment advice. Actual treatment depends on jurisdiction, trust terms, holding periods, and individual circumstances.
For $100,000, a 5% return, 20% tax on earnings, 10 years, and 12 withdrawals yearly, the after-tax annual return is 4%. The level monthly withdrawal is about $1,009.06 and total withdrawals are about $121,086.74.
No. It models tax only on investment earnings. Enter any separate gift-tax liability elsewhere in your plan.
A higher rate leaves less investment growth available to support each scheduled withdrawal.
Yes. Set withdrawals per year to 1.
The calculator divides the gifted amount evenly across all withdrawal periods.
No. Actual returns and taxes vary, so real balances may differ from this level-payment projection.
| Input | Role |
|---|---|
| Gifted amount | Opening principal |
| After-tax return | Growth remaining after estimated tax drag |
| Term and frequency | Number and timing of withdrawals |