Withdrawal rights give each beneficiary a limited window of time to withdraw up to his or her pro rata share of gifts made to the trust each year (not to exceed $19,000 per year). Beneficiaries with withdrawal rights may either exercise the right (i.e., take the money) or choose not to, in their own absolute discretion. However, if the beneficiary is a minor, then his or her parent or guardian exercises the right (or elects not to exercise the right) for the beneficiary. For tax purposes, a gift to a trust with withdrawal rights is treated like a direct gift to the beneficiaries who have the withdrawal rights. As a result, the gift qualifies for the present interest exclusion.