// Individuals & Families
The Rockefeller Waterfall — ILIT cascading into dynasty trusts, generation-skipping structures, offshore trust layering for tax-free wealth transfer across generations. It's the most powerful wealth preservation strategy ever devised. It's also the most complex. Most wealth managers discuss it over dinner. We actually build it. For families with $5M+ who want their wealth to outlast them.
Book Your Consultation// The Problem
40% at each generation. By the third generation, original wealth is reduced to 21.6% ($10M becomes $2.16M). The Rockefellers faced this exact problem — and built a system to solve it. Their family wealth has now survived 7 generations and counting.
The Rockefeller Waterfall requires coordinated multi-jurisdictional trust structures, specific insurance products, compliant cross-border planning, and advisors who've actually done it. It's not a single trust — it's a system of interconnected entities spanning onshore and offshore jurisdictions.
The $13.61M GST/estate tax exemption sunsets in 2026 to ~$7M. The Rockefeller Waterfall maximizes the current exemption through coordinated transfers. After 2025, the math is permanently less favorable. This is a time-sensitive opportunity.
// The Solution
A coordinated system of trusts, insurance, and entities designed for perpetual wealth transfer. Here's how the pieces fit together.
The entry point — insurance proceeds, estate-tax-free. An Irrevocable Life Insurance Trust holds a survivorship life insurance policy. At the second spouse's death, insurance proceeds flow into the waterfall — completely estate-tax-free. This is the funding mechanism.
The perpetual vessel — no time limit, maximum protection. Insurance proceeds cascade into an offshore dynasty trust. No rule against perpetuities. Asset protection from creditors, lawsuits, and divorces. Distributions to multiple generations without triggering estate tax.
Generation-skipping structure — bypass estate tax at each level. Nevis entities layer with the dynasty trust to implement generation-skipping transfer strategies. $100K creditor bond adds protection. Each generation receives distributions without ownership — and without estate tax.
Premium jurisdiction for UHNW families. For families wanting the most prestigious jurisdiction. Centuries of trust law. Court-supervised. Recognized by virtually every country. Best for: families with $25M+ and multi-national beneficiaries.
The Rockefeller Waterfall is the most sophisticated wealth transfer structure we build. It requires $5M+ in assets, a family that thinks in generations, and advisors who've done this before. We have. 30-minute consultation to assess fit — no obligation.
// The Waterfall
Step 1: ILIT holds a survivorship life insurance policy ($5M-$50M+). Step 2: At the second spouse's death, proceeds flow to the Cook Islands dynasty trust — estate-tax-free. Step 3: Dynasty trust distributes to generation-skipping sub-trusts for children, grandchildren, and beyond. Step 4: Each sub-trust provides for its generation while keeping assets outside their taxable estate. Step 5: When a beneficiary dies, their sub-trust cascades to the next generation — no estate tax at any level.
"$18M family estate. Without planning: $2.8M estate tax at first death, more at each subsequent generation. With the Waterfall: ILIT funded with $15M survivorship policy, cascading into Cook Islands dynasty trust. Zero estate tax. Ever. My great-grandchildren will inherit more than my children would have without this structure."
// Important
The Rockefeller Waterfall is cost-effective for families with $5M+ in assets. Insurance premiums, trust setup costs, and ongoing administration total $50K-$150K+ in year one. For smaller estates, simpler structures may be more appropriate. We'll tell you honestly.
The ILIT requires a life insurance policy — which requires underwriting. Health, age, and coverage amount all affect premiums. We work with specialist high-net-worth insurance brokers who place policies specifically for Waterfall structures.
The Waterfall requires coordinated work between trust attorneys (onshore and offshore), insurance specialists, tax advisors, and financial planners. We quarterback the entire process — you don't need to manage multiple advisors.
// FAQ
It's a coordinated wealth transfer system: ILIT → dynasty trust → generation-skipping sub-trusts. Insurance proceeds fund a perpetual offshore trust that distributes to multiple generations without triggering estate tax at any level. It's how the Rockefeller family has preserved wealth across 7+ generations. Book a consultation to see if it fits your family.
Total first-year costs: $50,000-$150,000+ including insurance premiums, trust formation (onshore + offshore), legal fees, and coordination. Annual maintenance: $15,000-$30,000. For families with $5M+ in assets, the estate tax savings ($2M-$10M+) dwarf the implementation cost. Book a consultation for a detailed estimate.
The structure works best for families with $5M+ in assets. Below that, simpler estate planning tools may be more cost-effective. We'll assess your situation honestly and recommend the right level of complexity. Not everyone needs a Waterfall — but if you do, we build it. Book a consultation for an assessment.
Full implementation: 3-6 months. Insurance underwriting: 2-4 months. Trust formation (onshore + offshore): 4-8 weeks. The critical path is usually insurance underwriting. We coordinate all workstreams in parallel. Book a consultation to start the process.
You fund the ILIT with gifts (using your estate/gift tax exemption). During your lifetime, the trust holds the insurance policy. After death, proceeds cascade through the trust system. Your spouse can be a beneficiary. Your children and grandchildren receive distributions. Nobody "loses" access — the structure just ensures nobody pays estate tax. Book a consultation to understand the access structure.
// Related Solutions
Most people plan for retirement. You're planning for a legacy. The Rockefeller Waterfall is our most sophisticated offering — and the 2026 window makes now the time. Book a consultation — 30 minutes, no obligation.