Multi-Generational Wealth Projection
Project how family wealth grows or shrinks over several generations once returns, spending, taxes and the number of heirs are counted, and see the wealth per heir in each generation. Free, no login, and nothing you type leaves your browser.
How the Calculator Works
Each year the family earns its return, loses part of it to taxes and spends a share of its wealth. The rest compounds for the length of a generation. At each step the wealth is split across more heirs. If net growth is below zero, the fortune shrinks even before it is divided.
This is the arithmetic behind the old saying about wealth lasting three generations, and why Richard's books put so much weight on governance, the family compass and preparing heirs. See how families keep wealth for more than three generations.
Assumptions and Sources
- All inputs are yours; defaults are illustrations only. No estate tax is applied between generations; use the estate transfer calculator for that.. Source: Family Office Club calculation method
- Governance, the family compass and preparing the next generation protect wealth across generations. Source: How to Start a Family Office, by Richard C. Wilson
Questions About This Calculator
What spending rate is sustainable?
Any rate that keeps net growth above the rate at which heirs multiply. With two children per heir, wealth per heir falls unless the family fortune at least doubles every generation.
Why not include inflation?
Enter a real (after-inflation) return if you want results in current dollars.
Informational only, not financial, legal or tax advice. Confirm figures with your own advisors.