A transfer of assets called a remainder gift means that the recipient will only gain full ownership or control at a later time. Typically, it occurs after a specified event, like the donor's passing. The structure of this type of gift is frequently done through trusts, like charitable remainder trusts or grantor retained annuity trusts. Providing the donor with some benefits but ensuring that the remainder interest goes to the designated beneficiary.

Gift tax may apply to it if it's not structured properly since it's neither excluded nor exempt. Gifting strategies like grantor retained annuity trusts (GRATs) or charitable remainder trusts (CRTs) are able to help manage potential tax liability.