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From the President

Marie Chandoha is President and CEO of Charles Schwab Investment Management, Inc. and the funds covered in this report.

In this environment, the Fed continued to focus on supporting an economic recovery by holding the federal funds rate at a target of 0-0.25%.

Dear Shareholder,

As President and CEO of Charles Schwab Investment Management, Inc., I’d like to thank you for trusting us to help you meet your investment objectives, and for reading this important report concerning the Schwab money market funds. For the six months ended June 30, 2012, the U.S. money markets saw a continuation of historically low yields, as the Federal Reserve (Fed) maintained a policy of low interest rates to stimulate the economy in light of lackluster growth and continued European turmoil.

The euro zone’s ongoing sovereign debt crisis dominated the headlines amid disappointing economic activity around the globe. Greece restructured its debt, giving investor confidence a temporary lift, but subsequent concerns arose regarding debt markets in Italy and Spain. In the U.S., economic data was mixed, with measures such as long-term inflation expectations stable, while the unemployment rate remained stubbornly high, finishing at 8.2% in June.

In this environment, the Fed continued to focus on supporting an economic recovery by holding the federal funds rate at a target of 0-0.25%. In late January, the Fed forecasted that short-term interest rates would remain at present levels through at least late 2014, beyond its earlier forecast of mid-2013. Additionally, the Fed extended “Operation Twist”—a policy of exchanging short-term Treasuries for longer-term bonds—in its attempt to hold down long-term interest rates. Such ongoing accommodative policies, along with investor risk aversion, resulted in continued low yields for money market instruments.

Thank you for investing in the Schwab money market funds. We encourage you to review your investment portfolio regularly to ensure that it meets your current financial plan. For answers to frequently asked questions or for more information about the Schwab money market funds, please visit www.schwabfunds.com. We are also happy to hear from you at 1-800-435-4000.

Sincerely,

Schwab California Municipal Money Fund & Schwab California AMT Tax-Free Money Fund 1

State Investment Environment

California continues to struggle financially despite a modest economic recovery. The state’s fiscal 2013 budget addresses a $15.7 billion gap, but relies heavily on a temporary tax increase that will be considered by the voters in November 2012.

California is expected to report that it ended fiscal 2012 (7/1/11-6/30/12) with a negative general fund balance of $2.9 billion, which represents about 3.3% of spending. Although the fiscal 2012 budget addressed a $26 billion general fund budget gap, it relied on an optimistic revenue forecast, including $4 billion in unallocated revenues added late in the process. When revenues appeared to fall short in December 2011, the state implemented $980 million of cuts. However, revenues continued to underperform while some of the budgeted savings were not achieved. On a cash basis, fiscal 2012 revenues were $4.9 billion below the original budget estimates, or 5.6%, with most of that associated with the $4 billion of projected but unallocated revenues and corporation taxes.

The fiscal 2013 budget was signed by the Governor on June 27, 2012. The general fund spending plan totals $91.3 billion, up from an adjusted $87.0 billion in fiscal 2012. The budget closed a $15.7 billion projected gap with $6 billion of net new revenues, mostly by asking voters to pass temporary increases of the personal income tax rates on higher income residents and the state sales tax; $8.1 billion of additional spending cuts; and $2.5 billion of other solutions. The tax initiative will not be considered until the November 2012 election and the budget includes almost $6 billion of automatic spending reductions that will be triggered in January 2013 if the measure fails. The state’s school districts would feel the greatest impact from a failed tax initiative, with automatic cuts in state funding of over $4.8 billion. School districts rely on state funds for nearly 60% of their operating revenues.

As in other states, many of California’s cities, counties, school districts, as well as water and sewer systems, public and private universities, and non-profit health systems issue bonds. California’s recent budget cuts have had varying impacts on the credit quality of these issuers. While California school districts and community college districts receive over 50% of their total funding from the state, their general obligation bonds are secured by dedicated local property tax levies and are not paid from state funds. While many local property tax bases have been stable, the areas that experienced the most development in recent years have reported substantial tax base declines. Most counties have responded to state cuts in health and social service programs by passing the cuts on to their clients. Through the report period, Los Angeles, San Bernardino, and Santa Clara Counties have maintained their strong financial profiles, making their own budget reductions in response to state cuts and still weak local revenue growth. However, Moody’s downgraded Santa Clara County’s rating to a still strong Aa2 in July 2012 due to its draw down of reserves in past and current budgets.

California’s cities continued to face weakness in sales, business, and property taxes while struggling to maintain public safety programs and keep up with pension commitments. The cities of Stockton, Mammoth Lakes, and San Bernardino filed or planned to file for bankruptcy protection in June and July 2012, but their credit weakness was fairly well established before those events. Stockton and San Bernardino were both centers for the recent housing market boom and bust, while the Town of Mammoth Lakes was faced with the payment of an outsized legal judgment related to a failed development.

In contrast, California’s essential service enterprises and healthcare providers, such as the Metropolitan Water District of Southern California, the East Bay Municipal Utility District, the Bay Area Toll Authority and Kaiser Permanente are generally insulated from the state’s financial difficulties as they pay off their bonds with revenues received from the services they provide to customers.

California’s economy is emerging from a deep and long recession, the sharpest since the Great Depression. The state gained only 221,500 jobs from May 2011 to May 2012, or 1.6%, but that is an improvement relative to the 123,800 jobs gained in calendar 2011. California’s unemployment rate declined to 10.8% in May 2012, down from 11.9% in May 2011. That rate placed the state at third highest in the country, behind only Nevada and Rhode Island, and well above the national average of 8.2%.

State general obligations have a continuing appropriation and a constitutional priority over most state spending. However, as of June 30, 2012, the funds did not hold any unenhanced State of California general obligation or appropriation securities.

Despite its diversified economy and high wealth indicators, California remains a weak investment-grade credit due primarily to its on-going structural budget problems. The state’s general obligation ratings were A1 from Moody’s Investors Service and A- from Fitch Ratings and Standard & Poor’s Corp.

Nothing in this report represents a recommendation of a security by the investment adviser.

Manager views and portfolio holdings may have changed since the report date.

Schwab California Municipal Money Fund & Schwab California AMT Tax-Free Money Fund 3

Schwab California Municipal Money Fund

The Schwab California Municipal Money Fund (the fund) seeks the highest current income that is consistent with stability of capital and liquidity, and is exempt from federal and California personal income tax. To pursue its goal, the fund invests in municipal (muni) money market securities from California issuers and muni agencies around the country, as well as from U.S. territories and possessions.

The fund’s investment adviser and its affiliates voluntarily waived certain fees or expenses for the six months ended June 30, 2012, to help the fund maintain a positive net yield.* For more information about the fund’s yield and other important characteristics, please review the charts and footnotes that follow this discussion.

Market Highlights. Demand for investments typically held in muni money market funds was frequently volatile during the report period, heavily influenced by investors that traditionally buy taxable securities. The Federal Reserve’s (Fed’s) “Operation Twist”— extended in June—helped push up yields on short-term repurchase agreements (repos), which often serve as taxable money market securities. Repo yields frequently became competitive with one- and seven-day variable rate demand obligations (VRDOs), a security in which the fund substantially invests. When the yield difference between repos and VRDOs stretched to unsustainable highs or lows, non-traditional muni investors opportunistically flooded or exited the marketplace and created an imbalance, prompting rates to adjust and reach equilibrium.

Supply patterns for muni VRDOs shifted markedly, serving as a catalyst for yield fluctuations on muni money market securities. The euro zone’s ongoing sovereign debt crisis and credit rating downgrades by Moody’s Investors Service of many major banks initially curtailed issuance of muni securities with credit or liquidity enhancements. This temporary dearth of supply encouraged Canadian, Japanese, and U.S. regional banks to fill the void—particularly during the second quarter—propelling total VRDO issuance roughly 20% higher than in the first half of 2011.

When combined with the Fed’s accommodative efforts, this market environment translated into historically low yields for muni money market securities. The Security Industry and Financial Markets Association Municipal Swap Index—a widely used benchmark for muni floating-rate securities—generally ranged between a yield of 0.06% and 0.26%, while averaging approximately 0.17%.

Positioning and Strategies. The investment adviser continued to focus on safety and high credit quality, while maintaining a weighted average maturity (WAM) of roughly 25 to 40 days. Facing seasonal supply and demand dynamics, the fund’s WAM shortened in late May. As one-year muni note supply rose in early June, the fund’s WAM was extended with an eye toward diversification and solid credit quality. This meant purchasing recently issued notes with a notable degree of liquidity. Additionally, holdings of securities backed by euro zone banks were substantially reduced, with remaining positions primarily supported by highly rated entities that passed the investment adviser’s stringent credit review process.

As of 6/30/12:

Portfolio Composition By Maturity¹


	% of investments

1-15 Days		76.2%
16-30 Days		2.3%
31-60 Days		6.1%
61-90 Days		0.8%
91-120 Days		3.8%
More than 120 Days		10.8%
Total		100.0%

Statistics


Weighted Average Maturity²		39 Days
Credit Quality Of Holdings³% of portfolio		100% Tier 1
Credit Enhanced Securities % of Portfolio		51%

Portfolio Composition by Security Type⁴


	% of investments

Tender Option Bonds		32.1%
Variable Rate Demand Obligations		43.4%
Commercial Paper		14.6%
Fixed Rate Notes		6.2%
Other		3.7%
Total		100.0%

An investment in a money fund is neither insured nor guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other government agency. Although money funds seek to preserve the value of your investment at $1 per share, it is possible to lose money by investing in a money fund.

Manager views and portfolio holdings may have changed since the report date.


*		The investment adviser and its affiliates may recapture expenses or fees they voluntarily waived until the third anniversary of the end of the fiscal year in which such waiver occurs, subject to certain limitations. For more information on the potential impact of such recapture on future yields, see financial note 5.
¹		As shown in the Portfolio Holdings section of the shareholder report.
²		Money funds must maintain a dollar-weighted average maturity of no longer than 60 days and cannot invest in any security whose effective maturity is longer than 397 days (approximately 13 months).
³		Based on ratings from Moody’s Investors Service, Standard & Poor’s Corp. and/or Fitch Ratings or, if unrated, is determined to be of comparable quality. The fund may use different ratings provided by other rating agencies for purposes of determining compliance with the fund’s investment policies. The fund itself has not been rated by an independent credit rating agency.
⁴		Portfolio Composition is calculated using the Par Value of Investments.

4 Schwab California Municipal Money Fund

Performance and Fund Facts as of 6/30/12

The performance data quoted represents past performance. Past performance does not guarantee future results. Current performance may be lower or higher than performance data quoted. To obtain more current performance information, please visit www.schwabfunds.com/prospectus.

Weighted Average Maturity Trend for previous 12 months

Money funds must maintain a dollar-weighted average maturity of no longer than 60 days, and cannot invest in any security whose effective maturity is longer than 397 days (approximately 13 months).

7-day Average Yield Trend for previous 12 months*

Seven-Day Yields

The seven-day yield is the income generated by the fund’s portfolio holdings minus the fund’s operating expenses. The seven-day yields are calculated using standard SEC formulas. The effective yield includes the effect of reinvesting daily dividends. Please remember that money market fund yields fluctuate.


	Schwab California Municipal Money Fund
	Sweep	Value Advantage
	Shares	Shares^®

Ticker Symbol	SWCXX	SWKXX
Minimum Initial Investment¹	**	$25,000²


Seven-Day Yield³	0.01%	0.01%


Seven-Day Yield–Without Contractual Expense Limitation⁴	-0.08%	-0.10%


Seven-Day Effective Yield³	0.01%	0.01%


Seven-Day Taxable Equivalent Effective Yield^3,5	0.02%	0.02%

Portfolio holdings may have changed since the report date.


*		The 7-day average yield for the Sweep Shares and Value Advantage Shares was 0.01% throughout the entire period.
**		Subject to the eligibility terms and conditions of your Schwab account agreement.
¹		Please see prospectus for further detail and eligibility requirements.
²		Minimum initial investment for IRA and custodial accounts is $15,000. Municipal money funds are generally not appropriate investments for IRAs and other tax-deferred accounts. Please consult with your tax advisor about your situation.
³		Yield reflects the effect of the fund’s agreement with the investment adviser and its affiliates to limit each share class’s total annual operating expenses to certain levels (contractual expense limitation). In addition, the investment adviser and its affiliates have voluntarily waived expenses in excess of the contractual expense limitation to maintain a positive net yield for certain share classes of the fund (voluntary expense waiver). Without the contractual expense limitation and the voluntary expense waiver, the fund’s yield would have been lower. For additional details, see financial note 5.
⁴		Yield does not reflect the effect of the contractual expense limitation, but does reflect the effect of the voluntary expense waiver. The voluntary expense waiver added 0.39% and 0.24% to the seven-day yields of the Sweep Shares and Value Advantage Shares, respectively.
⁵		Taxable-equivalent effective yield assumes a 2012 maximum combined federal regular income and California state personal income tax rate of 41.05%. Investment income may be subject to the Alternative Minimum Tax.

Schwab California Municipal Money Fund 5

Schwab California AMT Tax-Free Money Fund

The Schwab California AMT Tax-Free Money Fund (the fund) seeks the highest current income exempt from federal and California personal income tax that is consistent with stability of capital and liquidity. To pursue its goal, the fund invests in municipal (muni) money market securities from California issuers and muni agencies around the country, as well as from U.S. territories and possessions.

As of 6/30/12:

Portfolio Composition By Maturity¹


	% of investments

1-15 Days		75.8%
16-30 Days		2.8%
31-60 Days		9.0%
61-90 Days		0.5%
91-120 Days		1.0%
More than 120 Days		10.9%
Total		100.0%

Statistics


Weighted Average Maturity²		39 Days
Credit Quality Of Holdings³% of portfolio		100% Tier 1
Credit Enhanced Securities % of Portfolio		42%

Portfolio Composition by Security Type⁴


	% of investments

Tender Option Bonds		37.0%
Variable Rate Demand Obligations		36.2%
Commercial Paper		14.4%
Fixed Rate Notes		9.1%
Other		3.3%
Total		100.0%

Manager views and portfolio holdings may have changed since the report date.


*		The investment adviser and its affiliates may recapture expenses or fees they voluntarily waived until the third anniversary of the end of the fiscal year in which such waiver occurs, subject to certain limitations. For more information on the potential impact of such recapture on future yields, see financial note 5.
¹		As shown in the Portfolio Holdings section of the shareholder report.
²		Money funds must maintain a dollar-weighted average maturity of no longer than 60 days and cannot invest in any security whose effective maturity is longer than 397 days (approximately 13 months).
³		Based on ratings from Moody’s Investors Service, Standard & Poor’s Corp. and/or Fitch Ratings or, if unrated, is determined to be of comparable quality. The fund may use different ratings provided by other rating agencies for purposes of determining compliance with the fund’s investment policies. The fund itself has not been rated by an independent credit rating agency.
⁴		Portfolio Composition is calculated using the Par Value of Investments.

6 Schwab California AMT Tax-Free Money Fund

Performance and Fund Facts as of 6/30/12

Weighted Average Maturity Trend for previous 12 months

Money funds must maintain a dollar-weighted average maturity of no longer than 60 days, and cannot invest in any security whose effective maturity is longer than 397 days (approximately 13 months).

7-day Average Yield Trend for previous 12 months

Seven-Day Yields


		Schwab California AMT Tax-Free Money Fund
		Value Advantage
		Shares^®

Ticker Symbol		SNKXX
Minimum Initial Investment¹		$25,000²


Seven-Day Yield³		0.01%


Seven-Day Yield–Without Contractual Expense Limitation⁴		-0.23%


Seven-Day Effective Yield³		0.01%


Seven-Day Taxable Equivalent Effective Yield^3,5		0.02%

Portfolio holdings may have changed since the report date.


¹		Please see prospectus for further detail and eligibility requirements.
²		Minimum initial investment for IRA and custodial accounts is $15,000. Municipal money funds are generally not appropriate investments for IRAs and other tax-deferred accounts. Please consult with your tax advisor about your situation.
³		Yield reflects the effect of the fund’s agreement with the investment adviser and its affiliates to limit each share class’s total annual operating expenses to certain levels (contractual expense limitation). In addition, the investment adviser and its affiliates have voluntarily waived expenses in excess of the contractual expense limitation to maintain a positive net yield for the fund (voluntary expense waiver). Without the contractual expense limitation and the voluntary expense waiver, the fund’s yield would have been lower. For additional details, see financial note 5.
⁴		Yield does not reflect the effect of the contractual expense limitation, but does reflect the effect of the voluntary expense waiver. The voluntary expense waiver added 0.23% to the seven-day yield.
⁵		Taxable-equivalent effective yield assumes a 2012 maximum combined federal regular income and California state personal income tax rate of 41.05%. Investment income may be subject to the Alternative Minimum Tax.

Schwab California AMT Tax-Free Money Fund 7

Fund Expenses (Unaudited)

Examples for a $1,000 Investment

As a fund shareholder, you incur two types of costs: transaction costs, such as redemption fees; and, ongoing costs, such as management fees, transfer agent and shareholder services fees, and other fund expenses.

Actual Return lines in the table below provide information about actual account values and actual expenses. You may use this information, together with the amount you invested, to estimate the expenses that you paid over the period. To do so, simply divide your account value by $1,000 (for example, an $8,600 account value ¸ $1,000 = 8.6), then multiply the result by the number given for your fund or share class under the heading entitled “Expenses Paid During Period.”

Hypothetical Return lines in the table below provide information about hypothetical account values and hypothetical expenses based on a fund’s or share class’ actual expense ratio and an assumed return of 5% per year before expenses. Because the return used is not an actual return, it may not be used to estimate the actual ending account value or expenses you paid for the period.

You may use this information to compare the ongoing costs of investing in the fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only, and do not reflect any transactional costs, such as redemption fees. If these transactional costs were included, your costs would have been higher.


					Ending
			Beginning		Account Value		Expenses Paid
	Expense Ratio¹		Account Value		(Net of Expenses)		During Period²
	(Annualized)		at 1/1/12		at 6/30/12		1/1/12–6/30/12

Schwab California Municipal Money Fund^tm
Sweep Shares
Actual Return		0.19%	$	1,000	$	1,000.10		0.94
Hypothetical 5% Return		0.19%	$	1,000	$	1,023.92		0.96
Value Advantage Shares^®
Actual Return		0.19%	$	1,000	$	1,000.10		0.94
Hypothetical 5% Return		0.19%	$	1,000	$	1,023.92		0.96


Schwab California AMT Tax-Free Money Fund^tm
Actual Return		0.20%	$	1,000	$	1,000.10		0.99
Hypothetical 5% Return		0.20%	$	1,000	$	1,023.87		1.01


¹		Based on the most recent six-month expense ratio; may differ from the expense ratio provided in the Financial Highlights.
²		Expenses for each fund or share class are equal to its annualized expense ratio, multiplied by the average account value over the period, multiplied by 182 days of the period, and divided by 366 days of the fiscal year.

8 Schwab California Municipal Money Fund & Schwab California AMT Tax-Free Money Fund

Schwab California Municipal Money Fund™

Financial Statements

Financial Highlights


	1/1/12–			1/1/11–			1/1/10–			1/1/09–			1/1/08–			1/1/07–
Sweep Shares	6/30/12*			12/31/11			12/31/10			12/31/09			12/31/08			12/31/07


Per-Share Data ($)

Net asset value at beginning of period		1.00			1.00			1.00			1.00			1.00			1.00

Income (loss) from investment operations:
Net investment income (loss)		0.00	¹		0.00	¹		0.00	¹		0.00	¹		0.02			0.03
Net realized and unrealized gains (losses)		0.00	¹		0.00	¹		0.00	¹		0.00	¹		—			—

Total from investment operations		0.00	¹		0.00	¹		0.00	¹		0.00	¹		0.02			0.03
Less distributions:
Distributions from net investment income		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.02	)		(0.03	)
Distributions from net realized gains		—			(0.00	)¹		(0.00	)¹		(0.00	)¹		—			—

Total distributions		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.02	)		(0.03	)

Net asset value at end of period		1.00			1.00			1.00			1.00			1.00			1.00

Total return (%)		0.01	²		0.01			0.02			0.10			1.67			3.02

Ratios/Supplemental Data (%)

Ratios to average net assets:
Net operating expenses		0.19	^3,4		0.25	³		0.33	³		0.54	^3,5		0.60			0.63
Gross operating expenses		0.69	⁴		0.69			0.69			0.72			0.70			0.69
Net investment income (loss)		0.01	⁴		0.01			0.01			0.10			1.65			2.98
Net assets, end of period ($ x 1,000,000)		5,459			5,641			5,507			5,517			6,019			5,745


	1/1/12–			1/1/11–			1/1/10–			1/1/09–			1/1/08–			1/1/07–
Value Advantage Shares	6/30/12*			12/31/11			12/31/10			12/31/09			12/31/08			12/31/07


Per-Share Data ($)

Net asset value at beginning of period		1.00			1.00			1.00			1.00			1.00			1.00

Income (loss) from investment operations:
Net investment income (loss)		0.00	¹		0.00	¹		0.00	¹		0.00	¹		0.02			0.03
Net realized and unrealized gains (losses)		0.00	¹		0.00	¹		0.00	¹		0.00	¹		—			—

Total from investment operations		0.00	¹		0.00	¹		0.00	¹		0.00	¹		0.02			0.03
Less distributions:
Distributions from net investment income		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.02	)		(0.03	)
Distributions from net realized gains		—			(0.00	)¹		(0.00	)¹		(0.00	)¹		—			—

Total distributions		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.02	)		(0.03	)

Net asset value at end of period		1.00			1.00			1.00			1.00			1.00			1.00

Total return (%)		0.01	²		0.01			0.02			0.18			1.83			3.21

Ratios/Supplemental Data (%)

Ratios to average net assets:
Net operating expenses		0.19	^3,4		0.26	³		0.33	³		0.47	^3,5		0.45			0.45
Gross operating expenses		0.56	⁴		0.56			0.56			0.59			0.56			0.56
Net investment income (loss)		0.01	⁴		0.01			0.01			0.20			1.83			3.16
Net assets, end of period ($ x 1,000,000)		953			1,071			1,399			2,213			3,923			5,267

* Unaudited.

¹ Per-share amount was less than $0.01.

² Not annualized.

³ Reflects the effect of a voluntary expense waiver in excess of the contractual expense limitation. (See financial note 5)

⁴ Annualized.

⁵ The ratio of net operating expenses would have been 0.51% for Sweep Shares and 0.43% for Value Advantage Shares, respectively, if certain non-routine expenses (participation fees for the Treasury’s Temporary Guarantee Program for Money Market Funds) had not been incurred.

See financial notes 9

Schwab California Municipal Money Fund

Portfolio Holdings as of June 30, 2012 (Unaudited)

This section shows all the securities in the fund’s portfolio and their values as of the report date.

The fund files its complete schedule of portfolio holdings with the SEC for the first and third quarter of each fiscal year on Form N-Q. The fund’s Form N-Q is available on the SEC’s website at http://www.sec.gov and may be viewed and copied at the SEC’s Public Reference Room in Washington, D.C. Call 1-800-SEC-0330 for information on the operation of the Public Reference Room. The fund also files a complete schedule of portfolio holdings with the SEC monthly on Form N-MFP which is available 60 days after the end of the month to which the information pertains. A monthly schedule of portfolio holdings is also available by visiting the fund’s website at www.schwabfunds.com/prospectus along with a link to the fund’s Form N-MFP filings on the SEC’s website.

For fixed rate obligations, the rate shown is the coupon rate (the rate established when the obligation was issued) and if the coupon rate is not available, the effective yield at the time of purchase is shown. For variable-rate obligations, the rate shown is the interest rate as of the report date. If the security’s structure includes one of a number of maturity-shortening provisions set forth in Rule 2a-7, such as an interest rate reset, demand feature or put feature, the effective maturity date is disclosed. In addition, the second maturity date shown is either the date on which the principal amount must be paid or the date payment must be made pursuant to a demand feature. If the effective maturity and maturity date are the same, the date will appear in the maturity date column.

Cost

Value

Holdings by Category

($)

.4%

Fixed-Rate Securities

1,755,023,650

.4%

Variable-Rate Securities

4,838,652,686

102

.8%

Total Investments

6,593,676,336

.8)%

Other Assets and Liabilities, Net

(181,785,672

)

100

.0%

Net Assets

6,411,890,664


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)

Fixed-Rate Securities 27.4% of net assets

California 27.4%
Alameda Cnty Jt Powers Auth
Lease Revenue CP Notes Series A (LOC: Union Bank, NA)		0.19%			08/07/12		10,000,000		10,000,000

Bay Area Toll Auth
Toll Bridge RB Series 2008F1 (LIQ: Wells Fargo & Co)	a	0.30%			01/24/13		9,880,000		9,880,000

Toll Bridge RB Series 2009F1 (LIQ: Wells Fargo & Co)	a	0.27%			10/18/12		29,775,000		29,775,000

California Education Notes Program
Note Participation Fiscal 2012-2013 Series A	b	2.00%			06/28/13		10,125,000		10,291,455

California Health Facilities Financing Auth
RB (Kaiser Permanente) Series 2006E		0.26%			12/06/12		2,500,000		2,500,000

RB (Kaiser Permanente) Series 2006E		0.25%			03/14/13		28,000,000		28,000,000

California Infrastructure & Economic Development Bank
RB (Sanford Consortium) Series 2010A (LIQ: Wells Fargo Bank, NA)	a	0.27%			10/11/12		14,245,000		14,245,000

California School Cash Reserve Program Auth
Bonds 2012-2013 Series N	b	2.00%			06/03/13		9,800,000		9,956,408

Sr Bonds 2012-2013 Series B	b	2.00%			06/03/13		5,465,000		5,552,221

California State Univ
CP Series A (LOC: State Street Bank & Trust Company, NA; JPMorgan Chase Bank, NA)		0.19%			07/18/12		17,747,000		17,747,000

California Statewide Communities Development Auth
RB (Kaiser Permanente) Series 2004E		0.23%			09/20/12		4,000,000		4,000,000

RB (Kaiser Permanente) Series 2004E		0.25%			12/11/12		21,000,000		21,000,000

RB (Kaiser Permanente) Series 2004I		0.25%			03/21/13		10,000,000		10,000,000

RB (Kaiser Permanente) Series 2004K		0.24%			11/27/12		20,000,000		20,000,000

RB (Kaiser Permanente) Series 2004K		0.26%			12/06/12		12,400,000		12,400,000

RB (Kaiser Permanente) Series 2004K		0.25%			01/11/13		12,700,000		12,700,000

RB (Kaiser Permanente) Series 2006D		0.26%			12/06/12		26,500,000		26,500,000

RB (Kaiser Permanente) Series 2008B		0.26%			07/11/12		15,000,000		15,000,000

10 See financial notes

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


							Face
Issuer			Effective		Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity		Date		($)		($)
RB (Kaiser Permanente) Series 2008B		0.25%				10/24/12		45,000,000		45,000,000

RB (Kaiser Permanente) Series 2008B		0.25%				03/05/13		20,000,000		20,000,000

RB (Kaiser Permanente) Series 2008C		0.20%				07/06/12		18,195,000		18,195,000

RB (Kaiser Permanente) Series 2009A		5.00%				04/01/13		1,200,000		1,242,231

RB (Kaiser Permanente) Series 2009B6		0.24%				08/15/12		14,000,000		14,000,000

RB (Kaiser Permanente) Series 2012A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.30%				01/17/13		24,090,000		24,090,000

Carlsbad USD
GO Bonds Series 2009B (LIQ: Wells Fargo & Co)	a	0.27%				10/18/12		11,065,000		11,065,000

East Bay Municipal Utility District
Wastewater System Extendible CP		0.25%		08/16/12		02/09/13		15,000,000		15,000,000

Water System Extendible CP		0.25%		08/16/12		02/09/13		20,800,000		20,800,000

Water System Extendible CP		0.21%		08/03/12		03/02/13		15,000,000		15,000,000

Water System Extendible CP		0.25%		10/01/12		03/02/13		5,000,000		5,000,000

Water System Extendible CP		0.25%		10/10/12		03/11/13		20,000,000		20,000,000

Fresno USD
GO Bonds Series 2010B		2.00%				08/01/12		2,855,000		2,858,658

Golden Gate Bridge, Highway & Transportation District
CP Series A		0.21%				08/08/12		30,500,000		30,500,000

Golden State Tobacco Securitization Corp
Enhanced Tobacco Settlement Asset-Backed Bonds Series 2003B (ESCROW)	b	5.00%				06/01/13		580,000		605,050

Enhanced Tobacco Settlement Asset-Backed Bonds Series 2003B (ESCROW)		5.50%				06/01/13		17,290,000		18,123,143

Tobacco Settlement Asset-Backed Bonds Series 2003A1 (ESCROW)		6.25%				06/01/13		6,140,000		6,473,731

Tobacco Settlement Asset-Backed Bonds Series 2003A1 (ESCROW)		6.63%				06/01/13		8,305,000		8,790,746

Tobacco Settlement Asset-Backed Bonds Series 2003A1 (ESCROW)		6.75%				06/01/13		3,925,000		4,158,937

Tobacco Settlement Asset-Backed Bonds Series 2003A3 (ESCROW)		7.88%				06/01/13		5,800,000		6,206,474

Tobacco Settlement Asset-Backed Bonds Series 2003A4 (ESCROW)		7.80%				06/01/13		2,000,000		2,138,020

Tobacco Settlement Asset-Backed Bonds Series 2003B (ESCROW)		5.63%				06/01/13		3,880,000		4,070,416

Hartnell Community College District
GO Bonds Series D (GTY/LIQ: Wells Fargo & Co)	a	0.30%				01/17/13		12,310,000		12,310,000

Imperial Irrigation District
Electric & Water Revenue CP Series A (LOC: Union Bank, NA)		0.22%				07/12/12		25,000,000		25,000,000

Electric System Refunding RB Series 2011B (GTY/LIQ: Wells Fargo Bank, NA)	a	0.27%				10/11/12		15,825,000		15,825,000

Kern Cnty
TRAN 2012-2013	b	2.50%				06/28/13		35,000,000		35,786,800

Los Angeles Cnty
TRAN 2012-13 Series A	b	2.00%				02/28/13		20,000,000		20,238,200

TRAN 2012-13 Series B	b	2.00%				03/29/13		20,000,000		20,268,000

TRAN 2012-13 Series C	b	2.00%				06/28/13		30,000,000		30,532,800

Los Angeles Cnty Capital Asset Leasing Corp
Lease Revenue CP Notes Series A (LOC: JPMorgan Chase Bank, NA)		0.20%				08/07/12		7,000,000		7,000,000

Lease Revenue CP Notes Series A (LOC: JPMorgan Chase Bank, NA)		0.18%				08/08/12		20,775,000		20,775,000

See financial notes 11

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Lease Revenue CP Notes Series B (LOC: Bank of America, NA)		0.32%			07/27/12		7,500,000		7,500,000

Lease Revenue CP Notes Series C (LOC: Wells Fargo Bank, NA)		0.17%			07/11/12		12,000,000		12,000,000

Lease Revenue CP Notes Series C (LOC: Wells Fargo Bank, NA)		0.16%			07/12/12		17,000,000		17,000,000

Lease Revenue CP Notes Series C (LOC: Wells Fargo Bank, NA)		0.20%			08/17/12		12,500,000		12,500,000

Los Angeles Dept of Airports
Airport Sub Revenue CP Notes Series B2 (LOC: Barclays Bank Plc)		0.21%			08/08/12		27,182,000		27,182,000

Airport Sub Revenue CP Notes Series B2 (LOC: Barclays Bank Plc)		0.19%			08/09/12		10,017,000		10,017,000

Airport Sub Revenue CP Notes Series D4 (LOC: Wells Fargo Bank, NA)		0.20%			08/08/12		40,000,000		40,000,000

Los Angeles Dept of Water & Power
Power System Revenue CP (LIQ: Wells Fargo Bank, NA)		0.20%			07/18/12		75,000,000		75,000,000

Power System Revenue CP (LIQ: Wells Fargo Bank, NA)		0.19%			07/24/12		20,000,000		20,000,000

Water System RB Series 2006A1&2007A2 (LIQ: Wells Fargo & Co)	a	0.27%			11/29/12		24,210,000		24,210,000

Los Angeles Harbor Dept
CP Series AB&C (LIQ: JPMorgan Chase Bank, NA)		0.19%			07/11/12		50,000,000		50,000,000

RB Series 2006D		5.00%			08/01/12		400,000		401,545

RB Series 2009B (LIQ: Wells Fargo & Co)	a	0.30%			01/17/13		9,725,000		9,725,000

Los Angeles Municipal Improvement Corp
Lease Revenue CP Series A1 (LOC: JPMorgan Chase Bank, NA)		0.20%			08/07/12		5,000,000		5,000,000

Lease Revenue CP Series A1 (LOC: Wells Fargo Bank, NA)		0.20%			08/07/12		3,878,000		3,878,000

Lease Revenue CP Series A1 (LOC: Wells Fargo Bank, NA)		0.20%			08/08/12		6,688,000		6,688,000

Special Tax Lease Refunding RB Series 2002G		5.00%			09/01/12		7,480,000		7,535,981

Los Angeles USD
GO Refunding Bonds Series 2007A1 (LIQ: Wells Fargo & Co)	a	0.30%			12/20/12		24,775,000		24,775,000

TRAN 2011-2012 Series A		2.00%			08/01/12		25,000,000		25,037,145

Marin Cnty
COP Series 2010 (LIQ: Wells Fargo Bank, NA)	a	0.27%			10/11/12		11,150,000		11,150,000

Mt. Diablo USD
GO Bonds Series 2010A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.27%			03/21/13		16,235,000		16,235,000

Oakland
TRAN 2012-2013	b	1.00%			06/28/13		20,000,000		20,146,400

Orange Cnty Sanitation District
Revenue Refunding Certificate Anticipation Notes Series 2011B		2.00%			11/09/12		70,600,000		71,047,480

Riverside Cnty
TRAN 2012-2013 Series A	b	2.00%			03/29/13		5,000,000		5,067,100

TRAN 2012-2013 Series B	b	2.00%			06/28/13		20,000,000		20,354,200

San Bernardino Cnty
TRAN 2012-13 Series A	b	2.00%			06/28/13		20,000,000		20,353,200

San Diego Cnty Water Auth
CP Series 4 (LIQ: Barclays Bank Plc)		0.18%			08/09/12		20,000,000		20,000,000

CP Series 4 (LIQ: Barclays Bank Plc)		0.21%			08/10/12		11,175,000		11,175,000

CP Series 4 (LIQ: Barclays Bank Plc)		0.18%			10/02/12		23,600,000		23,600,000

CP Series 5 (LIQ: Wells Fargo Bank, NA)		0.20%			07/17/12		17,000,000		17,000,000

CP Series 6 (LIQ: Citibank, NA)		0.20%			07/11/12		7,500,000		7,500,000

CP Series 6 (LIQ: Citibank, NA)		0.19%			08/09/12		24,500,000		24,500,000

San Diego Community College District
GO Bonds Series 2009 (LIQ: Wells Fargo & Co)	a	0.27%			10/18/12		12,825,000		12,825,000

San Diego Public Facilities Financing Auth
Sr Sewer RB Series 2009A (GTY/LIQ: Wells Fargo & Co)	a	0.30%			01/17/13		18,100,000		18,100,000

San Francisco
GO Improvement Bonds Series 2009A (LIQ: Wells Fargo & Co)	a	0.27%			10/18/12		38,280,000		38,280,000

12 See financial notes

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Lease Revenue CP COP Series 1 (LOC: JPMorgan Chase Bank, NA)		0.16%			09/12/12		10,508,000		10,508,000

Lease Revenue CP COP Series 2 (LOC: US Bank, NA)		0.16%			09/12/12		13,691,000		13,691,000

San Francisco Airport Commission
Second Series Refunding RB Series 2011C (GTY/LIQ: Wells Fargo Bank, NA)	a	0.27%			10/11/12		13,070,000		13,070,000

Second Series Refunding RB Series 29B		5.25%			05/01/13		2,000,000		2,079,076

Sub CP Series A2 (LOC: Barclays Bank Plc)		0.20%			08/16/12		3,700,000		3,700,000

San Joaquin Cnty Transportation Auth
Sales Tax Revenue CP (LOC: JPMorgan Chase Bank, NA)		0.19%			08/09/12		73,000,000		73,000,000

San Jose
Airport Sub CP Notes Series A3a&b, B3 (LOC: Wells Fargo Bank, NA)		0.19%			09/11/12		13,937,000		13,937,000

San Mateo Cnty Community College District
GO Bonds Series 2005B (LIQ: Wells Fargo & Co)	a	0.25%			10/25/12		9,865,000		9,865,000

Santa Clara Cnty Financing Auth
Refunding Lease RB Series 2007K (LIQ: US Bank, NA)	a	0.38%			12/06/12		47,430,000		47,430,000

Santa Clara USD
TRAN 2012	b	2.00%			06/28/13		10,500,000		10,682,280

Santa Cruz Cnty
TRAN 2012-13	b	2.00%			07/02/13		5,000,000		5,089,050

Southern California Public Power Auth
RB (Milford Wind Corridor) 2010-1		2.00%			07/01/12		1,135,000		1,135,000

RB (Windy Point/Windy Flats) Series 2010-1		3.00%			07/01/12		1,610,000		1,610,000

Torrance
TRAN 2011-2012		3.00%			07/12/12		36,000,000		36,028,903

Turlock Irrigation District
Sub Revenue CP Series A (LOC: Bank of America, NA)		0.26%			07/20/12		8,000,000		8,000,000

Univ of California
General RB Series 2007J (LIQ: Wells Fargo & Co)	a	0.23%			07/12/12		15,635,000		15,635,000

Whittier UHSD
GO Bonds Series 2009A (GTY/LIQ: Wells Fargo & Co)	a	0.30%			12/20/12		11,185,000		11,185,000

William S. Hart UHSD
GO Bonds Series A (GTY/LIQ: Wells Fargo & Co)	a	0.28%			01/24/13		21,995,000		21,995,000

Total Fixed-Rate Securities
(Cost $1,755,023,650)									1,755,023,650




Variable-Rate Securities 75.4% of net assets

California 71.1%
ABAG Finance Auth
M/F Housing RB (Bachenheimer Building) Series 2002A (LOC: Fannie Mae)		0.19%			07/06/12		7,620,000		7,620,000

M/F Housing RB (Crossing Apts) Series 2002A (LOC: Fannie Mae)		0.16%			07/06/12		9,000,000		9,000,000

M/F Housing RB (Darling Florist Building) Series 2002A (LOC: Fannie Mae)		0.19%			07/06/12		4,710,000		4,710,000

M/F Housing RB (GAIA Building) Series 2000A (LOC: Fannie Mae)		0.19%			07/06/12		12,165,000		12,165,000

M/F Housing RB (La Terrazza Apts) Series 2002A (LOC: Fannie Mae)		0.18%			07/06/12		8,295,000		8,295,000

M/F Housing RB (Lakeside Village Apts) Series 2011A (LOC: Freddie Mac)	c	0.14%			07/06/12		43,000,000		43,000,000

M/F Housing RB (Mountain View Apts) Series 1997A (LOC: Comerica Bank)		0.38%			07/06/12		5,030,000		5,030,000

See financial notes 13

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
M/F Housing Refunding RB (The Berkeleyan) Series 2003A (LOC: Fannie Mae)		0.19%			07/06/12		5,790,000		5,790,000

RB (Eskaton Village-Placerville) Series 2007 (LOC: Bank of America, NA)	b	0.43%			07/06/12		11,550,000		11,550,000

RB (Jewish Home of San Francisco) Series 2005 (LOC: Wells Fargo Bank, NA)		0.13%			07/02/12		4,150,000		4,150,000

RB (Marin Country Day School) Series 2007 (LOC: US Bank, NA)		0.16%			07/06/12		12,175,000		12,175,000

RB (Pacific Primary) Series 2008 (LOC: Comerica Bank)		0.22%			07/06/12		4,550,000		4,550,000

RB (Sharp HealthCare) Series 2011A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		16,750,000		16,750,000

Refunding RB (Eskaton Properties) Series 2008A (LOC: US Bank, NA)		0.18%			07/06/12		10,025,000		10,025,000

Refunding RB (Eskaton Properties) Series 2008B (LOC: US Bank, NA)		0.18%			07/06/12		14,900,000		14,900,000

Alameda Cnty IDA
RB (Aitchison Family) Series 1993A (LOC: Wells Fargo Bank, NA)		0.21%			07/06/12		1,000,000		1,000,000

RB (California Brazing) Series 2011 (LOC: Wells Fargo Bank, NA)		0.22%			07/06/12		5,000,000		5,000,000

Alameda-Contra Costa School Financing Auth
COP Series N (LOC: Federal Home Loan Bank)		0.15%			07/06/12		6,585,000		6,585,000

Anaheim Housing Auth
M/F Housing RB (Casa Granada Apts) Series 1997A (LOC: Fannie Mae)		0.18%			07/06/12		2,995,000		2,995,000

M/F Housing RB (Port Trinidad Apts) Series 1997C (LOC: Fannie Mae)		0.18%			07/06/12		1,640,000		1,640,000

M/F Housing Refunding RB (Sage Park) Series 1998A (LOC: Fannie Mae)		0.17%			07/06/12		5,500,000		5,500,000

Anaheim Public Financing Auth
Electric System RB Series 2009A (LIQ: Citibank, NA)	a	0.19%			07/06/12		7,500,000		7,500,000

Electric System Second Lien RB Series 2004 (GTY: Berkshire Hathaway Assurance Corp /LIQ: Morgan Stanley Bank NA)	a	0.27%			07/06/12		2,795,000		2,795,000

Bakersfield
Wastewater Refunding RB Series 2012A (LIQ: JPMorgan Chase Bank, NA)		0.17%			07/06/12		19,400,000		19,400,000

Bay Area Toll Auth
Toll Bridge RB Series 2006F (LIQ: Citibank, NA)	a	0.19%			07/06/12		16,985,000		16,985,000

Toll Bridge RB Series 2006F (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		2,500,000		2,500,000

Toll Bridge RB Series 2007F (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		7,245,000		7,245,000

Toll Bridge RB Series 2007F, 2008F1&2009F1 (LIQ: Morgan Stanley Bank NA)	a,c	0.27%			07/06/12		24,316,583		24,316,583

Toll Bridge RB Series 2008D1 (LOC: Lloyds TSB Bank Plc)		0.15%			07/06/12		3,200,000		3,200,000

Toll Bridge RB Series 2008F1 (LIQ: Citibank, NA)	a	0.20%			07/06/12		5,000,000		5,000,000

Toll Bridge RB Series 2009F1 (LIQ: Bank of America, NA)	a	0.26%			07/06/12		5,000,000		5,000,000

Toll Bridge RB Series 2009F1 (LIQ: Bank of America, NA)	a	0.30%			07/06/12		7,705,000		7,705,000

Cabrillo Community College District
GO Bonds Series B (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		12,300,000		12,300,000

California
Economic Recovery Bonds Series 2004C3 (LOC: Bank of America, NA)		0.20%			07/02/12		5,350,000		5,350,000

GO Bonds (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		26,050,000		26,050,000

GO Bonds Series 2003A1 (LOC: JPMorgan Chase Bank, NA)		0.16%			07/02/12		7,800,000		7,800,000

GO Bonds Series 2003B2 (LOC: California State Teachers Retirement Systems; JPMorgan Chase Bank, NA; California Public Employees’ Retirement System)	c	0.19%			07/06/12		75,000,000		75,000,000

14 See financial notes

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


							Face
Issuer			Effective		Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity		Date		($)		($)
GO Bonds Series 2003B3 (LOC: California State Teachers Retirement Systems; JPMorgan Chase Bank, NA; California Public Employees’ Retirement System)		0.15%				07/06/12		8,000,000		8,000,000

GO Bonds Series 2003B4 (LOC: California State Teachers Retirement Systems; JPMorgan Chase Bank, NA; California Public Employees’ Retirement System)		0.18%				07/06/12		5,800,000		5,800,000

GO Bonds Series 2004A1 (LOC: Citibank, NA; California State Teachers Retirement Systems)		0.16%				07/02/12		3,000,000		3,000,000

GO Bonds Series 2004A3 (LOC: State Street Bank & Trust Company, NA; California State Teachers Retirement Systems)		0.16%				07/02/12		470,000		470,000

GO Bonds Series 2004A4 (LOC: Citibank, NA; California State Teachers Retirement Systems)		0.16%				07/02/12		2,500,000		2,500,000

GO Bonds Series 2005B3 (LOC: Barclays Bank Plc)		0.16%				07/06/12		10,000,000		10,000,000

GO Bonds Series CB (LIQ: Citibank, NA)	a	0.23%				07/06/12		8,790,000		8,790,000

California Alternative Energy Source Financing Auth
Cogeneration Facility RB Series 1993B		0.20%				07/06/12		23,480,000		23,480,000

California Economic Development Financing Auth
Airport Facilities RB (Mercury Air Group) Series 1998 (LOC: Bank of America, NA)		0.45%				07/06/12		6,500,000		6,500,000

IDRB (Calco) Series 1997 (LOC: Wells Fargo Bank, NA)		0.29%				07/06/12		800,000		800,000

California Educational Facilities Auth
RB (California Institute of Technology) Series 2009 (LIQ: Citibank, NA)	a	0.18%				07/06/12		9,900,000		9,900,000

RB (Univ of San Francisco) Series 2003 (LOC: JPMorgan Chase Bank, NA)		0.20%				07/06/12		18,530,000		18,530,000

RB (Univ of Southern California) Series 2007A (LIQ: Wells Fargo Bank, NA)	a	0.19%				07/06/12		4,735,000		4,735,000

California Enterprise Development Finance Auth
RB (Sconza Candy) Series 2008A (LOC: Wells Fargo Bank, NA)		0.22%				07/06/12		10,000,000		10,000,000

California Health Facilities Financing Auth
RB (Catholic Healthcare West) Series 2011B (LOC: Bank of Montreal)		0.15%				07/06/12		6,725,000		6,725,000

RB (Children’s Hospital of Orange Cnty) Series 2009C (LOC: US Bank, NA)		0.15%				07/06/12		17,800,000		17,800,000

RB (Kaiser Permanente) Series 2011A,B,C&D (GTY/LIQ: Royal Bank of Canada)	a	0.22%		07/06/12		09/04/12		49,525,000		49,525,000

RB (Northern California Presbyterian Homes & Services) Series 2004 (LOC: Union Bank, NA)		0.20%				07/06/12		4,755,000		4,755,000

RB (Providence Health & Services) Series 2008C (LIQ: JPMorgan Chase Bank, NA)	a	0.18%				07/06/12		5,020,000		5,020,000

RB (Providence Health & Services) Series 2009B (LIQ: JPMorgan Chase Bank, NA)	a	0.18%				07/06/12		5,150,000		5,150,000

RB (Scripps Health) Series 2001A (LOC: JPMorgan Chase Bank, NA)		0.15%				07/06/12		4,000,000		4,000,000

RB (Scripps Health) Series 2008B (LOC: Wells Fargo Bank, NA)		0.15%				07/06/12		5,000,000		5,000,000

RB (Scripps Health) Series 2012B		0.10%				07/06/12		9,125,000		9,125,000

RB (St. Joseph Health) Series 2009A (LIQ: Morgan Stanley Bank NA)	a	0.27%				07/06/12		11,565,000		11,565,000

RB (Sutter Health) Series 2007A (LIQ: Deutsche Bank AG)	a	0.27%				07/06/12		9,000,000		9,000,000

RB (Sutter Health) Series 2007A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%				07/06/12		9,695,000		9,695,000

RB (Sutter Health) Series 2011B (LIQ: Citibank, NA)	a	0.19%				07/06/12		1,680,000		1,680,000

California HFA
Home Mortgage RB Series 2002J (LOC: Fannie Mae; Freddie Mac)		0.20%				07/06/12		27,035,000		27,035,000

Home Mortgage RB Series 2003K (LOC: Fannie Mae; Freddie Mac)		0.16%				07/06/12		1,890,000		1,890,000

See financial notes 15

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Home Mortgage RB Series 2004E (LOC: Fannie Mae; Freddie Mac)		0.16%			07/06/12		1,500,000		1,500,000

Home Mortgage RB Series 2005B (LOC: Fannie Mae; Freddie Mac)		0.16%			07/06/12		15,265,000		15,265,000

Home Mortgage RB Series 2006C (LOC: Fannie Mae; Freddie Mac)		0.17%			07/06/12		51,075,000		51,075,000

Home Mortgage RB Series 2006F (LOC: Fannie Mae; Freddie Mac)		0.16%			07/06/12		21,365,000		21,365,000

Home Mortgage RB Series 2007H (LOC: Fannie Mae; Freddie Mac)		0.16%			07/06/12		36,055,000		36,055,000

Home Mortgage RB Series 2007H (LOC: Fannie Mae; Freddie Mac)	c	0.16%			07/06/12		50,000,000		50,000,000

Home Mortgage RB Series 2007K (LOC: Fannie Mae; Freddie Mac)		0.16%			07/06/12		33,240,000		33,240,000

Home Mortgage RB Series 2008C (LOC: Fannie Mae; Freddie Mac)		0.16%			07/06/12		30,335,000		30,335,000

Home Mortgage RB Series 2008D (LOC: Fannie Mae; Freddie Mac)		0.16%			07/06/12		17,805,000		17,805,000

Home Mortgage RB Series 2008F (LOC: Fannie Mae; Freddie Mac)		0.16%			07/06/12		3,100,000		3,100,000

California Infrastructure & Economic Development Bank
IDRB (Alegacy Foodservice Products Group & Eagleware Manufacturing) Series 2005 (LOC: Comerica Bank)		0.21%			07/06/12		4,970,000		4,970,000

IDRB (American-De Rosa Lamp Arts) Series 1999 (LOC: Comerica Bank)		0.21%			07/06/12		4,950,000		4,950,000

RB (St. Margaret’s Episcopal School) Series 2008 (LOC: Federal Home Loan Bank)		0.32%			07/29/12		11,955,000		11,955,000

California Municipal Finance Auth
RB (Westmont College) Series 2010A (LOC: Comerica Bank)		0.16%			07/06/12		12,750,000		12,750,000

Recovery Zone Facility RB (Chevron) Series 2010A		0.13%			07/02/12		14,970,000		14,970,000

California Pollution Control Financing Auth
Pollution Control Refunding RB (PG&E) Series 1996C (LOC: JPMorgan Chase Bank, NA)		0.17%			07/02/12		1,720,000		1,720,000

Pollution Control Refunding RB (PG&E) Series 1997B (LOC: JPMorgan Chase Bank, NA)		0.23%			07/02/12		89,400,000		89,400,000

Solid Waste Disposal RB (Ag Resources III) Series 2004 (LOC: CoBank, ACB)		0.25%			07/06/12		5,570,000		5,570,000

Solid Waste Disposal RB (Alameda Cnty Industries) Series 2000A (LOC: Bank of the West)		0.52%			07/06/12		3,330,000		3,330,000

Solid Waste Disposal RB (Athens Disposal) Series 1995A (LOC: Wells Fargo Bank, NA)		0.22%			07/06/12		3,500,000		3,500,000

Solid Waste Disposal RB (Athens Disposal) Series 1999A (LOC: Wells Fargo Bank, NA)		0.22%			07/06/12		3,685,000		3,685,000

Solid Waste Disposal RB (Athens Services) Series 2001A (LOC: Wells Fargo Bank, NA)		0.22%			07/06/12		2,895,000		2,895,000

Solid Waste Disposal RB (Atlas Disposal) Series 1999A (LOC: US Bank, NA)		0.22%			07/06/12		4,369,000		4,369,000

Solid Waste Disposal RB (AVI-PGS) Series 2008A (LOC: Wells Fargo Bank, NA)		0.22%			07/06/12		3,735,000		3,735,000

Solid Waste Disposal RB (Bay Counties Waste Services) Series 2011A (LOC: Comerica Bank)		0.25%			07/06/12		6,700,000		6,700,000

Solid Waste Disposal RB (Burrtec Waste & Recycling Services) Series 2006A (LOC: Bank of America, NA)		0.31%			07/06/12		13,785,000		13,785,000

Solid Waste Disposal RB (Burrtec Waste Group) Series 2006A (LOC: US Bank, NA)		0.22%			07/06/12		13,445,000		13,445,000

Solid Waste Disposal RB (Burrtec Waste Group) Series 2008A (LOC: US Bank, NA)		0.22%			07/06/12		8,020,000		8,020,000

Solid Waste Disposal RB (Burrtec Waste Industries) Series 2000A (LOC: US Bank, NA)		0.22%			07/06/12		4,705,000		4,705,000

Solid Waste Disposal RB (Burrtec Waste Industries) Series 2002A (LOC: US Bank, NA)		0.22%			07/06/12		6,260,000		6,260,000

16 See financial notes

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Solid Waste Disposal RB (California Waste Solutions) Series 2002A (LOC: California State Teachers Retirement Systems)		0.22%			07/06/12		5,065,000		5,065,000

Solid Waste Disposal RB (California Waste Solutions) Series 2004A (LOC: California State Teachers Retirement Systems)		0.22%			07/06/12		700,000		700,000

Solid Waste Disposal RB (California Waste Solutions) Series 2007A (LOC: California State Teachers Retirement Systems)		0.22%			07/06/12		20,435,000		20,435,000

Solid Waste Disposal RB (Cedar Avenue Recycling & Transfer Station) Series 2003A (LOC: California State Teachers Retirement Systems)		0.22%			07/06/12		1,600,000		1,600,000

Solid Waste Disposal RB (CR&R) Series 2006A (LOC: JPMorgan Chase Bank, NA)	c	0.22%			07/06/12		19,600,000		19,600,000

Solid Waste Disposal RB (CR&R) Series 2007A (LOC: JPMorgan Chase Bank, NA)		0.22%			07/06/12		34,615,000		34,615,000

Solid Waste Disposal RB (Crown Disposal) Series 2010A (LOC: Union Bank, NA)		0.21%			07/06/12		2,825,000		2,825,000

Solid Waste Disposal RB (Desert Properties) Series 2006B (LOC: Union Bank, NA)		0.25%			07/06/12		1,845,000		1,845,000

Solid Waste Disposal RB (Garaventa Enterprises) Series 2006A (LOC: Bank of America, NA)		0.31%			07/06/12		7,170,000		7,170,000

Solid Waste Disposal RB (Garaventa Enterprises) Series 2008A (LOC: Bank of America, NA)		0.31%			07/06/12		10,715,000		10,715,000

Solid Waste Disposal RB (Garden City Sanitation) Series 2009A (LOC: Union Bank, NA)		0.21%			07/06/12		8,100,000		8,100,000

Solid Waste Disposal RB (Garden City Sanitation) Series 2009B (LOC: Comerica Bank)		0.21%			07/06/12		2,920,000		2,920,000

Solid Waste Disposal RB (GreenTeam of San Jose) Series 1997A (LOC: Bank of America, NA)		0.31%			07/06/12		160,000		160,000

Solid Waste Disposal RB (GreenTeam of San Jose) Series 2001A (LOC: Bank of America, NA)		0.31%			07/06/12		2,580,000		2,580,000

Solid Waste Disposal RB (GreenWaste of Tehama) Series 1999A (LOC: Bank of America, NA)		0.31%			07/06/12		290,000		290,000

Solid Waste Disposal RB (GreenWaste Recovery) Series 2006A (LOC: Comerica Bank)		0.25%			07/06/12		2,475,000		2,475,000

Solid Waste Disposal RB (GreenWaste Recovery) Series 2007A (LOC: Comerica Bank)		0.25%			07/06/12		7,550,000		7,550,000

Solid Waste Disposal RB (Madera Disposal Systems) Series 1998A (LOC: Bank of America, NA)		0.31%			07/06/12		1,800,000		1,800,000

Solid Waste Disposal RB (Marin Sanitary Service) Series 2006A (LOC: Comerica Bank)		0.25%			07/06/12		2,305,000		2,305,000

Solid Waste Disposal RB (Mid-Valley Disposal) Series 2006A (LOC: Union Bank, NA)		0.25%			07/06/12		2,765,000		2,765,000

Solid Waste Disposal RB (Mill Valley Refuse Service) Series 2003A (LOC: California State Teachers Retirement Systems)		0.22%			07/06/12		845,000		845,000

Solid Waste Disposal RB (Mission Trail Waste Systems) Series 2010A (LOC: Comerica Bank)		0.21%			07/06/12		2,875,000		2,875,000

Solid Waste Disposal RB (Mottra Corp) Series 2002A (LOC: Union Bank, NA)		0.25%			07/06/12		640,000		640,000

Solid Waste Disposal RB (Napa Recycling & Waste Services) Series 2005A (LOC: Union Bank, NA)		0.25%			07/06/12		2,045,000		2,045,000

Solid Waste Disposal RB (Northern Recycling & Waste Services) Series 2007A (LOC: Union Bank, NA)		0.25%			07/06/12		2,540,000		2,540,000

Solid Waste Disposal RB (Orange Ave Disposal) Series 2002A (LOC: California State Teachers Retirement Systems)		0.22%			07/06/12		4,785,000		4,785,000

See financial notes 17

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Solid Waste Disposal RB (Placer Cnty Eastern Regional Sanitary Landfill) Series 2003A (LOC: California State Teachers Retirement Systems)		0.22%			07/06/12		2,235,000		2,235,000

Solid Waste Disposal RB (Rainbow Disposal) Series 2006A (LOC: Union Bank, NA)		0.25%			07/06/12		8,910,000		8,910,000

Solid Waste Disposal RB (Ratto Group of Companies) Series 2001A (LOC: California State Teachers Retirement Systems)		0.22%			07/06/12		2,910,000		2,910,000

Solid Waste Disposal RB (Ratto Group of Companies) Series 2007A (LOC: Comerica Bank)		0.25%			07/06/12		18,010,000		18,010,000

Solid Waste Disposal RB (Recycling Industries) Series 2011 (LOC: Comerica Bank)		0.25%			07/06/12		2,420,000		2,420,000

Solid Waste Disposal RB (Sanco Services) Series 2002A (LOC: Bank of America, NA)		0.31%			07/06/12		4,135,000		4,135,000

Solid Waste Disposal RB (Santa Clara Valley Industries) Series 1998A (LOC: Comerica Bank)		0.25%			07/06/12		835,000		835,000

Solid Waste Disposal RB (South Bay Recycling) Series 2010B (LOC: Union Bank, NA)		0.21%			07/06/12		2,740,000		2,740,000

Solid Waste Disposal RB (South Tahoe Refuse) Series 2008A (LOC: Union Bank, NA)		0.25%			07/06/12		4,245,000		4,245,000

Solid Waste Disposal RB (Talco Plastics) Series 1997A (LOC: US Bank, NA)		0.21%			07/06/12		2,200,000		2,200,000

Solid Waste Disposal RB (Upper Valley Disposal Service) Series 2008A (LOC: Union Bank, NA)		0.25%			07/06/12		1,585,000		1,585,000

Solid Waste Disposal RB (Valley Vista Services) Series 2003A (LOC: Comerica Bank)		0.25%			07/06/12		1,100,000		1,100,000

Solid Waste Disposal RB (Valley Vista Services) Series 2007A (LOC: Comerica Bank)		0.25%			07/06/12		2,205,000		2,205,000

Solid Waste Disposal RB (Vanderham Family Trust - J&D Wilson & Sons Dairy) Series 2004 (LOC: CoBank, ACB)		0.26%			07/06/12		2,500,000		2,500,000

Solid Waste Disposal RB (Waste Connections) Series 2007 (LOC: Bank of America, NA)		0.35%			07/06/12		5,400,000		5,400,000

Solid Waste Disposal RB (Zanker Road Landfill) Series 1999C (LOC: Comerica Bank)		0.25%			07/06/12		1,275,000		1,275,000

Solid Waste Disposal RB (Zanker Road Management) Series 2011A (LOC: Comerica Bank)		0.25%			07/06/12		2,500,000		2,500,000

Solid Waste Disposal RB (Zerep Management Corp) Series 2011A (LOC: Comerica Bank)		0.25%			07/06/12		2,810,000		2,810,000

Solid Waste Disposal RB (Zero Waste Energy Development Co) Series 2012 (LOC: Comerica Bank)		0.25%			07/06/12		6,480,000		6,480,000

Solid Waste Disposal Refunding RB (MarBorg Industries) Series 2009A (LOC: Union Bank, NA)		0.21%			07/06/12		3,025,000		3,025,000

California Public Works Board
Lease RB (Univ of California) Series 2005D (LIQ: Bank of America, NA)	a	0.26%			07/06/12		11,660,000		11,660,000

Lease Refunding RB (Univ of California) Series 2007A (LIQ: Branch Banking & Trust Co)	a	0.16%			07/06/12		8,760,000		8,760,000

Lease Refunding RB (Univ of California) Series 2007A (LIQ: Rabobank Nederland)	a	0.18%			07/06/12		32,765,000		32,765,000

Lease Refunding RB (Univ of California) Series 2007C (LIQ: Branch Banking & Trust Co)	a	0.16%			07/06/12		11,090,000		11,090,000

California Statewide Communities Development Auth
IDRB (RL Group) Series 1998C (LOC: US Bank, NA)		0.21%			07/06/12		1,260,000		1,260,000

M/F Housing RB (Avian Glen Apts) Series 204CC (LOC: Citibank, NA)		0.26%			07/06/12		4,990,000		4,990,000

18 See financial notes

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
M/F Housing RB (Campus Pointe Apts) Series 2008J (LOC: Federal Home Loan Bank)		0.18%			07/06/12		12,100,000		12,100,000

M/F Housing RB (Charter Court Apts) Series 2008L (LOC: Freddie Mac)		0.21%			07/06/12		10,125,000		10,125,000

M/F Housing RB (Creekside at Meadow Park Apts) Series 2002HH (LOC: Fannie Mae)		0.17%			07/06/12		8,995,000		8,995,000

M/F Housing RB (Crossings West Apts) Series 2009E (LOC: Freddie Mac)		0.19%			07/06/12		15,000,000		15,000,000

M/F Housing RB (Cypress Villa Apts) Series 2000F (LOC: Fannie Mae)		0.20%			07/06/12		4,725,000		4,725,000

M/F Housing RB (Dublin Ranch Sr Apts) Series 2003OO (LOC: Fannie Mae)		0.16%			07/06/12		15,090,000		15,090,000

M/F Housing RB (Dublin Ranch Sr Apts) Series 2006G (LOC: Fannie Mae)		0.18%			07/06/12		5,010,000		5,010,000

M/F Housing RB (Emerald Gardens Apts) Series 2000E (LOC: Fannie Mae)		0.17%			07/06/12		7,320,000		7,320,000

M/F Housing RB (Fairway Family Apts) Series 2003PP (LOC: Fannie Mae)		0.16%			07/06/12		3,000,000		3,000,000

M/F Housing RB (Fairway Family Apts) Series 2006H (LOC: Fannie Mae)		0.17%			07/06/12		7,000,000		7,000,000

M/F Housing RB (Heritage Oaks Apts) Series 2004YY (LOC: Fannie Mae)		0.17%			07/06/12		6,900,000		6,900,000

M/F Housing RB (Las Flores Village Apts) Series 2004JJ (LOC: Freddie Mac)		0.17%			07/06/12		13,500,000		13,500,000

M/F Housing RB (Laurel Park Sr Apts) Series 2002H (LOC: Freddie Mac)		0.17%			07/06/12		5,500,000		5,500,000

M/F Housing RB (Martin Luther Tower) Series 2005D (LOC: Fannie Mae)		0.18%			07/06/12		7,650,000		7,650,000

M/F Housing RB (Oak Center Towers) Series 2005L (LOC: Fannie Mae)		0.18%			07/06/12		3,620,000		3,620,000

M/F Housing RB (Oakmont of Concord) Series 2002Q (LOC: Fannie Mae)		0.16%			07/06/12		10,000,000		10,000,000

M/F Housing RB (Plaza Club Apts) Series 1997A (LOC: Fannie Mae)		0.21%			07/06/12		14,790,000		14,790,000

M/F Housing RB (Rancho Santa Fe Village Apts) Series 2004EE (LOC: Freddie Mac)		0.17%			07/06/12		12,300,000		12,300,000

M/F Housing RB (Sagewood At Stonebridge Estates) Series 2005CC (LOC: Fannie Mae)		0.18%			07/06/12		9,100,000		9,100,000

M/F Housing RB (Sharps & Flats Apts) Series 2002X (LOC: Fannie Mae)		0.17%			07/06/12		13,800,000		13,800,000

M/F Housing Refunding RB (Arbor Ridge Apts) Series 2008B (LOC: Freddie Mac)		0.21%			07/06/12		16,405,000		16,405,000

M/F Housing Refunding RB (Brandon Place Apts) Series 2006D (LOC: Fannie Mae)		0.18%			07/06/12		6,070,000		6,070,000

RB (Cottage Health) Series 2010 (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		36,045,000		36,045,000

RB (Kaiser Permanente) Series 2006B (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.19%			07/06/12		4,950,000		4,950,000

RB (Plan Nine Partners) Series 2005A (LOC: Union Bank, NA)		0.21%			07/06/12		5,300,000		5,300,000

RB (Sutter Health) Series 2002B (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		2,200,000		2,200,000

RB (Sutter Health) Series 2005C (LIQ: Citibank, NA)	a	0.21%			07/06/12		6,300,000		6,300,000

Refunding RB (Los Angeles Cnty Museum of Art) Series 2008A (LOC: Union Bank, NA)		0.14%			07/06/12		19,100,000		19,100,000

See financial notes 19

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


							Face
Issuer			Effective		Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity		Date		($)		($)
Refunding RB (Los Angeles Cnty Museum of Art) Series 2008B (LOC: Union Bank, NA)		0.14%				07/06/12		30,400,000		30,400,000

Refunding RB (Retirement Housing Foundation) Series 2008 (LOC: US Bank, NA)		0.14%				07/06/12		3,400,000		3,400,000

Refunding RB (Trinity Health) Series 2011CA (LIQ: Citibank, NA)	a	0.18%				07/06/12		2,175,000		2,175,000

Cerritos Community College District
GO Bonds Series 2012D (LIQ: Wells Fargo Bank, NA)	a	0.19%				07/06/12		12,305,000		12,305,000

Chino Basin Regional Financing Auth
RB (Inland Empire Utilities Agency) Series 2008A (LIQ: Deutsche Bank AG)	a	0.23%				07/06/12		8,055,000		8,055,000

Chula Vista
Refunding IDRB (SDG&E) Series 2004E (GTY/LIQ: Wells Fargo & Co)	a	0.19%				07/06/12		9,995,000		9,995,000

Refunding RB (SDG&E) Series 2006A		0.16%				07/06/12		69,200,000		69,200,000

Coast Community College District
GO Bonds Series 2006B (LIQ: Deutsche Bank AG)	a	0.23%				07/06/12		13,880,000		13,880,000

GO Bonds Series 2006B (LIQ: JPMorgan Chase Bank, NA)	a	0.18%				07/06/12		12,095,000		12,095,000

GO Bonds Series 2006B (LIQ: Wells Fargo & Co)	a	0.18%				07/06/12		9,450,000		9,450,000

Contra Costa Cnty
M/F Housing RB (Creekview Apts) Series 2003B (LOC: Freddie Mac)		0.17%				07/06/12		26,200,000		26,200,000

Contra Costa Water District
Water Refunding RB Series N (LIQ: Bank of America, NA)	a	0.26%				07/06/12		15,350,000		15,350,000

Dublin USD
GO Bonds Series 2004E (LIQ: Wells Fargo & Co)	a	0.19%				07/06/12		30,660,000		30,660,000

East Bay Municipal Utility District
Wastewater System Refunding RB Series 2011A		0.18%		07/05/12		02/01/13		23,530,000		23,530,000

Water System Refunding RB Series 2008B3 (LIQ: JPMorgan Chase Bank, NA)		0.12%				07/06/12		34,760,000		34,760,000

Water System Refunding RB Series 2009A1		0.18%		07/05/12		12/03/12		52,145,000		52,145,000

Water System Refunding RB Series 2009A2		0.19%		07/05/12		03/01/13		10,815,000		10,815,000

Water System Sub Refunding RB Series 2010A (LIQ: Citibank, NA)	a	0.18%				07/06/12		9,760,000		9,760,000

Eastern Municipal Water District
Revenue COP Series 2008G (LOC: Mizuho Corporate Bank Ltd)		0.20%				07/06/12		20,000,000		20,000,000

El Cajon
M/F Housing RB (Park-Mollison & Madison Apts) Series 1998 (LOC: Federal Home Loan Bank)		0.21%				07/06/12		4,400,000		4,400,000

El Camino Community College District
GO Bonds Series 2006B (LIQ: Bank of America, NA)	a	0.26%				07/06/12		9,485,000		9,485,000

El Camino Hospital District
GO Bonds Series 2006 (LIQ: Deutsche Bank AG)	a	0.24%				07/06/12		11,320,000		11,320,000

Elsinore Valley Municipal Water District
Refunding COP Series 2011A (LOC: Union Bank, NA)		0.15%				07/06/12		9,970,000		9,970,000

Emeryville Redevelopment Agency
M/F Housing RB (Bay St Apts) Series 2002A (LOC: Fannie Mae)		0.21%				07/06/12		57,715,000		57,715,000

Escondido
M/F Housing RB (Via Roble Apts) Series 2003A (LOC: Fannie Mae)		0.18%				07/06/12		6,900,000		6,900,000

Escondido USD
GO Bonds Series 2009B (GTY/LIQ: Wells Fargo & Co)	a	0.19%				07/06/12		23,195,000		23,195,000

Foothill-DeAnza Community College District
GO Bonds Series A (LIQ: Deutsche Bank AG)	a	0.23%				07/06/12		8,973,000		8,973,000

GO Bonds Series B (LIQ: Deutsche Bank AG)	a	0.23%				07/06/12		14,045,000		14,045,000

GO Bonds Series C (LIQ: Branch Banking & Trust Co)	a,c	0.16%				07/06/12		23,780,000		23,780,000

20 See financial notes

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


							Face
Issuer			Effective		Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity		Date		($)		($)
GO Bonds Series C (LIQ: Morgan Stanley Bank NA)	a	0.27%				07/06/12		2,500,000		2,500,000

GO Bonds Series C (LIQ: Wells Fargo Bank, NA)	a	0.19%				07/06/12		9,860,000		9,860,000

Fremont USD
GO Bonds Series B (LIQ: JPMorgan Chase Bank, NA)	a	0.28%				07/06/12		5,000,000		5,000,000

Fresno
Sewer System RB Series 2008A (LIQ: Citibank, NA)	a	0.20%				07/06/12		10,000,000		10,000,000

Fresno IDA
IDRB (Keiser Corp) Series 1997 (LOC: Comerica Bank)		0.21%				07/06/12		635,000		635,000

Fresno USD
GO Bonds Series 2001G & Series 2010B (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%				07/06/12		8,030,000		8,030,000

Grossmont UHSD
GO Bonds Series 2006 (LIQ: Deutsche Bank AG)	a	0.25%				07/06/12		5,410,000		5,410,000

GO Bonds Series 2008 (LIQ: JPMorgan Chase Bank, NA)	a	0.18%				07/06/12		3,275,000		3,275,000

GO Bonds Series 2009A (LIQ: Citibank, NA)	a	0.22%				07/06/12		7,525,000		7,525,000

GO Bonds Series 2010B (LIQ: Citibank, NA)	a	0.19%				07/06/12		4,000,000		4,000,000

GO Bonds Series 2010B (LIQ: Morgan Stanley Bank NA)	a	0.27%				07/06/12		5,000,000		5,000,000

Hayward
M/F Housing RB (Timbers Apts) Series 1998A (LOC: Fannie Mae)		0.21%				07/06/12		9,500,000		9,500,000

Hesperia Public Financing Authority
RB (1993 St Refinancing) Series 2004 (LOC: Bank of America, NA)		0.35%				07/06/12		4,205,000		4,205,000

Huntington Beach
M/F Housing RB (Five Points Seniors) Series 1991A (LOC: Fannie Mae)		0.21%				07/06/12		9,500,000		9,500,000

Long Beach Community College District
GO Bonds Series 2007D (LIQ: Wells Fargo & Co)	a	0.19%				07/06/12		25,160,000		25,160,000

Long Beach USD
GO Bonds Series A (LIQ: Deutsche Bank AG)	a	0.23%				07/06/12		6,665,000		6,665,000

Los Angeles
COP (Windward School) Series 2007A (LOC: US Bank, NA)		0.16%				07/06/12		19,550,000		19,550,000

M/F Housing Refunding RB (Asbury Apts) Series 2003A (LOC: Citibank, NA)		0.27%				07/06/12		5,060,000		5,060,000

Wastewater System Refunding RB Series 2003A (LIQ: Citibank, NA)	a,c	0.18%				07/06/12		34,620,000		34,620,000

Wastewater System Refunding RB Series 2005A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%				07/06/12		5,715,000		5,715,000

Los Angeles Cnty Housing Auth
M/F Housing RB (Castaic Sr Apts) Series 2003C (LOC: Fannie Mae)		0.17%				07/06/12		9,300,000		9,300,000

M/F Housing Refunding RB (Diamond Park Apts) Series 2010B (LOC: Freddie Mac)		0.18%				07/06/12		14,200,000		14,200,000

M/F Housing Refunding RB (Malibu Meadows) Series 1998B (LOC: Fannie Mae)		0.14%				07/06/12		14,550,000		14,550,000

M/F Housing Refunding RB (Sand Canyon Villas) Series 2010C (LOC: Freddie Mac)		0.18%				07/06/12		17,000,000		17,000,000

Los Angeles Cnty Metropolitan Transportation Auth
First Tier Sr Sales Tax Refunding RB Series 2005A (LIQ: JPMorgan Chase Bank, NA)	a	0.20%				07/06/12		7,910,000		7,910,000

First Tier Sr Sales Tax Refunding RB Series 2008A3&A4 (GTY/LIQ: Royal Bank of Canada)	a	0.22%		07/06/12		08/01/12		17,900,000		17,900,000

Second Sr Sales Tax RB Series 2004A (LIQ: Citibank, NA)	a	0.20%				07/02/12		4,950,000		4,950,000

Sr Sales Tax Refunding RB Series 2009A2 (LIQ: Mizuho Corporate Bank Ltd)		0.14%				07/02/12		24,500,000		24,500,000

See financial notes 21

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Los Angeles Community College District
GO Bonds Series 2006E (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		4,785,000		4,785,000

GO Bonds Series 2007A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		8,270,000		8,270,000

GO Bonds Series 2007A (LIQ: Morgan Stanley Bank NA)	a	0.27%			07/06/12		5,225,000		5,225,000

GO Bonds Series 2008F1 (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		6,665,000		6,665,000

GO Refunding Bonds Series 2005A (LIQ: Bank of America, NA)	a	0.26%			07/06/12		9,575,000		9,575,000

Los Angeles Community Redevelopment Agency
M/F Housing RB (Security Building) Series 2001A (LOC: Fannie Mae)		0.21%			07/06/12		3,955,000		3,955,000

Los Angeles Dept of Airports
Airport Sr RB Series 2008A (LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		17,865,000		17,865,000

Airport Sr RB Series 2008A (LIQ: JPMorgan Chase Bank, NA)	a	0.24%			07/06/12		19,295,000		19,295,000

Airport Sr RB Series 2008A (LIQ: Morgan Stanley Bank NA)	a	0.30%			07/06/12		13,475,000		13,475,000

Airport Sr RB Series 2010A (LIQ: Bank of America, NA)	a	0.26%			07/06/12		14,685,000		14,685,000

Airport Sr RB Series 2010A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		7,925,000		7,925,000

Airport Sr RB Series 2010A (LIQ: Royal Bank of Canada)	a	0.15%			07/06/12		17,440,000		17,440,000

Airport Sr RB Series 2010A&D (LIQ: Barclays Bank Plc)	a	0.17%			07/06/12		32,625,000		32,625,000

Airport Sr RB Series 2010D (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		4,665,000		4,665,000

Los Angeles Dept of Water & Power
Power System RB Series 2001B3 (LIQ: Wells Fargo Bank, NA)		0.17%			07/06/12		10,200,000		10,200,000

Power System RB Series 2001B5 (LIQ: Royal Bank of Canada)		0.10%			07/06/12		30,000,000		30,000,000

Power System RB Series 2002A1 (LIQ: JPMorgan Chase Bank, NA)		0.15%			07/06/12		50,000,000		50,000,000

Power System RB Series 2002A4 (LIQ: JPMorgan Chase Bank, NA)		0.15%			07/06/12		8,300,000		8,300,000

Power System RB Series 2005A1 (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		7,875,000		7,875,000

Power System RB Series 2005A2&2007A2 (LIQ: Bank of America, NA)	a	0.26%			07/06/12		2,630,000		2,630,000

Power System RB Series 2007A1 (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		10,255,000		10,255,000

Power System RB Series 2007A2 (LIQ: Bank of America, NA)	a	0.30%			07/06/12		3,690,000		3,690,000

Power System RB Series 2007A2 (LIQ: Citibank, NA)	a	0.21%			07/06/12		8,085,000		8,085,000

Water System RB Series 2003A (LIQ: Citibank, NA)	a	0.20%			07/06/12		7,000,000		7,000,000

Water System RB Series 2006A2 (LIQ: Bank of America, NA)	a	0.26%			07/06/12		5,450,000		5,450,000

Water System RB Series 2006A2 (LIQ: Citibank, NA)	a	0.20%			07/02/12		1,600,000		1,600,000

Water System RB Series 2012A (LIQ: Royal Bank of Canada)	a	0.16%			07/06/12		17,000,000		17,000,000

Los Angeles Harbor Dept
RB Series 2006D (LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		7,390,000		7,390,000

Refunding RB Series 2006B (LIQ: Citibank, NA)	a	0.23%			07/06/12		16,120,000		16,120,000

Los Angeles IDA
IDRB (KH Enterprises) Series 2008 (LOC: Comerica Bank)		0.32%			07/06/12		1,665,000		1,665,000

RB (AAA Packing & Shipping) Series 2000 (LOC: California State Teachers Retirement Systems)		0.21%			07/06/12		3,000,000		3,000,000

RB (Green Farms) Series 2003 (LOC: Federal Home Loan Bank)		0.23%			07/06/12		2,270,000		2,270,000

Los Angeles USD
GO Bonds Series 2005E (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		6,735,000		6,735,000

GO Bonds Series 2007B & Refunding Series 2007B (LIQ: State Street Bank & Trust Company, NA)	a	0.21%			07/06/12		7,290,000		7,290,000

GO Bonds Series 2007C (LIQ: Morgan Stanley Bank NA)	a	0.27%			07/06/12		8,250,000		8,250,000

GO Bonds Series 2007H (LIQ: Citibank, NA)	a	0.19%			07/06/12		5,000,000		5,000,000

22 See financial notes

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
GO Bonds Series 2009F (LIQ: Morgan Stanley Bank NA)	a	0.27%			07/06/12		6,265,000		6,265,000

GO Bonds Series 2009I (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		6,890,000		6,890,000

GO Refunding Bonds Series 2007A2 (LIQ: Wells Fargo & Co)	a	0.17%			07/06/12		3,000,000		3,000,000

Marin Municipal Water District
Water RB Sub Lien Series 2012A (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		30,995,000		30,995,000

Monterey Peninsula Water Management District
COP (Wastewater Reclamation) Series 1992 (LOC: Wells Fargo Bank, NA)		0.20%			07/06/12		4,500,000		4,500,000

Mt. Diablo USD
GO Bonds Series 2012E (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		17,275,000		17,275,000

Newport Beach
Refunding RB (Hoag Memorial Hospital Presbyterian) Series 2008E (LOC: Northern Trust Co)		0.15%			07/06/12		12,500,000		12,500,000

Newport-Mesa USD
GO Bonds Series 2011 (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		5,915,000		5,915,000

Oakland
GO Bonds Series 2009B (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		10,080,000		10,080,000

Oceanside
M/F Mortgage RB (Riverview Springs Apts) Series 1990A (LOC: Fannie Mae)		0.21%			07/06/12		11,970,000		11,970,000

Ohlone Community College District
GO Bonds Series 2002B (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		12,255,000		12,255,000

GO Bonds Series 2010A (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		12,305,000		12,305,000

Orange Cnty
Airport RB Series 2009B (LIQ: Morgan Stanley Bank NA)	a	0.27%			07/06/12		6,520,000		6,520,000

Refunding RB (Riverbend Apts) 1999B (LOC: Freddie Mac)		0.15%			07/06/12		22,200,000		22,200,000

Orange Cnty Housing Auth
Apt Development RB (Lantern Pines) Series 1985CC (LOC: Fannie Mae)		0.18%			07/06/12		1,400,000		1,400,000

Refunding RB (Villa La Paz) Series 1998F (LOC: Fannie Mae)		0.20%			07/06/12		9,900,000		9,900,000

Orange Cnty Sanitation District
COP Series 2003 (ESCROW/LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		4,775,000		4,775,000

Refunding COP Series 2000A (LIQ: Lloyds TSB Bank Plc)		0.14%			07/02/12		12,500,000		12,500,000

Oxnard Financing Auth
Lease RB Series 2003B (LOC: Union Bank, NA)		0.17%			07/06/12		5,750,000		5,750,000

Lease RB Series 2006 (LOC: Union Bank, NA)		0.17%			07/06/12		10,725,000		10,725,000

Wastewater RB Series 2004B (LOC: Union Bank, NA)		0.17%			07/06/12		10,275,000		10,275,000

Water RB Series 2006 (GTY/LIQ: US Bank, NA)	a	0.17%			07/06/12		22,475,000		22,475,000

Palomar Community College District
GO Bonds Series 2006B (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		16,175,000		16,175,000

Peralta Community College District
GO Bonds Series 2009C (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		5,150,000		5,150,000

Petaluma
M/F Housing RB (Oakmont) Series 1996A (LOC: US Bank, NA)		0.24%			07/06/12		2,750,000		2,750,000

Pinole Redevelopment Agency
M/F Housing RB (East Bluff Apts) Series 1998A (LOC: Comerica Bank)		0.38%			07/06/12		4,959,000		4,959,000

Pittsburg Public Financing Auth
Water Refunding RB Series 2008 (LOC: Bank of the West)		0.33%			07/06/12		4,000,000		4,000,000

Pittsburg Redevelopment Agency
Sub Tax Allocation Bonds (Los Medanos) Series 2004A (LOC: State Street Bank & Trust Company, NA; California State Teachers Retirement Systems)		0.15%			07/02/12		2,915,000		2,915,000

See financial notes 23

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Placentia-Yorba Linda USD
GO Bonds Series 2008B (LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		27,335,000		27,335,000

Pleasanton
M/F Housing RB (Busch Sr Housing) Series 2003A (LOC: Fannie Mae)		0.17%			07/06/12		13,360,000		13,360,000

Pomona Public Financing Auth
Water Facilities RB Series 2007AY (GTY/LIQ: US Bank, NA)	a	0.21%			07/06/12		8,935,000		8,935,000

Redondo Beach Redevelopment Agency
M/F Housing Refunding RB (Heritage Pointe Apts) Series 2004A (LOC: Fannie Mae)		0.21%			07/06/12		10,890,000		10,890,000

Riverside
Electric Refunding RB Series 2008A (LOC: Bank of America, NA)		0.22%			07/06/12		8,000,000		8,000,000

Riverside Cnty Housing Auth
M/F Housing RB (Victoria Springs Apts) Series 1989C (LOC: Fannie Mae)		0.21%			07/06/12		9,000,000		9,000,000

Riverside Cnty Transportation Commission
Limited Sales Tax RB Series 2009B (LIQ: JPMorgan Chase Bank, NA)		0.18%			07/06/12		11,595,000		11,595,000

Limited Sales Tax RB Series 2009C (LIQ: JPMorgan Chase Bank, NA)		0.17%			07/06/12		13,570,000		13,570,000

Riverside Community College District
GO Bonds Series 2007C (LIQ: Bank of America, NA)	a	0.33%			07/06/12		5,940,000		5,940,000

Roseville Jt UHSD
GO Bonds Series C (LIQ: Deutsche Bank AG)	a	0.25%			07/06/12		7,530,000		7,530,000

Sacramento Cnty
COP Series 2007 (GTY/LIQ: US Bank, NA)	a	0.17%			07/06/12		21,100,000		21,100,000

M/F Housing RB (Ashford Heights Apts) Series 2006H (LOC: Fannie Mae)		0.17%			07/06/12		7,255,000		7,255,000

Sacramento Cnty Housing Auth
M/F Housing RB (Carlton Plaza Sr Apts) Series 2003E (LOC: Fannie Mae)		0.21%			07/06/12		6,000,000		6,000,000

M/F Housing RB (Hastings Park Apts) Series 2004G (LOC: Fannie Mae)		0.17%			07/06/12		5,300,000		5,300,000

M/F Housing RB (Logan Park Apts) Series 2007E (LOC: Freddie Mac)		0.21%			07/06/12		24,000,000		24,000,000

M/F Housing Refunding RB (Chesapeake Commons Apts) Series 2001C (LOC: Fannie Mae)		0.21%			07/06/12		8,000,000		8,000,000

Sacramento Cnty Sanitation District Financing Auth
RB Series 2006 (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		4,750,000		4,750,000

Sacramento Housing Auth
M/F Housing RB (Atrium Court Apts) 2002G (LOC: Fannie Mae)		0.18%			07/06/12		17,200,000		17,200,000

M/F Housing RB (Greenfair Apts) Series 2000G (LOC: Citibank, NA)		0.48%			07/06/12		10,200,000		10,200,000

M/F Housing RB (Hurley Creek Sr Apts) Series 2006E (LOC: Freddie Mac)		0.17%			07/06/12		10,265,000		10,265,000

M/F Housing RB (St. Anton Building Apts) Series 2003I (LOC: Fannie Mae)		0.17%			07/06/12		8,000,000		8,000,000

M/F Housing RB (Valencia Point Apts) Series 2006I (LOC: Fannie Mae)		0.17%			07/06/12		5,150,000		5,150,000

Sacramento Suburban Water District
Refunding Revenue COP Series 2009A (LOC: Sumitomo Mitsui Banking Corp)		0.16%			07/06/12		5,000,000		5,000,000

San Bernardino Community College District
GO Bonds Series C (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		13,660,000		13,660,000

24 See financial notes

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
San Diego Cnty
COP (San Diego Jewish Academy) Series 2003 (LOC: Comerica Bank)		0.18%			07/06/12		8,100,000		8,100,000

San Diego Cnty Regional Transportation Commission
Limited Sales Tax RB Series 2008B (LIQ: JPMorgan Chase Bank, NA)		0.12%			07/06/12		3,265,000		3,265,000

Limited Sales Tax RB Series 2008D (LIQ: State Street Bank & Trust Company, NA; California State Teachers Retirement Systems)		0.15%			07/06/12		61,815,000		61,815,000

Limited Sales Tax RB Series 2012A (LIQ: Citibank, NA)	a	0.19%			07/06/12		8,000,000		8,000,000

Limited Sales Tax RB Series 2012A (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		6,470,000		6,470,000

San Diego Cnty Water Auth
Water Revenue COP Series 2004A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		8,710,000		8,710,000

Water Revenue COP Series 2008A (LIQ: Citibank, NA)	a	0.18%			07/06/12		33,580,000		33,580,000

Water Revenue COP Series 2008A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		5,300,000		5,300,000

San Diego Community College District
GO Bonds Series 2005 (LIQ: Morgan Stanley Bank NA)	a	0.27%			07/06/12		3,100,000		3,100,000

GO Bonds Series 2007 (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		4,000,000		4,000,000

GO Bonds Series 2011 (LIQ: Deutsche Bank AG)	a	0.25%			07/06/12		2,500,000		2,500,000

GO Bonds Series 2011 (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		6,100,000		6,100,000

San Diego Housing Auth
M/F Mortgage Refunding RB (Creekside Villa Apts) Series 1999B (LOC: Fannie Mae)		0.21%			07/06/12		6,000,000		6,000,000

San Diego USD
GO Refunding Bonds Series G1&C2 (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		9,895,000		9,895,000

San Francisco
GO Refunding Bonds (Laguna Honda Hospital) Series 2008R3 (LIQ: Bank of America, NA)	a	0.26%			07/06/12		6,780,000		6,780,000

San Francisco Redevelopment Agency
M/F Housing Refunding RB (Fillmore Center) Series 1992A2 (LOC: Freddie Mac)		0.19%			07/06/12		3,750,000		3,750,000

San Francisco Airport Commission
Second Series Refunding RB Series 2009A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		9,995,000		9,995,000

Second Series Refunding RB Series 2010A1 (LOC: JPMorgan Chase Bank, NA)		0.17%			07/06/12		3,375,000		3,375,000

Second Series Refunding RB Series 2010A3 (LOC: JPMorgan Chase Bank, NA)		0.18%			07/06/12		30,000,000		30,000,000

Second Series Refunding RB Series 37C (LOC: Union Bank, NA)		0.17%			07/06/12		25,000,000		25,000,000

San Francisco Bay Area Rapid Transit District
Sales Tax Refunding RB Series 2005A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		13,400,000		13,400,000

Sales Tax Refunding RB Series 2006A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		6,125,000		6,125,000

San Francisco Housing Auth
M/F Housing Refunding RB (Valencia Gardens) Series 2004 (LOC: Citibank, NA)		0.22%			07/06/12		7,740,000		7,740,000

San Francisco Public Utilities Commission
Water System RB Series 2011A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		5,945,000		5,945,000

Water System RB Series 2012A (LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		15,660,000		15,660,000

San Francisco Redevelopment Agency
M/F Housing Refunding RB (Fillmore Center) Series 1992A1 (LOC: Freddie Mac)		0.18%			07/06/12		28,300,000		28,300,000

See financial notes 25

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


							Face
Issuer			Effective		Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity		Date		($)		($)
San Joaquin Cnty Public Facilities Financing Corp
COP Series 2007 (GTY/LIQ: US Bank, NA)	a	0.17%				07/06/12		40,845,000		40,845,000

San Jose
M/F Housing RB (Pollard Plaza Apts) Series 2002D (LOC: Freddie Mac)		0.22%				07/06/12		6,895,000		6,895,000

M/F Housing RB (Villa Monterey Apts) Series 2002F (LOC: Fannie Mae)		0.18%				07/06/12		2,000,000		2,000,000

San Jose Financing Auth
Lease RB (Civic Center) Series 2002B (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.19%				07/06/12		24,010,000		24,010,000

Lease Refunding RB (Civic Center Garage) Series 2008B2 (LOC: Union Bank, NA)		0.13%				07/06/12		16,405,000		16,405,000

San Marcos Public Facilities Auth
Tax Allocation Refunding RB (Project Areas No. 1&3) Series 2005A (GTY/LIQ: US Bank, NA)	a	0.18%				07/02/12		1,485,000		1,485,000

San Marcos Redevelopment Agency
M/F Housing RB (Grandon Village) Series 2002A (LOC: Freddie Mac)		0.17%				07/06/12		13,390,000		13,390,000

San Mateo Cnty Community College District
GO Bonds Series 2005B&2006A (LIQ: Wells Fargo & Co)	a	0.16%				07/06/12		15,845,000		15,845,000

GO Bonds Series 2006B (LIQ: Wells Fargo Bank, NA)	a	0.19%				07/06/12		1,600,000		1,600,000

San Mateo Cnty Transit District
Limited Tax Refunding Bonds Series 2005A (LIQ: Bank of America, NA)	a	0.26%				07/06/12		10,280,000		10,280,000

San Mateo UHSD
GO Bonds Series 2011A (LIQ: Morgan Stanley Bank NA)	a	0.27%				07/06/12		5,000,000		5,000,000

Santa Clara Cnty
GO Bonds Series 2009A (LIQ: Bank of America, NA)	a	0.26%				07/06/12		25,260,000		25,260,000

M/F Housing Refunding RB (Briarwood Apts) Series 2011A (LOC: Fannie Mae)		0.18%				07/06/12		4,400,000		4,400,000

Santa Clara Cnty Housing Auth
M/F Housing RB (Monte Vista Terrace Apts) Series 2005C (LOC: Union Bank, NA)		0.27%				07/06/12		9,190,000		9,190,000

M/F Housing Refunding RB (Williows Apts) Series 2005A (LOC: Union Bank, NA)		0.22%				07/06/12		4,156,000		4,156,000

Santa Clara Valley Transportation Auth
Sales Tax Refunding RB Series 2007A (LIQ: Citibank, NA)	a	0.18%				07/06/12		2,500,000		2,500,000

Sales Tax Refunding RB Series 2008B (LIQ: JPMorgan Chase Bank, NA)		0.16%				07/06/12		12,275,000		12,275,000

Sausalito
M/F Housing RB (Rotary Village Sr Housing) Series 2003 (LOC: Bank of the West)		0.60%				07/06/12		2,095,000		2,095,000

Sequoia UHSD
GO Bonds Series 2005B (LIQ: JPMorgan Chase Bank, NA)	a	0.18%				07/06/12		7,360,000		7,360,000

Southern California Metropolitan Water District
Water RB Series 1997B (LIQ: Landesbank Hessen-Thuringen Girozentrale (German Govt. GTD))		0.17%				07/06/12		10,000,000		10,000,000

Water RB Series 2000B3 (LIQ: Wells Fargo Bank, NA)		0.13%				07/02/12		5,200,000		5,200,000

Water RB Series 2005C (LIQ: Citibank, NA)	a	0.18%				07/06/12		12,235,000		12,235,000

Water RB Series 2006A (LIQ: Bank of America, NA)	a	0.26%				07/06/12		9,300,000		9,300,000

Water RB Series 2006A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%				07/06/12		5,590,000		5,590,000

Water RB Series 2008A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%				07/06/12		5,000,000		5,000,000

Water Refunding RB Series 2009A1	c	0.18%		07/05/12		10/08/12		53,000,000		53,000,000

Water Refunding RB Series 2009A2		0.18%		07/06/12		06/10/13		54,160,000		54,160,000

26 See financial notes

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued


							Face
Issuer			Effective		Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity		Date		($)		($)
Water Refunding RB Series 2011A1		0.18%		07/05/12		03/08/13		19,000,000		19,000,000

Water Refunding RB Series 2011A3		0.18%		07/05/12		03/08/13		25,000,000		25,000,000

Water Refunding RB Series 2011A4		0.33%		07/05/12		06/01/13		7,410,000		7,414,103

Southern California Public Power Auth
Refunding RB (Magnolia Power) Series 2009-1 (LOC: US Bank, NA)		0.16%				07/06/12		24,950,000		24,950,000

Refunding RB (Palo Verde) Series 2008B (LOC: Barclays Bank Plc)		0.16%				07/06/12		34,550,000		34,550,000

Univ of California
General RB Series 2005C (LIQ: Bank of America, NA)	a	0.33%				07/06/12		7,500,000		7,500,000

General RB Series 2005G (LIQ: Citibank, NA)	a	0.19%				07/06/12		10,320,000		10,320,000

General RB Series 2007J (LIQ: Citibank, NA)	a	0.18%				07/06/12		9,550,000		9,550,000

General RB Series 2008L (LIQ: Bank of America, NA)	a	0.26%				07/06/12		6,660,000		6,660,000

General RB Series 2009O (LIQ: Citibank, NA)	a	0.18%				07/06/12		3,500,000		3,500,000

General RB Series 2009Q (LIQ: Barclays Bank Plc)	a	0.16%				07/06/12		6,665,000		6,665,000

Limited Project RB Series 2005B (LIQ: Citibank, NA)	a	0.21%				07/06/12		17,500,000		17,500,000

Limited Project RB Series 2005B (LIQ: JPMorgan Chase Bank, NA)	a	0.18%				07/06/12		12,940,000		12,940,000

Limited Project RB Series 2005B (LIQ: Royal Bank of Canada)	a	0.15%				07/06/12		12,460,000		12,460,000

Limited Project RB Series 2007D (LIQ: Citibank, NA)	a	0.20%				07/02/12		7,100,000		7,100,000

Medical Center Pooled RB Series 2007C2 (LIQ: Wells Fargo & Co)	a	0.19%				07/06/12		13,615,000		13,615,000

West Hills Community College District
COP (2008 Refunding) (LOC: Union Bank, NA)		0.17%				07/06/12		50,575,000		50,575,000

Westminster Redevelopment Agency
M/F Housing RB (Brookhurst Royale Sr Assisted Living) Series 2000A (LOC: Union Bank, NA)		0.65%				07/06/12		6,145,000		6,145,000

Whittier
Refunding RB (Whittier College) Series 2008 (LOC: US Bank, NA)		0.17%				07/06/12		36,715,000		36,715,000

William S. Hart UHSD
GO Bonds Series B (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%				07/06/12		19,480,000		19,480,000

Yosemite Community College District
GO Bonds Series 2008C (LIQ: Bank of America, NA)	a	0.30%				07/06/12		8,000,000		8,000,000

										4,562,892,686

Other Investments 4.1%
Nuveen California AMT-Free Municipal Income Fund
Variable Rate Demand Preferred Shares Series 2 (GTY/LIQ: Deutsche Bank AG)	a	0.28%				07/06/12		17,700,000		17,700,000

Variable Rate Demand Preferred Shares Series 4 (GTY/LIQ: Citibank, NA)	a	0.28%				07/06/12		20,000,000		20,000,000

Variable Rate Demand Preferred Shares Series 5 (GTY/LIQ: Morgan Stanley Bank NA)	a	0.38%				07/06/12		40,300,000		40,300,000

Nuveen California Dividend Advantage Municipal Fund
Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Morgan Stanley Bank NA)	a	0.38%				07/06/12		55,000,000		55,000,000

Nuveen California Investment Quality Municipal Fund
Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Citibank, NA)	a	0.28%				07/06/12		18,000,000		18,000,000

Nuveen California Municipal Market Opportunity Fund
Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Deutsche Bank AG)	a	0.32%				07/06/12		29,800,000		29,800,000

Nuveen California Performance Plus Municipal Fund
Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Citibank, NA)	a	0.28%				07/06/12		15,000,000		15,000,000

See financial notes 27

Schwab California Municipal Money Fund

Portfolio Holdings (Unaudited) continued

Face

Issuer

Effective

Maturity

Amount

Value

Type of Security, Series

Footnotes

Rate

Maturity

Date

($)

Nuveen California Quality Income Municipal Fund

Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Citibank, NA)

0.28%

07/06/12

31,000,000

Nuveen California Select Quality Municipal Fund

Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Citibank, NA)

0.28%

07/06/12

35,900,000

262,700,000

Puerto Rico 0.2%

Puerto Rico Sales Tax Financing Corp

Sales Tax RB Series 2007A (LIQ: Deutsche Bank AG)

0.25%

07/06/12

510,000

Sales Tax RB Sr Series 2009C (LIQ: Citibank, NA)

0.21%

07/06/12

3,300,000

Sales Tax RB Sr Series 2009C (LIQ: Deutsche Bank AG)

0.23%

07/06/12

9,250,000

13,060,000

Total Variable-Rate Securities

(Cost $4,838,652,686)

4,838,652,686

End of Investments.

At 06/30/12, the tax basis cost of the fund’s investments was $6,593,676,336.


a		Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registrations, normally to qualified institutional buyers. At the period end, the value of these amounted to $2,381,799,583 or 37.1% of net assets.
b		Delayed-delivery security.
c		All or a portion of this security is designated as collateral for delayed-delivery securities.


BAN —		Bond anticipation note
COP —		Certificate of participation
CP —		Commercial paper
CSD —		Central school district
GO —		General obligation
GTY —		Guaranty agreement
HFA —		Housing finance agency/authority
HRA —		Housing & redevelopment authority
IDA —		Industrial development agency/authority
IDB —		Industrial development board
IDRB —		Industrial development revenue bond
ISD —		Independent school district
LIQ —		Liquidity agreement
LOC —		Letter of credit
M/F —		Multi-family
RAN —		Revenue anticipation note
RB —		Revenue bond
SD —		School district
S/F —		Single-family
TAN —		Tax anticipation note
TRAN —		Tax and revenue anticipation note
UFSD —		Union free school district
UHSD —		Union high school district

At June 30, 2012, all of the fund’s investment securities were classified as Level 2. There were no transfers between Level 1, Level 2 and Level 3 for the period ended June 30, 2012. The breakdown of the fund’s investments into major categories is disclosed on the portfolio holdings. (See financial note 2(a) for additional information)

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

28 See financial notes

Schwab California Municipal Money Fund

Statements of

Changes in Net Assets

For the current and prior report periods
Figures for the current period are unaudited



Operations


1/1/12-6/30/12				1/1/11-12/31/11
Net investment income		$339,292			$668,755
Net realized gains	+	827,574			353,155

Increase in net assets from operations		1,166,866			1,021,910

Distributions to Shareholders

Distributions from net investment income
Sweep Shares		(286,953	)		(547,177	)
Value Advantage Shares	+	(52,339	)		(121,578	)

Total distributions from net investment income		(339,292	)		(668,755	)


Distributions from net realized gains
Sweep Shares		—			(169,221	)
Value Advantage Shares	+	—			(32,116	)

Total distributions from net realized gains		—			(201,337	)

Total distributions		(339,292	)		(870,092	)

Transactions in Fund Shares*

Shares Sold
Sweep Shares		7,311,266,137			17,009,074,563
Value Advantage Shares	+	63,724,558			187,417,679

Total shares sold		7,374,990,695			17,196,492,242


Shares Reinvested
Sweep Shares		245,061			697,516
Value Advantage Shares	+	36,952			142,792

Total shares reinvested		282,013			840,308


Shares Redeemed
Sweep Shares		(7,494,312,342	)		(16,876,090,800	)
Value Advantage Shares	+	(182,013,281	)		(515,656,950	)

Total shares redeemed		(7,676,325,623	)		(17,391,747,750	)

Net transactions in fund shares		(301,052,915	)		(194,415,200	)

Net Assets

Beginning of period		6,712,116,005			6,906,379,387
Total decrease	+	(300,225,341	)		(194,263,382	)

End of period		$6,411,890,664			$6,712,116,005


*		Transactions took place at $1.00 per share; figures for share quantities are the same as for dollars.

See financial notes 31

Schwab California AMT Tax-Free Money Fund™

Financial Statements

Financial Highlights


	1/1/12–			1/1/11–			1/1/10–			1/1/09–			1/1/08–			11/16/07¹–
	6/30/12*			12/31/11			12/31/10			12/31/09			12/31/08			12/31/07


Per-Share Data ($)

Net asset value at beginning of period		1.00			1.00			1.00			1.00			1.00			1.00

Income (loss) from investment operations:
Net investment income (loss)		0.00	²		0.00	²		0.00	²		0.00	²		0.02			0.00	²
Net realized and unrealized gains (losses)		0.00	²		0.00	²		0.00	²		0.00	²		—			—

Total from investment operations		0.00	²		0.00	²		0.00	²		0.00	²		0.02			0.00	²
Less distributions:
Distributions from net investment income		(0.00	)²		(0.00	)²		(0.00	)²		(0.00	)²		(0.02	)		(0.00	)²
Distributions from net realized gains		—			(0.00	)²		(0.00	)²		(0.00	)²		—			—

Total distributions		(0.00	)²		(0.00	)²		(0.00	)²		(0.00	)²		(0.02	)		(0.00	)²

Net asset value at end of period		1.00			1.00			1.00			1.00			1.00			1.00

Total return (%)		0.01	³		0.04			0.02			0.20			1.65			0.36	³

Ratios/Supplemental Data (%)

Ratios to average net assets:
Net operating expenses		0.20	^4,5		0.28	⁴		0.35	⁴		0.46	^4,6		0.45			0.46	⁵
Gross operating expenses		0.66	⁵		0.65			0.63			0.64			0.62			0.73	⁵
Net investment income (loss)		0.01	⁵		0.01			0.01			0.20			1.60			2.72	⁵
Net assets, end of period ($ x 1,000,000)		180			179			232			383			562			278

* Unaudited.

¹ Commencement of operations.

² Per-share amount was less than $0.01.

³ Not annualized.

⁴ Reflects the effect of a voluntary expense waiver in excess of the contractual expense limitation. (See financial note 5)

⁵ Annualized.

⁶ The ratio of net operating expenses would have been 0.44% if certain non-routine expenses (participation fees for the Treasury’s Temporary Guarantee Program for Money Market Funds) had not been incurred.

32 See financial notes

Schwab California AMT Tax-Free Money Fund

Portfolio Holdings as of June 30, 2012 (Unaudited)

This section shows all the securities in the fund’s portfolio and their values as of the report date.

Cost

Value

Holdings by Category

($)

.6%

Fixed-Rate Securities

53,455,680

.5%

Variable-Rate Securities

127,227,000

100

.1%

Total Investments

180,682,680

.1)%

Other Assets and Liabilities, Net

(226,282

)

100

.0%

Net Assets

180,456,398


							Face
Issuer			Effective		Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity		Date		($)		($)

Fixed-Rate Securities 29.6% of net assets

California 29.6%
California Infrastructure & Economic Development Bank
Refunding RB (J. Paul Getty Trust) Series 2007A1		2.50%				04/01/13		1,385,000		1,406,781

California School Cash Reserve Program Auth
Sr Bonds 2012-2013 Series B		2.00%				06/03/13		810,000		822,928

California Statewide Communities Development Auth
RB (Kaiser Permanente) Series 2004K		0.25%				01/11/13		2,000,000		2,000,000

RB (Kaiser Permanente) Series 2009A		5.00%				04/01/13		480,000		496,036

RB (Kaiser Permanente) Series 2009B2		0.26%				02/05/13		2,000,000		2,000,000

RB (Kaiser Permanente) Series 2012A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.30%				01/17/13		2,000,000		2,000,000

Contra Costa Water District
Water Revenue Notes Series A		1.00%				10/01/12		1,000,000		1,001,820

East Bay Municipal Utility District
Water System Extendible CP		0.25%		08/16/12		02/09/13		1,000,000		1,000,000

Fresno USD
GO Bonds Series 2010B		2.00%				08/01/12		2,000,000		2,002,562

Golden State Tobacco Securitization Corp
Enhanced Tobacco Settlement Asset-Backed Bonds, Series 2003B (ESCROW)		5.00%				06/01/13		690,000		719,937

Tobacco Settlement Asset-Backed Bonds Series 2003A1 (ESCROW)		6.25%				06/01/13		105,000		110,666

Tobacco Settlement Asset-Backed Bonds Series 2003A1 (ESCROW)		6.63%				06/01/13		185,000		195,651

Tobacco Settlement Asset-Backed Bonds Series 2003A1 (ESCROW)		6.75%				06/01/13		1,000,000		1,059,381

Tobacco Settlement Asset-Backed Bonds Series 2003A2 (ESCROW)		7.90%				06/01/13		1,000,000		1,070,153

Los Angeles Cnty Capital Asset Leasing Corp
Lease Revenue CP Notes Series A (LOC: JPMorgan Chase Bank, NA)		0.20%				08/07/12		3,000,000		3,000,000

Lease Revenue CP Notes Series C (LOC: Wells Fargo Bank, NA)		0.17%				07/11/12		2,000,000		2,000,000

Los Angeles Dept of Water & Power
Power System RB Series 2011A		2.00%				07/01/12		500,000		500,000

Power System RB Series 2011A		4.00%				07/01/13		1,000,000		1,037,031

See financial notes 33

Schwab California AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Los Angeles Harbor Dept
RB Series 2009A		3.25%			08/01/12		500,000		501,270

Refunding RB Series 2009C		5.00%			08/01/12		400,000		401,543

Los Angeles Municipal Improvement Corp
Lease Revenue CP Series A1 (LOC: JPMorgan Chase Bank, NA)		0.20%			08/08/12		3,000,000		3,000,000

Lease Revenue CP Series A1 (LOC: Wells Fargo Bank, NA)		0.20%			08/20/12		1,000,000		1,000,000

Sacramento Municipal Utility District
Electric RB Series 2003R		5.00%			08/15/12		1,200,000		1,206,824

San Diego Cnty Water Auth
CP Series 4 (LIQ: Barclays Bank Plc)		0.21%			08/10/12		1,725,000		1,725,000

CP Series 5 (LIQ: Wells Fargo Bank, NA)		0.20%			07/17/12		3,000,000		3,000,000

CP Series 6 (LIQ: Citibank, NA)		0.19%			08/09/12		500,000		500,000

San Diego Public Facilities Financing Auth
Sr Sewer RB Series 2009A (GTY/LIQ: Wells Fargo & Co)	a	0.30%			01/17/13		2,000,000		2,000,000

San Francisco
GO Improvement Bonds Series 2009A (LIQ: Wells Fargo & Co)	a	0.27%			10/18/12		530,000		530,000

Lease Revenue CP COP Series 2 (LOC: US Bank, NA)		0.16%			09/12/12		1,000,000		1,000,000

San Francisco Bay Area Rapid Transit District
Sales Tax Refunding RB Series 2006A		5.00%			07/01/12		1,220,000		1,220,000

San Joaquin Cnty Transportation Auth
Sales Tax Revenue CP (LOC: JPMorgan Chase Bank, NA)		0.19%			08/09/12		2,000,000		2,000,000

San Mateo Cnty Community College District
GO Bonds Series 2005B (LIQ: Wells Fargo & Co)	a	0.25%			10/25/12		215,000		215,000

Santa Clara USD
TRAN 2012	b	2.00%			06/28/13		500,000		508,680

Southern California Public Power Auth
RB (Windy Point/Windy Flats) Series 2010-1		3.00%			07/01/12		300,000		300,000

Torrance
TRAN 2011-2012		3.00%			07/12/12		2,000,000		2,001,606

Turlock Irrigation District
Sub Revenue CP Series A (LOC: Bank of America, NA)		0.26%			07/20/12		2,000,000		2,000,000

Univ of California
General RB Series 2003A		4.00%			05/15/13		250,000		257,811

General RB Series 2007J (LIQ: Wells Fargo & Co)	a	0.23%			07/12/12		3,665,000		3,665,000

William S. Hart UHSD
GO Bonds Series A (GTY/LIQ: Wells Fargo & Co)	a	0.28%			01/24/13		4,000,000		4,000,000

Total Fixed-Rate Securities
(Cost $53,455,680)									53,455,680




Variable-Rate Securities 70.5% of net assets

California 69.5%
ABAG Finance Auth
RB (Jewish Home of San Francisco) Series 2005 (LOC: Wells Fargo Bank, NA)		0.13%			07/02/12		2,600,000		2,600,000

Alameda Cnty IDA
RB (Dale Hardware) Series 2010 (LOC: Comerica Bank)		0.21%			07/06/12		2,665,000		2,665,000

Anaheim Public Financing Auth
Electric System Second Lien RB Series 2004 (GTY: Berkshire Hathaway Assurance Corp /LIQ: Morgan Stanley Bank NA)	a	0.27%			07/06/12		2,700,000		2,700,000

Bay Area Toll Auth
Toll Bridge RB Series 2009F1 (LIQ: Bank of America, NA)	a	0.30%			07/06/12		1,305,000		1,305,000

Toll Bridge Sub RB Series 2010S2 (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		1,300,000		1,300,000

34 See financial notes

Schwab California AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


							Face
Issuer			Effective		Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity		Date		($)		($)
California
Economic Recovery Bonds Series 2004C3 (LOC: Bank of America, NA)		0.20%				07/02/12		600,000		600,000

GO Bonds Series 2003B3 (LOC: California State Teachers Retirement Systems; JPMorgan Chase Bank, NA; California Public Employees’ Retirement System)		0.15%				07/06/12		5,000,000		5,000,000

California Educational Facilities Auth
RB (Univ of Southern California) Series 2009A (LIQ: Bank of America, NA)	a	0.26%				07/06/12		2,220,000		2,220,000

California Health Facilities Financing Auth
RB (Sutter Health) Series 2011B (LIQ: Citibank, NA)	a	0.19%				07/06/12		2,100,000		2,100,000

California Infrastructure & Economic Development Bank
RB (Asian-American Drug Abuse Program) Series 2008 (LOC: Comerica Bank)		0.26%				07/06/12		3,330,000		3,330,000

RB (Casa Loma College) Series 2009 (LOC: Comerica Bank)		0.24%				07/06/12		1,915,000		1,915,000

California Pollution Control Financing Auth
Solid Waste Disposal RB (BLT Enterprises of Fremont) Series 2010 (LOC: Union Bank, NA)		0.21%				07/06/12		2,270,000		2,270,000

California Statewide Communities Development Auth
RB (Kaiser Permanente) Series 2003B		0.15%				07/06/12		2,200,000		2,200,000

RB (Kaiser Permanente) Series 2009C1		0.15%				07/06/12		500,000		500,000

Refunding RB (Los Angeles Cnty Museum of Art) Series 2008A (LOC: Union Bank, NA)		0.14%				07/06/12		5,000,000		5,000,000

Refunding RB (Los Angeles Cnty Museum of Art) Series 2008B (LOC: Union Bank, NA)		0.14%				07/06/12		400,000		400,000

Chaffey Community College District
GO Bonds Series 2005B (LIQ: Bank of America, NA)	a,c	0.33%				07/06/12		6,600,000		6,600,000

Chula Vista
Refunding RB (SDG&E) Series 2006A		0.16%				07/06/12		4,450,000		4,450,000

Coast Community College District
GO Bonds Series 2006B (LIQ: Deutsche Bank AG)	a	0.23%				07/06/12		1,225,000		1,225,000

East Bay Municipal Utility District
Water System Refunding RB Series 2009A1		0.18%		07/05/12		12/03/12		985,000		985,000

Water System Refunding RB Series 2009A2		0.19%		07/05/12		03/01/13		985,000		985,000

Water System Sub Refunding RB Series 2010A (LIQ: Citibank, NA)	a	0.18%				07/06/12		240,000		240,000

Eastern Municipal Water District
Water & Sewer Revenue COP Series 2008A (LIQ: Wells Fargo Bank, NA)		0.14%				07/06/12		4,080,000		4,080,000

Elsinore Valley Municipal Water District
Refunding COP Series 2011A (LOC: Union Bank, NA)		0.15%				07/06/12		1,215,000		1,215,000

Foothill-DeAnza Community College District
GO Bonds Series A (LIQ: Deutsche Bank AG)	a	0.23%				07/06/12		242,000		242,000

GO Bonds Series B (LIQ: Deutsche Bank AG)	a	0.23%				07/06/12		355,000		355,000

GO Bonds Series C (LIQ: Branch Banking & Trust Co)	a	0.16%				07/06/12		585,000		585,000

Grossmont UHSD
GO Bonds Series 2006 (LIQ: Deutsche Bank AG)	a	0.25%				07/06/12		150,000		150,000

Hesperia Public Financing Authority
RB (1993 St Refinancing) Series 2004 (LOC: Bank of America, NA)		0.35%				07/06/12		2,000,000		2,000,000

Kings Cnty Housing Auth
M/F Housing Refunding RB (Edgewater Isle Apts) Series 2001A (LOC: Fannie Mae)		0.19%				07/06/12		2,300,000		2,300,000

Los Angeles
Wastewater System Refunding RB Series 2003A (LIQ: Citibank, NA)	a	0.18%				07/06/12		600,000		600,000

See financial notes 35

Schwab California AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


							Face
Issuer			Effective		Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity		Date		($)		($)
Los Angeles Cnty Metropolitan Transportation Auth
First Tier Sr Sales Tax Refunding RB Series 2008A3&A4 (GTY/LIQ: Royal Bank of Canada)	a	0.22%		07/06/12		08/01/12		1,990,000		1,990,000

Second Sr Sales Tax Refunding RB Series 2009C1 (LOC: Sumitomo Mitsui Banking Corp)		0.14%				07/06/12		330,000		330,000

Los Angeles Community College District
GO Bonds Series 2007A (LIQ: Citibank, NA)	a	0.21%				07/06/12		3,000,000		3,000,000

Los Angeles Dept of Airports
Airport Sr RB Series 2010A (LIQ: Bank of America, NA)	a	0.26%				07/06/12		2,160,000		2,160,000

Los Angeles Dept of Water & Power
Power System RB Series 2001B5 (LIQ: Royal Bank of Canada)		0.10%				07/06/12		1,800,000		1,800,000

Power System RB Series 2007A1 (LIQ: JPMorgan Chase Bank, NA)	a	0.20%				07/06/12		6,000,000		6,000,000

Los Angeles USD
GO Bonds Series 2009D&2009I (LIQ: Citibank, NA)	a,c	0.21%				07/06/12		400,000		400,000

Newport-Mesa USD
GO Bonds Series 2007 (LIQ: Deutsche Bank AG)	a	0.24%				07/06/12		5,240,000		5,240,000

Orange Cnty Sanitation District
Refunding COP Series 2000A (LIQ: Lloyds TSB Bank Plc)		0.14%				07/02/12		200,000		200,000

Refunding COP Series 2000B (LIQ: Lloyds TSB Bank Plc)		0.14%				07/02/12		3,400,000		3,400,000

Oxnard Financing Auth
Water RB Series 2006 (GTY/LIQ: US Bank, NA)	a	0.17%				07/06/12		1,000,000		1,000,000

Peralta Community College District
GO Bonds Series 2009C (GTY/LIQ: Wells Fargo & Co)	a	0.19%				07/06/12		800,000		800,000

Pittsburg Public Financing Auth
Water Refunding RB Series 2008 (LOC: Bank of the West)		0.33%				07/06/12		1,000,000		1,000,000

Riverside Cnty Transportation Commission
Limited Sales Tax RB Series 2009B (LIQ: JPMorgan Chase Bank, NA)		0.18%				07/06/12		3,190,000		3,190,000

San Diego Cnty
COP (San Diego Jewish Academy) Series 2003 (LOC: Comerica Bank)		0.18%				07/06/12		945,000		945,000

San Diego Cnty Regional Transportation Commission
Limited Sales Tax RB Series 2008B (LIQ: JPMorgan Chase Bank, NA)		0.12%				07/06/12		1,205,000		1,205,000

Limited Sales Tax RB Series 2008D (LIQ: State Street Bank & Trust Company, NA; California State Teachers Retirement Systems)		0.15%				07/06/12		2,270,000		2,270,000

San Diego Cnty Water Auth
Water Revenue COP Series 2008A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%				07/06/12		1,000,000		1,000,000

San Diego Community College District
GO Bonds Series 2009 (LIQ: Citibank, NA)	a	0.20%				07/06/12		3,125,000		3,125,000

GO Bonds Series 2011 (LIQ: Deutsche Bank AG)	a	0.25%				07/06/12		3,500,000		3,500,000

San Francisco Airport Commission
Second Series Refunding RB Series 37C (LOC: Union Bank, NA)		0.17%				07/06/12		1,300,000		1,300,000

San Francisco Redevelopment Agency
M/F Housing Refunding RB (Fillmore Center) Series 1992A1 (LOC: Freddie Mac)		0.18%				07/06/12		1,800,000		1,800,000

San Jose-Evergreen Community College District
GO Bonds Series A (LIQ: Citibank, NA)	a	0.19%				07/06/12		3,980,000		3,980,000

San Mateo Cnty Community College District
GO Bonds Series 2005B&2006A (LIQ: Wells Fargo & Co)	a	0.16%				07/06/12		380,000		380,000

San Pablo Redevelopment Agency
Sub Tax Allocation Bonds Series 2006 (LOC: Union Bank, NA)		0.15%				07/02/12		480,000		480,000

Southern California Metropolitan Water District
Water RB Series 2000B4 (LIQ: Wells Fargo Bank, NA)		0.15%				07/06/12		700,000		700,000

Water Refunding RB Series 2009A1		0.18%		07/05/12		10/08/12		2,000,000		2,000,000

Water Refunding RB Series 2009A2		0.18%		07/06/12		06/10/13		1,000,000		1,000,000

Water Refunding RB Series 2011A1		0.18%		07/05/12		03/08/13		1,000,000		1,000,000

36 See financial notes

Schwab California AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued

Face

Issuer

Effective

Maturity

Amount

Value

Type of Security, Series

Footnotes

Rate

Maturity

Date

($)

Sunnyvale

Refunding COP Series 2009A (LOC: Union Bank, NA)

0.17%

07/06/12

2,510,000

Univ of California

General RB Series 2007J (LIQ: Citibank, NA)

0.20%

07/02/12

200,000

Limited Project RB Series 2005B (LIQ: Royal Bank of Canada)

0.15%

07/06/12

1,000,000

West Hills Community College District

COP (2008 Refunding) (LOC: Union Bank, NA)

0.17%

07/06/12

4,450,000

125,472,000

Puerto Rico 1.0%

Puerto Rico Sales Tax Financing Corp

Sales Tax RB Sr Series 2009C (LIQ: Citibank, NA)

0.21%

07/06/12

1,755,000

1,755,000

Total Variable-Rate Securities

(Cost $127,227,000)

127,227,000

End of Investments.

At 06/30/12, the tax basis cost of the fund’s investments was $180,682,680.


a		Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registrations, normally to qualified institutional buyers. At the period end, the value of these amounted to $67,562,000 or 37.4% of net assets.
b		Delayed-delivery security.
c		All or a portion of this security is designated as collateral for delayed-delivery securities.


BAN —		Bond anticipation note
COP —		Certificate of participation
CP —		Commercial paper
CSD —		Central school district
GO —		General obligation
GTY —		Guaranty agreement
HFA —		Housing finance agency/authority
HRA —		Housing & redevelopment authority
IDA —		Industrial development agency/authority
IDB —		Industrial development board
IDRB —		Industrial development revenue bond
ISD —		Independent school district
LIQ —		Liquidity agreement
LOC —		Letter of credit
M/F —		Multi-family
RAN —		Revenue anticipation note
RB —		Revenue bond
SD —		School district
S/F —		Single-family
TAN —		Tax anticipation note
TRAN —		Tax and revenue anticipation note
UFSD —		Union free school district
UHSD —		Union high school district

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

See financial notes 37

Schwab California Municipal Money Fund and California AMT Tax-Free Money Fund

Financial Notes, unaudited

1. Business Structure of the Funds:

Each of the funds discussed in this report is a series of The Charles Schwab Family of Funds (the “trust”), a no-load, open-end management investment company. The trust is organized as a Massachusetts business trust and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”). The list below shows all the funds in the trust as of the end of the period, including the funds discussed in this report, which are highlighted:



The Charles Schwab Family of Funds (organized October 20, 1989)		Schwab Investor Money Fund
Schwab Money Market Fund		Schwab Municipal Money Fund
Schwab Government Money Fund		Schwab AMT Tax-Free Money Fund
Schwab U.S. Treasury Money Fund (closed to new investors)		Schwab California Municipal Money Fund
Schwab Treasury Obligations Money Fund		Schwab California AMT Tax-Free Money Fund
Schwab Value Advantage Money Fund		Schwab New York AMT Tax-Free Money Fund
Schwab Advisor Cash Reserves		Schwab New Jersey AMT Tax-Free Money Fund
Schwab Cash Reserves		Schwab Pennsylvania Municipal Money Fund
Schwab Retirement Advantage Money Fund		Schwab Massachusetts AMT Tax-Free Money Fund

Schwab California Municipal Money Fund offers two share classes: Sweep Shares and Value Advantage Shares. Shares of each class represent interest in the same portfolio, but each class has different expenses and investment minimums. Schwab California AMT Tax-Free Money Fund currently offers one share of class: Value Advantage Shares.

Shares are bought and sold at closing net asset value per share (“NAV”), which is the price for all outstanding shares of the funds. Each share has a par value of 1/1,000 of a cent, and the Board of Trustees may authorize the issuance of as many shares as necessary.

Each fund maintains its own account for purposes of holding assets and accounting, and is considered a separate entity for tax purposes. Within its account, each fund may also keep certain assets in segregated accounts, as required by securities law.

2. Significant Accounting Policies:

The following is a summary of the significant accounting policies the funds use in their preparation of financial statements. The accounting policies are in conformity with accounting principles generally accepted in the United States of America (“GAAP”).

(a) Security Valuation:

Under procedures approved by the funds’ Board of Trustees (the Board), the investment adviser and administrator have formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the funds to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.

Securities in the funds are valued at amortized cost (which approximates market value) as permitted in accordance with Rule 2a-7 of the 1940 Act. In the event that security valuations do not approximate market value, securities may be fair valued as determined in accordance with procedures adopted by the Board. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. The Board convenes on a regular basis to review fair value determinations made by the funds pursuant to the procedures.

In accordance with the authoritative guidance on fair value measurements and disclosures under GAAP, the funds disclose the fair value of their investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If the funds determine that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.

Schwab California Municipal Money Fund and California AMT Tax-Free Money Fund

Financial Notes, unaudited (continued)

2. Significant Accounting Policies (continued):

The three levels of the fair value hierarchy are as follows:


	•	Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. The funds do not adjust the quoted prices for such investments, even in situations where the funds hold a large position and a sale could reasonably impact the quoted price.

	•	Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information. Securities held by money funds operating under Rule 2a-7 of the 1940 Act are valued at amortized cost which approximates current market value and are considered to be valued using Level 2 inputs.

	•	Level 3 — significant unobservable inputs (including the funds’ own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the funds use one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the funds in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the funds in the absence of market information. Assumptions used by the funds due to the lack of observable inputs may significantly impact the resulting fair value and therefore the funds’ results of operations.

The funds’ policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year.

The levels associated with valuing the funds’ investments for the period ended June 30, 2012 are disclosed in the Portfolio Holdings.

(b) Accounting Policies for certain Portfolio Investments (if held):

Delayed-Delivery Transactions: The funds may buy securities at a predetermined price or yield, with payment and delivery taking place after the customary settlement period for that type of security. The funds will assume the rights and risks of ownership at the time of purchase, including the risk of price and yield fluctuations. Typically, no interest will accrue to a fund until the security is delivered. The funds will earmark or segregate appropriate liquid assets to cover its delayed-delivery purchase obligations.

(c) Security Transactions:

Security transactions are recorded as of the date the order to buy or sell the security is executed. Realized gains or losses from security transactions are based on the identified costs of the securities involved.

(d) Investment Income:

Interest income is recorded as it accrues. If a fund buys a debt security at a discount (less than face value) or a premium (more than face value), it amortizes premiums and accretes discounts from the current date up to maturity. The fund then increases (in the case of discounts) or reduces (in the case of premiums) the income it records from the security. If the security is callable (meaning that the issuer has the option to pay it off before its maturity date), then the fund amortizes the premium to the security’s call date and price, rather than the maturity date and price.

Schwab California Municipal Money Fund and California AMT Tax-Free Money Fund

Financial Notes, unaudited (continued)

2. Significant Accounting Policies (continued):

(e) Expenses:

Expenses that are specific to a fund are charged directly to the fund. Expenses that are common to all funds within the trust generally are allocated among the funds in proportion to their average daily net assets.

For funds offering multiple share classes, the net investment income, other than class specific expenses, and the realized and unrealized gains or losses, are allocated daily to each class in proportion to their average daily net assets.

(f) Distributions to Shareholders:

The funds declare distributions from net investment income, if any, every day they are open for business. These distributions, which are substantially equal to the funds’ net investment income for that day, are paid out to shareholders once a month. The funds make distributions from net realized capital gains, if any, once a year.

(g) Custody Credit:

The funds have an arrangement with their custodian bank, State Street Bank and Trust Company (“State Street”), under which the funds receive a credit for their uninvested cash balance to offset their custody fees and accounting fees. The credit amounts, if any, are disclosed in the Statement of Operations as a reduction to the funds’ operating expenses.

(h) Accounting Estimates:

The accounting policies described in this report conform to accounting principles generally accepted in the United States of America. Notwithstanding this, shareholders should understand that in order to follow these principles, fund management has to make estimates and assumptions that affect the information reported in the financial statements. It’s possible that once the results are known, they may turn out to be different from these estimates and these differences may be material.

(i) Federal Income Taxes:

The funds intend to meet federal income and excise tax requirements for regulated investment companies. Accordingly, the funds distribute substantially all of their net investment income and realized net capital gains, if any, to their respective shareholders each year. As long as a fund meets the tax requirements, it is not required to pay federal income tax.

(j) Indemnification:

Under the funds’ organizational documents, the officers and trustees are indemnified against certain liabilities arising out of the performance of their duties to the funds. In addition, in the normal course of business the funds enter into contracts with their vendors and others that provide general indemnifications. The funds’ maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the funds. However, based on experience, the funds expect the risk of loss to be remote.

3. Credit and Liquidity Enhancements:

A substantial portion of the funds’ investments are in securities with credit enhancements and/or liquidity enhancements from financial institutions or corporations. These enhancements are employed by the issuers of the securities to reduce credit risk and provide liquidity for the purchaser. The following table provides detail on the approximate percentage of each fund’s investments in securities with these types of enhancements, as well as the name of the entity providing the largest proportion of enhancements in each fund. For additional information, please refer to the funds’ Portfolio Holdings.


	Schwab	Schwab
	California Municipal	California AMT Tax-Free
	Money Fund	Money Fund

% of investments in securities with credit enhancements or liquidity enhancements	83%	82%
Largest % of investments in securities with credit enhancements or liquidity enhancements from a single institution	16% (Wells Fargo Group)	17% (Wells Fargo Group)

Schwab California Municipal Money Fund and California AMT Tax-Free Money Fund

Financial Notes, unaudited (continued)

4. Risk Factors:

An investment in a fund is not a bank deposit and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the funds seek to preserve the value of a shareholder’s investment at $1 per share, it is possible to lose money by investing in the funds.

Interest rates rise and fall over time. As with any investment whose yield reflects current interest rates, a fund’s yield will change over time. During periods when interest rates are low, a fund’s yield (and total return) also will be low. In addition, to the extent a fund makes any reimbursement payments to the investment adviser and/or its affiliates, the fund’s yield would be lower.

A fund is subject to the risk that a decline in the credit quality of a portfolio investment could cause the fund to lose money or underperform. A fund could lose money if the issuer of a portfolio investment fails to make timely principal or interest payments or if a guarantor or liquidity provider of a portfolio investment fails to honor its obligations. For fixed rate investments, the negative perceptions of the ability of an issuer, guarantor or liquidity provider to make such payments or otherwise honor its obligations, as applicable, could also cause the price of that investment to decline. The credit quality of a fund’s portfolio holdings can change rapidly in certain market environments and any downgrade or default on the part of a single portfolio investment could cause the fund’s share price or yield to fall. The fund’s investments in securities with credit or liquidity enhancements provided by foreign entities may involve certain risks that are greater than those associated with investments in securities with credit or liquidity enhancement provided by U.S. entities. These include risks of adverse changes in foreign economic, political, regulatory and other conditions; differing accounting, auditing, financial reporting and legal standards and practices; differing securities market structures; and higher transaction costs. In addition, sovereign risk, or the risk that a government may become unwilling or unable to meet its loan obligations or guarantees, could increase the credit risk of financial institutions connected to that particular country.

Any actively managed mutual fund is subject to the risk that its investment adviser will make poor security selections. A fund’s investment adviser applies its own investment techniques and risk analyses in making investment decisions for the fund, but there can be no guarantee that they will produce the desired results. The investment adviser’s maturity decisions will also affect a fund’s yield, and in unusual circumstances potentially could affect its share price. To the extent that the investment adviser anticipates interest rate trends imprecisely, a fund’s yield at times could lag those of other money market funds.

The funds may invest a substantial portion of its assets in securities with guarantees and/or liquidity supports provided by a bank or other financial institution, and the existence and nature of such supports may be a significant factor in the investment adviser’s decision-making process. Generally, these enhancements are employed by the issuers of the securities to reduce credit risk and provide enhanced or back-up liquidity for purchasers, such as the funds. Adverse developments affecting these banks and financial institutions could therefore have a negative effect on the value of a fund’s holdings. For example, a rating agency downgrade of a credit or liquidity support provider may adversely affect the value of securities held by a fund. Any decline in the value of the securities held by a fund could cause the fund’s share price or yield to fall. To the extent that a portion of a fund’s underlying investments are guaranteed by the same bank or financial institution, these risks may be increased.

The funds invest primarily in securities issued by the State of California and its municipalities. Any reduction in the credit ratings of obligations of these issuers could adversely affect the market values and marketability of such securities, and, consequently, the value of a fund’s portfolio. Further, a fund’s share price and performance could be affected by local, state and regional factors, including erosion of the tax base and changes in the economic climate. Certain California constitutional amendments, legislative measures, executive orders, administrative regulations and voter initiatives could result in adverse consequences affecting the State of California and/or its municipalities. The possibility exists that a natural disaster, including an earthquake, could create a major dislocation of the California economy and significantly affects the ability of state and local governments to raise money to pay principal and interest on their municipal securities. National governmental actions, such as elimination of tax-exempt status, also could affect performance. In addition, a municipality or municipal project that relies directly or indirectly on national governmental funding mechanisms may be negatively affected by the national government’s current budgetary constraints.

Some of a fund’s income could be taxable. If certain types of investments a fund buys as tax-exempt are later ruled to be taxable, a portion of the fund’s income could become taxable. This risk, although generally considered low, is somewhat higher for investments that have been structured as municipal money market securities than for other types of municipal money market securities. Any defensive investments in taxable securities or securities whose interest is subject to the AMT could generate taxable income.

Schwab California Municipal Money Fund and California AMT Tax-Free Money Fund

Financial Notes, unaudited (continued)

4. Risk Factors (continued):

Liquidity risk exists when particular investments are difficult to purchase or sell. The market for certain investments may become illiquid due to specific adverse changes in the conditions of a particular issuer or under adverse market or economic conditions independent of the issuer. A fund’s investments in illiquid securities may reduce the returns of the fund because it may be unable to sell the illiquid securities at an advantageous time or price. Further, transactions in illiquid securities may entail transactions costs that are higher than those for transactions in liquid securities.

A fund may experience periods of heavy redemptions that could cause the fund to liquidate its assets at inopportune times or at a loss or depressed value, particularly during periods of declining or illiquid markets. Redemptions by a few large investors in a fund may have a significant adverse effect on the fund’s ability to maintain a stable $1.00 share price. In the event any money market fund fails to maintain a stable net asset value, other money market funds, including the funds, could face a market-wide risk of increased redemption pressures, potentially jeopardizing the stability of their $1.00 share prices.

The funds are not designed to offer capital appreciation. In exchange for their emphasis on stability and liquidity, money market investments may offer lower long-term performance than stock or bond investments.

Please refer to the funds’ prospectus for a more complete description of the principal risks of investing in the funds.

5. Affiliates and Affiliated Transactions:

Charles Schwab Investment Management, Inc. (“CSIM” or the “investment adviser”), a wholly owned subsidiary of The Charles Schwab Corporation, serves as each fund’s investment adviser and administrator pursuant to an Investment Advisory and Administration Agreement (“Advisory Agreement”) between CSIM and the trust.

For its advisory and administrative services to the following funds, CSIM is entitled to receive an annual fee, payable monthly, based on a percentage of each fund’s average daily net assets as follows:


Average Daily Net Assets

First $1 billion			0.35%
More than $1 billion but not exceeding $10 billion			0.32%
More than $10 billion but not exceeding $20 billion			0.30%
More than $20 billion but not exceeding $40 billion			0.27%
Over $40 billion			0.25%

The Board of Trustees has adopted a Shareholder Servicing and Sweep Administration Plan (the “Plan”) on behalf of the funds. The Plan enables each fund to bear expenses relating to the provision by service providers, including Charles Schwab & Co., Inc. (a broker-dealer affiliate of CSIM, “Schwab”), of certain account maintenance, customer liaison and shareholder services to the current shareholders of the funds. Schwab serves as the funds’ paying agent under the Plan for making payments of the shareholder service fee due to the service providers (other than Schwab) under the Plan. All shareholder service fees paid by the funds to Schwab in its capacity as the funds’ paying agent will be passed through to the service providers, and Schwab will not retain any portion of such fees. The Plan also enables the Schwab California Municipal Money Fund to pay Schwab for certain sweep administration services, such as processing of automatic purchases and redemptions it provides to fund shareholders invested in the fund.

Pursuant to the Plan, each fund’s shares are subject to an annual shareholder servicing fee up to the amount set forth in the table below. The shareholder servicing fee paid to a particular service provider is made pursuant to its written agreement with Schwab (or, in the case of payments made to Schwab, pursuant to Schwab’s written agreement with the funds), and the funds will pay no more than the amounts listed in the table below of the average annual daily net asset value of the fund shares owned by shareholders holding shares through such service providers. Shares of the Schwab California Municipal Money Fund are also subject to an annual sweep administration fee of up to the amount set forth below. The sweep administration fee paid to Schwab is based on the average daily net asset value of the fund shares owned by shareholders holding shares through Schwab. Payments under the Plan are made as described above regardless of Schwab’s or the service provider’s actual cost of providing

Schwab California Municipal Money Fund and California AMT Tax-Free Money Fund

Financial Notes, unaudited (continued)

5. Affiliates and Affiliated Transactions (continued):

the services. If the cost of providing the services under the Plan is less than the payments received, the unexpended portion of the fees may be retained as profit by Schwab or the service provider.


	Shareholder Service Fees		Sweep Administration Fees

Sweep Shares*		0.25%		0.10%
Value Advantage Shares		0.22%		n/a


*		Sweep Shares are only offered by Schwab California Municipal Money Fund.

Contractual Expense Limitation

Although these agreements specify certain fees for these services, CSIM and Schwab have made an additional agreement (“expense limitation”) with each fund, for so long as CSIM serves as the investment adviser to the funds, which may only be amended or terminated with the approval of the funds’ Board of Trustees, to limit the total annual fund operating expenses, excluding interest, taxes, and certain non-routine expenses, as follows:


Sweep Shares*			0.60%
Value Advantage Shares			0.45%


*		Sweep Shares are only offered by Schwab California Municipal Money Fund.

In addition, effective January 1, 2012 through December 31, 2012, CSIM and Schwab agreed to waive an additional amount of the funds’ expenses equal to 0.005% of the funds’ average daily assets.

Voluntary Expense Waiver/Reimbursement

In addition to the contractual expense limitation agreements noted above, Schwab and the investment adviser also may waive and/or reimburse expenses to the extent necessary to maintain a positive net yield for each fund or each class of a fund. Schwab and the investment adviser may recapture from a fund any of these expenses or fees they have waived and/or reimbursed until the third anniversary of the end of the fiscal year in which such waiver and/or reimbursement occurs, subject to certain limitations. The reimbursement payments by a fund to Schwab and/or the investment adviser are considered “non-routine expenses” and are not subject to any net operating expense limitations in effect at the time of such payment. This recapture could negatively affect a fund’s future yield. There were no prior year amounts recaptured. As of June 30, 2012, the balance of recoupable expenses is as follows:


	Expiration Date
	December 31, 2012		December 31, 2013		December 31, 2014		December 31, 2015		Total

Schwab California Municipal Money Fund
Sweep Shares		$5,246,528		$14,443,839		$18,771,517		$11,091,281		$49,553,165
Value Advantage Shares		442,770		2,093,924		2,293,435		1,273,454		6,103,583
Schwab California AMT Tax-Free Money Fund		68,572		273,033		335,564		212,933		890,102

The funds may engage in direct transactions with certain other Schwab Funds when practical. When one fund is seeking to sell a security that another is seeking to buy, an interfund transaction can allow both funds to benefit by reducing transaction costs. This practice is limited to funds that share the same investment adviser, trustees and/or officers. For the period ended June 30, 2012, each fund’s total aggregate security transactions with other Schwab Funds were as follows:


Schwab California Municipal Money Fund			$525,760,000
Schwab California AMT Tax-Free Money Fund			4,000,000

Pursuant to an exemptive order issued by the SEC, the funds may enter into interfund borrowing and lending transactions with other Schwab Funds. All loans are for temporary or emergency purposes only. The interest rate charged on the loan is the average of the overnight repurchase agreement rate and the short-term bank loan rate. The interfund lending facility is subject

Schwab California Municipal Money Fund and California AMT Tax-Free Money Fund

Financial Notes, unaudited (continued)

5. Affiliates and Affiliated Transactions (continued):

to the oversight and periodic review of the Board of Trustees of the Schwab Funds. The funds had no interfund borrowing or lending activity during the period.

During the period, the Schwab California AMT Tax-Free Money Fund received a payment of $50, related to state filing fees resulting from revised fee calculation methodologies being applied on sales of the fund’s shares in prior periods. This payment is presented in the fund’s Statement of Operations as “State filing fee reimbursement”.

As this expense was previously waived and included in the “expense reduction by CSIM and/or Schwab“, it decreased the total expense reduction by CSIM and/or Schwab in the Statement of Operations. Neither the current nor previous net operating expense ratios were impacted by this payment.

6. Transfer Agent Services:

Boston Financial Data Services, Inc. (“BFDS”) provides transfer agent services for each fund.

7. Board of Trustees:

Trustees may include people who are officers and/or directors of the investment adviser or its affiliates. Federal securities law limits the percentage of such “interested persons” who may serve on a trust’s board, and the trust was in compliance with these limitations throughout the report period. The trust did not pay any of these interested persons for their services as trustees, but it did pay non-interested persons (independent trustees), as noted in each fund’s Statement of Operations.

8. Borrowing from Banks:

The funds have access to custodian overdraft facilities, a committed line of credit of $150 million with State Street, an uncommitted line of credit of $100 million with Bank of America, N.A. and an uncommitted line of credit of $50 million with Brown Brothers Harriman & Co. The funds pay interest on the amounts they borrow at rates that are negotiated periodically. The funds also pay an annual fee to State Street for the committed line of credit.

There were no borrowings from the lines of credit by the funds during the period. However, the funds may have utilized their overdraft facility and incurred interest expense, which is disclosed in the Statement of Operations, if any. The interest expense is determined based on a negotiated rate above the current Federal Funds Rate.

9. Federal Income Taxes:

Capital loss carryforwards may be used to offset future realized capital gains for federal income tax purposes. As of December 31, 2011, the funds had no capital loss carryforwards.

For tax purposes, realized net capital losses incurred after October 31 may be deferred and treated as occurring on the first day of the following year. For the year ended December 31, 2011, the funds had no capital losses deferred and no capital losses utilized.

As of December 31, 2011, management has reviewed the tax positions for open periods (for federal purposes, three years from the date of filing and for state purposes, four years from the date of filing) as applicable to the funds, and has determined that no provision for income tax is required in the funds’ financial statements. The funds recognize interest and penalties, if any, related to unrecognized tax benefits as income tax expense in the Statement of Operations. During the period ended December 31, 2011, the funds did not incur any interest or penalties.

On December 22, 2010, the Regulated Investment Company Modernization Act of 2010 (“the Act”) was signed by the President. The Act is the first major piece of legislation affecting Regulated Investment Companies (“RICs”) since 1986 and it modernizes several of the federal income and excise tax provisions related to RICs.

Certain of the enacted provisions include:

Schwab California Municipal Money Fund and California AMT Tax-Free Money Fund

Financial Notes, unaudited (continued)

9. Federal Income Taxes (continued):

a RIC for “inadvertent” failures of the asset diversification and/or qualifying income tests. Additionally, the Act exempts RICs from the preferential dividend rule, and repeals the 60-day designation requirement for certain types of pay-through income and gains.

Finally, the Act contains several provisions aimed at preserving the character of distributions made by a fiscal year RIC during the portion of its taxable year ending after October 31 or December 31, reducing the circumstances under which a RIC might be required to file amended Forms 1099 to restate previously reported distributions.

Except for the simplification provisions related to RIC qualification, the Act is effective for taxable years beginning after December 22, 2010. The provisions related to RIC qualification are effective for taxable years for which the extended due date of the tax return is after December 22, 2010. The funds have adopted the noted provisions of the Act for the period ending June 30, 2012.

10. Subsequent Events:

Management has determined there are no subsequent events or transactions through the date the financial statements were issued that would have materially impacted the financial statements as presented.

Investment Advisory Agreement Approval

The Investment Company Act of 1940 (the “1940 Act”) requires that initial approval of, as well as the continuation of, a fund’s investment advisory agreement must be specifically approved (1) by the vote of the trustees or by a vote of the shareholders of the fund, and (2) by the vote of a majority of the trustees who are not parties to the investment advisory agreement or “interested persons” of any party (the “Independent Trustees”), cast in person at a meeting called for the purpose of voting on such approval. In connection with such approvals, the fund’s trustees must request and evaluate, and the investment adviser is required to furnish, such information as may be reasonably necessary to evaluate the terms of the investment advisory agreement.

The Board of Trustees (the “Board” or the “Trustees”, as appropriate) calls and holds one or more meetings each year that are dedicated, in whole or in part, to considering whether to renew the investment advisory agreement between The Charles Schwab Family of Funds (the “Trust”) and Charles Schwab Investment Management, Inc. (“CSIM”) (the “Agreement”) with respect to the existing funds in the Trust, including Schwab California Municipal Money Fund and California AMT Tax-Free Money Fund (the “Funds”), and to review certain other agreements pursuant to which CSIM provides investment advisory services to certain other registered investment companies. In preparation for the meeting(s), the Board requests and reviews a wide variety of materials provided by CSIM, including information about CSIM’s affiliates, personnel and operations. The Board also receives extensive data provided by third parties. This information is in addition to the detailed information about the Funds that the Board reviews during the course of each year, including information that relates to Fund operations and Fund performance. The Independent Trustees receive advice from independent counsel to the Independent Trustees, including a memorandum regarding the responsibilities of trustees for the approval of investment advisory agreements. In addition, the Independent Trustees meet in executive session outside the presence of Fund management and participate in question and answer sessions with representatives of CSIM.

The Board, including a majority of the Independent Trustees, considered information specifically relating to its consideration of the continuance of the Agreement with respect to the Funds at meetings held on April 24, 2012, and June 5, 2012, and approved the renewal of the Agreement with respect to the Funds for an additional one year term at the meeting held on June 5, 2012. The Board’s approval of the Agreement with respect to the Funds was based on consideration and evaluation of a variety of specific factors discussed at these meetings and at prior meetings, including:


1.	the nature, extent and quality of the services provided to the Funds under the Agreement, including the resources of CSIM and its affiliates dedicated to the Funds;

2.	each Fund’s investment performance and how it compared to that of certain other comparable mutual funds;

3.	each Fund’s expenses and how those expenses compared to those of certain other comparable mutual funds;

4.	the profitability of CSIM and its affiliates, including Charles Schwab & Co., Inc. (“Schwab”), with respect to each Fund, including both direct and indirect benefits accruing to CSIM and its affiliates; and

5.	the extent to which economies of scale would be realized as the Funds grow and whether fee levels in the Agreement reflect those economies of scale for the benefit of Fund investors.

Nature, Extent and Quality of Services. The Board considered the nature, extent and quality of the services provided by CSIM to the Funds and the resources of CSIM and its affiliates dedicated to the Funds. In this regard, the Trustees evaluated, among other things, CSIM’s personnel, experience, track record and compliance program. The Trustees also considered Schwab’s wide range of products, services, and channel alternatives such as free advice, investment research tools and Internet access and an array of account features that benefit the Funds and their shareholders. The Trustees also considered Schwab’s excellent reputation as a full service brokerage firm and its overall financial condition. Finally, the Trustees considered that the vast majority of the Funds’ shareholders are also brokerage clients of Schwab. Following such evaluation, the Board concluded, within the context of its full deliberations, that the nature, extent and quality of services provided by CSIM to the Funds and the resources of CSIM and its affiliates dedicated to the Funds supported renewal of the Agreement with respect to the Funds.

Fund Performance. The Board considered the Funds’ performance in determining whether to renew the Agreement with respect to the Funds. Specifically, the Trustees considered each Fund’s performance relative to a peer category of other mutual funds and appropriate indices/benchmarks, in light of total return, yield, if applicable, and market trends. As part of this review, the Trustees considered the composition of the peer category, selection criteria and the reputation of the third party who prepared the peer category analysis. In evaluating the performance of each Fund, the Trustees considered both risk and shareholder risk expectations for such Fund and the appropriateness of the benchmark used to compare the performance of each Fund. The Trustees further considered the level of Fund performance in the context of its review of Fund expenses and adviser profitability discussed below. Following such evaluation the Board concluded, within the context of its full deliberations, that the performance of the Funds supported renewal of the Agreement with respect to the Funds.

practice of waiving management and other fees to prevent total Fund expenses from exceeding a specified cap. The Trustees also considered fees charged by CSIM to other mutual funds and to other types of accounts, such as wrap accounts, but, with respect to such other types of accounts, accorded less weight to such comparisons due to the different legal, regulatory, compliance and operating features of mutual funds as compared to these other types of accounts. Following such evaluation, the Board concluded, within the context of its full deliberations, that the expenses of the Funds are reasonable and supported renewal of the Agreement with respect to the Funds.

Profitability. With regard to profitability, the Trustees considered the compensation flowing to CSIM and its affiliates, directly or indirectly. In this connection, the Trustees reviewed management’s profitability analyses, together with certain commentary thereon from an independent accounting firm. The Trustees also considered any other benefits derived by CSIM from its relationship with the Funds, such as whether, by virtue of its management of the Funds, CSIM obtains investment information or other research resources that aid it in providing advisory services to other clients. The Trustees considered whether the varied levels of compensation and profitability with respect to the Funds under the Agreement and other service agreements were reasonable and justified in light of the quality of all services rendered to each Fund by CSIM and its affiliates. Based on this evaluation, the Board concluded, within the context of its full deliberations, that the profitability of CSIM is reasonable and supported renewal of the Agreement with respect to the Funds.

Economies of Scale. The Trustees considered the existence of any economies of scale and whether those are passed along to a Fund’s shareholders through a graduated investment advisory fee schedule or other means, including any fee waivers by CSIM and its affiliates. In this regard, and consistent with their consideration of Fund expenses, the Trustees considered that CSIM and Schwab have previously committed resources to minimize the effects on shareholders of diseconomies of scale during periods when Fund assets were relatively small through their contractual expense waivers. For example, such diseconomies of scale may particularly affect newer funds or funds with investment strategies that are from time to time out of favor, but shareholders may benefit from the continued availability of such funds at subsidized expense levels. The Trustees also considered contractual investment advisory fee schedules with respect to the Funds that include lower fees at higher graduated asset levels. The Board also considered certain commitments by CSIM and Schwab that are designed to pass along potential economies of scale to Fund shareholders. Specifically, the Board considered CSIM and Schwab’s previously negotiated commitments, which may be changed only with Board approval, relating to: (i) reductions of contractual advisory fees or addition of breakpoints for certain funds within the fund complex, (ii) implementation, by means of expense limitation agreement, of additional reductions in net overall expenses for certain funds, and (iii) future net total operating expense reductions for taxable money funds as a group and non-taxable money funds as a group when aggregate assets of such group of funds exceed certain levels. In particular, the Board considered the actual expense reductions with respect to the Funds that resulted from CSIM and Schwab’s commitments set forth above. Based on this evaluation, and in consideration of the previously negotiated commitments made by CSIM and Schwab as discussed above, the Board concluded, within the context of its full deliberations, that the Funds obtain reasonable benefit from economies of scale.

In the course of their deliberations, the Trustees did not identify any particular information or factor that was all important or controlling. Based on the Trustees’ deliberation and their evaluation of the information described above, the Board, including all of the Independent Trustees, approved the continuation of the Agreement with respect to the Funds and concluded that the compensation under the Agreement with respect to the Funds is fair and reasonable in light of such services and expenses and such other matters as the Trustees have considered to be relevant in the exercise of their reasonable judgment.

Trustees and Officers

The tables below give information about the trustees and officers for The Charles Schwab Family of Funds which includes the funds covered in this report. The “Fund Complex” includes The Charles Schwab Family of Funds, Schwab Capital Trust, Schwab Investments, Schwab Annuity Portfolios, Schwab Strategic Trust, Laudus Trust and Laudus Institutional Trust. The Fund Complex includes 92 funds.

The address for all trustees and officers is 211 Main Street, San Francisco, CA 94105. You can find more information about the trustees and officers in the Statement of Additional Information, which is available free by calling 1-800-435-4000.

Independent Trustees


Name, Year of Birth,		Number of
and Position(s) with		Portfolios in
the trust; (Terms of		Fund Complex
office, and length of	Principal Occupations	Overseen by
Time Served¹)	During the Past Five Years	the Trustee	Other Directorships

Mariann Byerwalter 1960 Trustee (Trustee of The Charles Schwab Family of Funds since 2000.)	Chairman of JDN Corporate Advisory LLC.	75	Director, Redwood Trust, Inc. (1998 – present) Director, PMI Group Inc. (2001 – 2009)


John F. Cogan 1947 Trustee (Trustee of The Charles Schwab Family of Funds since 2008.)	Senior Fellow, The Hoover Institution at Stanford University (Oct. 1979 – present); Senior Fellow, Stanford Institute for Economic Policy Research; Professor of Public Policy, Stanford University (Sept. 1994 – present).	75	Director, Gilead Sciences, Inc. (2005 – present) Director, Monaco Coach Corporation (2005 – 2009)


William A. Hasler 1941 Trustee (Trustee of The Charles Schwab Family of Funds since 2000.)	Dean Emeritus, Haas School of Business, University of California, Berkeley (July 1998 – present).	75	Director, TOUSA (1998 – present) Director, Mission West Properties (1998 – present) Director, Globalstar, Inc. (2009 – present) Director, Aviat Networks (2001 – present) Director, Ditech Networks Corporation (1997 – Jan. 2012) Director, Aphton Corp. (1991 – 2007) Director, Solectron Corporation (1998 – 2007) Director, Genitope Corporation (2000 – 2009)


David L. Mahoney 1954 Trustee (Trustee of The Charles Schwab Family of Funds since 2011.)	Private Investor.	75	Director, Symantec Corporation (2003 – present) Director, Corcept Therapeutics Incorporated (2004 – present) Director, Tercica Inc. (2004 – 2008)


Kiran M. Patel 1948 Trustee (Trustee of The Charles Schwab Family of Funds since 2011.)	Executive Vice President and General Manager of Small Business Group, Intuit, Inc. (financial software and services for consumers and small businesses) (Dec. 2008 – present); Senior Vice President and General Manager of Consumer Group, Intuit, Inc. (June 2007 – Dec. 2008); Senior Vice President and Chief Financial Officer, Intuit, Inc. (Sept. 2005 – Jan. 2008).	75	Director, KLA-Tencor Corporation (2008 – present) Director, BEA Systems, Inc. (2007 – 2008) Director, Eaton Corp. (2003 – 2006)

Independent Trustees (continued)


Name, Year of Birth,		Number of
and Position(s) with		Portfolios in
the trust; (Terms of		Fund Complex
office, and length of	Principal Occupations	Overseen by
Time Served¹)	During the Past Five Years	the Trustee	Other Directorships

Gerald B. Smith 1950 Trustee (Trustee of The Charles Schwab Family of Funds since 2000.)	Chairman, Chief Executive Officer and Founder of Smith Graham & Co. (investment advisors) (1990 – present).	75	Lead Independent Director, Board of Cooper Industries (2002 – present) Director and Chairman of the Audit Committee, Oneok Partners LP (2003 – present) Director, Oneok, Inc (2009 – present)


Joseph H. Wender 1944 Trustee (Trustee of The Charles Schwab Family of Funds since 2008.)	Senior Consultant, Goldman Sachs & Co., Inc. (Jan. 2008- present); Partner, Colgin Partners, LLC (vineyards) (February 1998 – present); Senior Director, Chairman of the Finance Committee, GSC Group (July 2005 – Dec. 2007); General Partner, Goldman Sachs & Co., Inc. (Oct. 1982 – June 2005).	75	Board Member and Chairman of the Audit Committee, Isis Pharmaceuticals (1994 – present)

Interested Trustees


Name, Year of Birth,		Number of
and Position(s) with		Portfolios in
the trust; (Terms of		Fund Complex
office, and length of	Principal Occupations	Overseen by
Time Served )	During the Past Five Years	the Trustee	Other Directorships

Charles R. Schwab²1937 Chairman and Trustee (Chairman and Trustee of The Charles Schwab Family of Funds since 1995.)	Chairman and Director, The Charles Schwab Corporation, Charles Schwab & Co., Inc., Charles Schwab Investment Management, Inc., Charles Schwab Bank, N. A.; Chairman and Chief Executive Officer, Schwab (SIS) Holdings Inc. I, Schwab International Holdings, Inc.; Chief Executive Officer, Schwab Holdings, Inc.; Through June 2007, Director, U.S. Trust Company, N. A., U.S. Trust Corporation, United States Trust Company of New York. Until October 2008, Chief Executive Officer, The Charles Schwab Corporation, Charles Schwab & Co., Inc.	75	None


Walter W. Bettinger II²1960 Trustee (Trustee of The Charles Schwab Family of Funds since 2008.)	As of October 2008, President and Chief Executive Officer, Charles Schwab & Co., Inc. and The Charles Schwab Corporation. Since October 2008, Director, The Charles Schwab Corporation. Since May 2008, Director, Charles Schwab & Co., Inc. and Schwab Holdings, Inc. Since 2006, Director, Charles Schwab Bank. From 2004 through 2007, Executive Vice President and President, Schwab Investor Services. From 2004 through 2005, Executive Vice President and Chief Operating Officer, Individual Investor Enterprise, and from 2002 through 2004, Executive Vice President, Corporate Services. Until October 2008, President and Chief Operating Officer, Charles Schwab & Co., Inc. and The Charles Schwab Corporation.	92	None

Officers of the Trust


Name, Year of Birth, and Position(s)
with the trust; (Terms of office, and
length of Time Served³)		Principal Occupations During the Past Five Years

Marie Chandoha 1961 President and Chief Executive Officer (Officer of The Charles Schwab Family of Funds since 2010.)		Executive Vice President, Charles Schwab & Co., Inc. (Sept. 2010 – present); Director, President and Chief Executive Officer (Dec. 2010 – present), Chief Investment Officer (Sept. 2010 – Oct. 2011), Charles Schwab Investment Management, Inc.; President and Chief Executive Officer (Dec. 2010 – present) and Chief Investment Officer (Dec. 2010 – Oct. 2011), Schwab Funds, Laudus Funds and Schwab ETFs; Global Head of Fixed Income Business Division, BlackRock, Inc. (formerly Barclays Global Investors) (March 2007 – August 2010); Co-Head and Senior Portfolio Manager, Wells Capital Management (June 1999 – March 2007).


George Pereira 1964 Treasurer and Principal Financial Officer (Officer of The Charles Schwab Family of Funds since 2004.)		Senior Vice President and Chief Financial Officer (Nov. 2004 – present); Chief Operating Officer (Jan. 2011 – present), Charles Schwab Investment Management, Inc.; Treasurer and Chief Financial Officer, Laudus Funds (June 2006 – present); Treasurer and Principal Financial Officer, Schwab Funds (Nov. 2004 – present) and Schwab ETFs (Oct. 2009 – present); Director, Charles Schwab Worldwide Fund, PLC and Charles Schwab Asset Management (Ireland) Limited (April 2005 – present); Treasurer, Chief Financial Officer and Chief Accounting Officer, Excelsior Funds Inc., Excelsior Tax-Exempt Funds, Inc., and Excelsior Funds Trust (June 2006 – June 2007).


Omar Aguilar 1970 Senior Vice President and Chief Investment Officer – Equities (Officer of The Charles Schwab Family of Funds since 2011.)		Senior Vice President and Chief Investment Officer – Equities, Charles Schwab Investment Management, Inc. (April 2011 – present); Senior Vice President and Chief Investment Officer – Equities, Schwab Funds and Laudus Funds (June 2011 – present); Head of the Portfolio Management Group and Vice President of Portfolio Management, Financial Engines, Inc. (May 2009 – April 2011); Head of Quantitative Equity, ING Investment Management (July 2004 – Jan. 2009).


Brett Wander 1961 Senior Vice President and Chief Investment Officer – Fixed Income (Officer of The Charles Schwab Family of Funds since 2011.)		Senior Vice President and Chief Investment Officer – Fixed Income, Charles Schwab Investment Management, Inc. (April 2011 – present); Senior Vice President and Chief Investment Officer – Fixed Income, Schwab Funds and Laudus Funds (June 2011 – present); Senior Managing Director, Global Head of Active Fixed-Income Strategies, State Street Global Advisors (Jan. 2008 – Oct. 2010); Director of Alpha Strategies, Loomis, Sayles & Company (April 2006 – Jan. 2008); Managing Director, Head of Market-Based Strategies, State Street Research (August 2003 – Jan. 2005).


David Lekich 1964 Secretary and Chief Legal Officer (Officer of The Charles Schwab Family of Funds since 2011.)		Senior Vice President, Charles Schwab & Co., Inc., (Sept. 2011 – present); Senior Vice President, Chief Counsel, Charles Schwab Investment Management Inc. (Sept. 2011 – present); Vice President, Charles Schwab & Co., Inc., (March 2004 – Sept. 2011) and Charles Schwab Investment Management, Inc. (Jan 2011 – Sept. 2011); Secretary, Schwab Funds (April 2011 – present); Vice President and Assistant Clerk, Laudus Funds (April 2011 – present); Secretary (May 2011 – present) and Chief Legal Officer (Nov. 2011 – present), Schwab ETFs.


Catherine MacGregor 1964 Vice President (Officer of The Charles Schwab Family of Funds since 2005.)		Vice President, Charles Schwab & Co., Inc., Charles Schwab Investment Management, Inc. (July 2005 – present); Vice President (Dec. 2005 – present), Chief Legal Officer and Clerk (March 2007 – present), Laudus Funds; Vice President (Nov. 2005 – present) and Assistant Secretary (June 2007 – present), Schwab Funds; Vice President and Assistant Secretary, Schwab ETFs (Oct. 2009 – present).


¹		Trustees remain in office until they resign, retire or are removed by shareholder vote. The Schwab Funds^® retirement policy requires that independent trustees elected after January 1, 2000 retire at age 72 or after twenty years as a trustee, whichever comes first. In addition, the Schwab Funds retirement policy also requires any independent trustee of the Schwab Funds who also serves as an independent trustee of the Laudus Funds to retire from the Boards of the Schwab Funds upon their required retirement date from either the Boards of Trustees of the Schwab Funds or the Laudus Funds, whichever comes first.
²		Mr. Schwab and Mr. Bettinger are Interested Trustees because they are employees of Schwab and/or the investment adviser. In addition to their employment with Schwab and/or the investment adviser, Messrs. Schwab and Bettinger also own stock of The Charles Schwab Corporation, the parent company of Schwab and the investment adviser.
³		The President, Treasurer and Secretary hold office until their respective successors are chosen and qualified or until he or she sooner dies, resigns, is removed or becomes disqualified. Each of the other officers serves at the pleasure of the Board.

Glossary

Alternative Minimum Tax (AMT) A federal income tax designed to limit the extent to which high-income taxpayers (including individuals, estates, trusts and corporations) can benefit from certain deductions and exemptions. For example, some types of income that are exempt from regular federal income tax are not exempt from the AMT.

Barclays U.S. Aggregate Bond Index A broad-based benchmark that measures the investment grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-back securities (agency fixed-rate and hybrid ARM passthroughs), asset-backed securities, and commercial mortgage-backed securities.

Barclays U.S. TIPS Index (Series-L) A rules-based, market value-weighted index that tracks inflation-protected securities issued by the U.S. Treasury that have at least one year remaining to maturity, are rated investment grade and have $250 million or more of outstanding face value.

bond A security representing a loan from the investor to the issuer. A bond typically pays interest at a fixed rate (the “coupon rate”) until a specified date (the “maturity date”), at which time the issuer returns the money borrowed (“principal” or “face value”) to the bond holder. Because of their structure, bonds are sometimes called “fixed income securities” or “debt securities.” An individual bond is subject to the credit risk of the issuer. Changes in interest rates can affect a bond’s market value prior to call or maturity. There is no guarantee that a bond’s yield to call or maturity will provide a positive return over the rate of inflation.

bond anticipation notes Obligations sold by a state or local government on a short-term basis in anticipation of the issuance of a longer-term bond in the future.

capital gain, capital loss The difference between the amount paid for an investment and its value at a later time. If the investment has been sold, the capital gain or loss is considered a realized gain or loss. If the investment is still held, the gain or loss is still “on paper” and is considered unrealized.

commercial paper Promissory notes issued by banks, corporations and other entities to finance short-term credit needs. These securities generally are structured on a discounted basis but sometimes may be interest-bearing notes. Commercial paper, which may be unsecured, is subject to credit risk.

credit-enhanced securities Securities that are backed by the credit of an entity other than the issuer (such as a financial institution). Credit enhancements, which can equal up to 100% of the security’s value, are designed to help lower the risk of default on a security and may also make the security more liquid.

credit quality The capacity of an issuer to make its interest and principal payments. Federal regulations strictly regulate the credit quality of the securities a money market fund can buy.

credit ratings Debt issuers, including corporations, states and municipalities, may arrange with a recognized independent rating organization, such as Standard & Poor’s, Fitch, Inc. and Moody’s Investor Service, to rate their creditworthiness and/or the creditworthiness of their debt issues. For example, an issuer may obtain a long-term rating within the investment grade rating category, which is, from high to low, AAA, AA, A and BBB for Standard & Poor’s and Fitch, and Aaa, Aa, A and Baa for Moody’s.

credit risk The risk that a debt issuer may be unable to pay interest or repay principal to its debt holders.

dollar-weighted average maturity (DWAM) See weighted average maturity.

effective yield A measurement of a fund’s yield that assumes that all interest income is reinvested in additional shares of the fund.

escrow The issuer of an escrowed bond deposits funds in a trust which are verified by a third party to be sufficient to pay the bond’s principal and interest at maturity or at a call date. The funds in the trust are invested in high quality investments, typically US Treasury and Agency obligations which mature at or prior to the bond’s maturity or call date.

expense ratio The amount that is taken from a mutual fund’s assets each year to cover the fund’s operating expenses. An expense ratio of 0.50% means that a fund’s expenses amount to half of one percent of its average net assets for the year.

face value The value of a bond, note, mortgage or other security as given on the certificate or instrument. Face value is also referred to as par value or nominal value.

fixed rate notes A security with a fixed rate or coupon and a short maturity (typically within thirteen months). For example, bond, revenue or tax anticipation notes.

Guaranty (GTY) An instrument issued by a financial institution to unconditionally guarantee the repayment of a security’s principal and interest at maturity. The security will typically carry the rating of the institution which provides the guaranty rather than that of the security’s issuer.

illiquid securities Securities are generally considered illiquid if they cannot be disposed of promptly (typically within seven days) and in the ordinary course of business at approximately the amount at which a fund has valued the instruments.

interest Payments to holders of debt securities as compensation for loaning a security’s principal to the issuer.

Letter of Credit (LOC) An instrument issued by a financial institution which unconditionally guarantees the repayment of principal and interest at maturity and upon demand. Many securities known as variable-rate demand obligations (VRDOs) carry LOCs to provide a source of payment to allow the holder of the security to demand repayment after a pre-defined number of days, typically daily or weekly.

Liquidity (LIQ) A liquidity facility is issued by a financial institution to improve the ability of the issuer of the security to meet demands for payment. Many securities known as variable-rate demand obligations (VRDOs) carry liquidity facilities to provide a source of payment to allow the holder of the security to demand repayment after a pre-defined number of days, typically daily or weekly. The issuer of the security must maintain strong long-term ratings and credit characteristics while the liquidity facility is in effect. If the issuer fails to meet certain predetermined financial conditions, the financial institution may terminate its obligation without notice.

liquidity-enhanced security The security’s structure includes a liquidity arrangement that requires an entity other than the issuer (such as a large financial institution) to provide funds to pay a tender under most circumstances. Liquidity enhancements are often used on variable-rate securities where the portfolio manager has an option to tender the securities for repayment within a specified time period (usually one day or one week) at any time prior to their final maturity.

maturity The date a debt security is scheduled to be “retired” and its principal amount repaid. The Maturity of an investment

will generally reflect the security’s final maturity date unless the security’s structure includes a maturity-shortening provision such as an interest rate reset, demand feature or put feature (the “Effective Maturity Date”). For those securities with a maturity-shortening provision, including variable-rate demand securities, the Maturity is determined by using the Effective Maturity Date, as permitted by Rule 2a-7.

money market securities High-quality, short-term debt securities that may be issued by states and local governments and their agencies. Money market securities must have an effective maturity of no longer than 397 days. Examples include bond and tax anticipation notes, commercial paper, variable-rate demand obligations and tender option bonds.

MSCI EAFE (Europe, Australasia, Far East) Index A free float-adjusted market capitalization index that is designed to measure the equity market performance of developed markets, excluding the US & Canada.

municipal securities Debt securities issued by a state, its counties, municipalities, authorities and other subdivisions, or the territories and possessions of the United States and the District of Columbia, including their subdivisions, agencies and instrumentalities and corporations. These securities may be issued to obtain money for various public purposes, including the construction of a wide range of public facilities such as airports, bridges, highways, housing, hospitals, mass transportation, public utilities, schools, streets, and water and sewer works.

net asset value per share (NAV) The value of one share of a mutual fund. NAV is calculated by taking the fund’s total assets, subtracting liabilities, and dividing by the number of shares outstanding. Money funds seek to maintain a steady NAV of $1.00.

outstanding shares, shares outstanding When speaking of a company or mutual fund, indicates all shares currently held by investors.

restricted securities Securities that are subject to contractual restrictions on resale. These securities are often purchased in private placement transactions.

revenue anticipation notes Obligations that are issued in expectation of the receipt of revenue, such as income taxes, property taxes, etc.

S&P 500 Index A market capitalization index that is designed to measure the performance of 500 leading publicly held companies in leading industries of the U.S. economy.

section 3c7 securities Section 3c7 of the Investment Company Act of 1940 (the “1940 Act”) exempts certain issuers from many regulatory requirements applicable to investment companies under the 1940 Act. An issuer whose outstanding securities are exclusively owned by “qualified purchasers” and who is not making or proposing to make a public offering of the securities may qualify for this exemption.

section 4(2)/144A securities Securities exempt from registration under Section 4(2) of the Securities Act of 1933. These securities may be sold only to qualified institutional buyers under Securities Act Rule 144A.

taxable-equivalent yield The yield an investor would need to get from a taxable investment in order to match the yield paid by a given tax-exempt investment, once the effect of all applicable taxes is taken into account. For example, if your tax rate were 25%, a tax-exempt investment paying 4.5% would have a taxable-equivalent yield for you of 6.0% (4.5% ¸ [1 − 0.25%] = 6.0%).

tax anticipation notes Notes that typically are sold to finance the cash flow needs of municipalities in anticipation of the receipt of taxes on a future date.

tender option bond A security which is created by a financial institution by combining a long-term municipal bond with a liquidity facility which converts the long-term bond into a money-market eligible security. Tender option bonds are issued as section 144A securities.

Tier 1, Tier 2 Tier 1 is the highest category of credit quality, Tier 2 the second highest. A security’s tier can be established either by an independent rating organization or by a determination of the investment adviser. Money market fund shares and U.S. government securities are automatically considered Tier 1 securities. The Schwab Money Funds only purchase securities which are considered to be Tier 1; however, they may hold Tier 2 securities as a result of a downgrade of a portfolio security.

total return The percentage that an investor would have earned or lost on an investment in the fund assuming dividends and distributions were reinvested.

variable rate demand obligations (VRDOs) Securities that have long maturities but which, because of their structure, require them to repay principal plus accrued interest within a specified timeframe (usually one or seven days) upon the demand of the bond holder. Depending on their structure, the repayment may be made by the bond issuer or by a financial institution, such as a highly rated bank.

variable rate demand preferred shares (VRDP) Variable rate demand securities that are issued by single state or national closed-end municipal bond funds, which, in turn, invest primarily in portfolios of tax-exempt municipal bonds. It is anticipated that the interest on VRDPs will be exempt from federal income tax. These securities are considered “municipal money market securities” for purposes of the fund’s investment policy as stated in the prospectus.

weighted average life (WAL) For money market mutual funds as per rule 2a-7, the weighted average life calculation takes into account either the final maturity date for each security held in the portfolio or, when relevant, the date of the next demand feature (when the fund is scheduled to receive payment of principal and interest after a demand). Money funds are required to maintain a weighted average life of no more than 120 days. Weighted average life for all Schwab money market funds is available in each fund’s monthly schedule of portfolio holdings at www.schwabfunds.com/prospectus and also available in each fund’s Form N-MFP on the SEC’s website at www.sec.gov 60 days after the end of the month to which the information pertains.

weighted average maturity (WAM) For money market mutual funds as per rule 2a-7, the maturity date or Effective Maturity Date (see definition of maturity) of all the debt securities in its portfolio, or the date the interest rate on those securities is reset, or the date those securities can be redeemed through demand, calculated as a weighted average. As a rule, the longer a fund’s weighted average maturity, the greater its interest rate risk. Money funds are required to maintain a weighted average maturity of no more than 60 days.

yield The income paid out by an investment, expressed as a percentage of the investments market value.

Schwab Funds^® offers you an extensive family of mutual funds, each one based on a clearly defined investment approach and using disciplined management strategies. The list at right shows all currently available Schwab Funds.

Whether you are an experienced investor or just starting out, Schwab Funds can help you achieve your financial goals. An investor should consider a fund’s investment objectives, risks, charges and expenses carefully before investing or sending money. This and other important information can be found in the fund’s prospectus. Please call 1-800-435-4000 for a prospectus and brochure for any Schwab Fund. Please read the prospectus carefully before you invest. This report must be preceded or accompanied by a current prospectus.

Proxy Voting Policies, Procedures and Results

A description of the proxy voting policies and procedures used to determine how to vote proxies on behalf of the funds is available without charge, upon request, by visiting Schwab’s website at www.schwabfunds.com/prospectus, the SEC’s website at http://www.sec.gov, or by contacting Schwab Funds at 1-800-435-4000.

Information regarding how a fund voted proxies relating to portfolio securities during the most recent twelve-month period ended June 30 is available, without charge, by visiting the fund’s website at www.schwabfunds.com/prospectus or the SEC’s website at http://www.sec.gov.

The Schwab Funds Family^®

Stock Funds

Schwab Premier Equity Fund^®

Schwab Core Equity Fund^tm

Schwab Dividend Equity Fund^tm

Schwab Large-Cap Growth Fund^tm

Schwab Small-Cap Equity Fund^tm

Schwab Hedged Equity Fund^tm

Schwab Financial Services Fund^tm

Schwab Health Care Fund^tm

Schwab^® International Core Equity Fund

Schwab Fundamental US Large* Company Index Fund

Schwab Fundamental US Small-Mid* Company Index Fund

Schwab Fundamental International* Large Company Index Fund

Schwab Fundamental International* Small-Mid Company Index Fund

Schwab Fundamental Emerging Markets* Index Fund

Schwab Global Real Estate Fund^tm

Schwab S&P 500 Index Fund

Schwab 1000 Index^® Fund

Schwab Small-Cap Index Fund^®

Schwab Total Stock Market Index Fund^®

Schwab International Index Fund^®

Asset Allocation Funds

Schwab Balanced Fund^tm

Schwab MarketTrack All Equity Portfolio^tm

Schwab MarketTrack Growth Portfolio^tm

Schwab MarketTrack Balanced Portfolio^tm

Schwab MarketTrack Conservative Portfolio^tm

Schwab Target 2010 Fund

Schwab Target 2015 Fund

Schwab Target 2020 Fund

Schwab Target 2025 Fund

Schwab Target 2030 Fund

Schwab Target 2035 Fund

Schwab Target 2040 Fund

Schwab^® Monthly Income Fund – Moderate Payout

Schwab^® Monthly Income Fund – Enhanced Payout

Schwab^® Monthly Income Fund – Maximum Payout

Bond Funds

Schwab Short-Term Bond Market Fund^tm

Schwab^® Premier Income Fund

Schwab Total Bond Market Fund^tm

Schwab GNMA Fund^tm

Schwab^® Treasury Inflation Protected Securities Fund

Schwab Tax-Free Bond Fund^tm

Schwab California Tax-Free Bond Fund^tm

Schwab Money Funds

Schwab offers an array of money market funds.¹ Choose from taxable or tax-advantaged alternatives. Many can be linked to your eligible Schwab account to “sweep” cash balances automatically, subject to availability, when you’re between investments. Or, for your larger cash reserves, choose one of our Value Advantage Investments^®.


*		SCHWAB is a registered trademark of Charles Schwab & Co., Inc. FUNDAMENTAL INDEX, FUNDAMENTAL US LARGE, FUNDAMENTAL US SMALL-MID, FUNDAMENTAL INTERNATIONAL AND FUNDAMENTAL EMERGING MARKETS are trademarks of Research Affiliates LLC.

¹		Investments in money market funds are neither insured nor guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other government agency and, although they seek to preserve the value of your investment at $1 per share, it is possible to lose money.

From the President

Marie Chandoha is President and CEO of Charles Schwab Investment Management, Inc. and the funds covered in this report.

In this environment, the Fed continued to focus on supporting an economic recovery by holding the federal funds rate at a target of 0-0.25%.

Dear Shareholder,

Sincerely,

2 Schwab Municipal Money Fund & Schwab AMT Tax-Free Money Fund

Schwab Municipal Money Fund

The Schwab Municipal Money Fund (the fund) seeks the highest current income consistent with stability of capital and liquidity, and is exempt from federal income tax. To pursue its goal, the fund invests in municipal (muni) money market securities from states and muni agencies around the country, as well as from U.S. territories and possessions.

Positioning and Strategies. The investment adviser continued to focus on safety and high credit quality, while maintaining a weighted average maturity (WAM) in a fairly tight range around 30 to 36 days, modestly longer than many other muni money market funds. Facing seasonal supply and demand dynamics, the fund’s WAM shortened in late May. As one-year muni note supply rose in early June, the fund’s WAM was extended with an eye toward diversification and solid credit quality. This meant purchasing recently issued muni notes with a notable degree of liquidity. Additionally, holdings of securities backed by euro zone banks were substantially reduced, with remaining positions primarily supported by highly rated entities that passed the investment adviser’s stringent credit review process.

As of 6/30/12:

Portfolio Composition By Maturity¹


	% of investments

1-15 Days		76.9%
16-30 Days		2.3%
31-60 Days		5.8%
61-90 Days		2.6%
91-120 Days		2.3%
More than 120 Days		10.1%
Total		100.0%

Statistics


Weighted Average Maturity²		36 Days
Credit Quality Of Holdings³% of portfolio		100% Tier 1
Credit Enhanced Securities % of Portfolio		54%

Portfolio Composition by Security Type⁴


	% of investments

Tender Option Bonds		28.4%
Variable Rate Demand Obligations		52.0%
Commercial Paper		10.0%
Fixed Rate Notes		8.2%
Other		1.4%
Total		100.0%

Largest Holdings by State


	% of Net Assets

Texas		11.6%
California		8.7%
New York		8.3%
Florida		6.2%
Illinois		5.3%

Manager views and portfolio holdings may have changed since the report date.


*		The investment adviser and its affiliates may recapture expenses or fees they voluntarily waived until the third anniversary of the end of the fiscal year in which such waiver occurs, subject to certain limitations. For more information on the potential impact of such recapture on future yields, see financial note 5.
¹		As shown in the Portfolio Holdings section of the shareholder report.
²		Money funds must maintain a dollar-weighted average maturity of no longer than 60 days and cannot invest in any security whose effective maturity is longer than 397 days (approximately 13 months).
³		Based on ratings from Moody’s Investors Service, Standard & Poor’s Corp. and/or Fitch Ratings or, if unrated, is determined to be of comparable quality. The fund may use different ratings provided by other rating agencies for purposes of determining compliance with the fund’s investment policies. The fund itself has not been rated by an independent credit rating agency.
⁴		Portfolio Composition is calculated using the Par Value of Investments.

4 Schwab Municipal Money Fund

Performance and Fund Facts as of 6/30/12

Weighted Average Maturity Trend for previous 12 months

Money funds must maintain a dollar-weighted average maturity of no longer than 60 days, and cannot invest in any security whose effective maturity is longer than 397 days (approximately 13 months).

7-day Average Yield Trend for previous 12 months*

Seven-Day Yields


	Schwab Municipal Money Fund
	Sweep	Value Advantage	Select	Institutional
	Shares	Shares^®	Shares^®	Shares

Ticker Symbol	SWXXX	SWTXX	SWLXX	SWOXX
Minimum Initial Investment¹	**	$25,000²	$1,000,000	$3,000,000


Seven-Day Yield³	0.01%	0.01%	0.01%	0.01%


Seven-Day Yield–Without Contractual Expense Limitation⁴	-0.09%	-0.10%	-0.20%	-0.30%


Seven-Day Effective Yield³	0.01%	0.01%	0.01%	0.01%


Seven-Day Taxable Equivalent Effective Yield^3,5	0.02%	0.02%	0.02%	0.02%

Portfolio holdings may have changed since the report date.


*		The 7-day average yield for the Sweep Shares, Value Advantage Shares and Select Shares was 0.01% throughout the entire period.
**		Subject to the eligibility terms and conditions of your Schwab account agreement.
¹		Please see prospectus for further detail and eligibility requirements.
²		Minimum initial investment for IRA and custodial accounts is $15,000. Municipal money funds are generally not appropriate investments for IRAs and other tax-deferred accounts. Please consult with your tax advisor about your situation.
³		Yield reflects the effect of the fund’s agreement with the investment adviser and its affiliates to limit each share class’s total annual operating expenses to certain levels (contractual expense limitation). In addition, the investment adviser and its affiliates have voluntarily waived expenses in excess of the contractual expense limitation to maintain a positive net yield for certain share classes of the fund (voluntary expense waiver). Without the contractual expense limitation and the voluntary expense waiver, the fund’s yield would have been lower. For additional details, see financial note 5.
⁴		Yield does not reflect the effect of the contractual expense limitation, but does reflect the effect of the voluntary expense waiver. The voluntary expense waiver added 0.34%, 0.20%, and 0.10% to the seven-day yields of the Sweep Shares, Value Advantage Shares, and Select Shares, respectively.
⁵		Taxable-equivalent effective yield assumes a 2012 maximum federal regular income tax rate of 35.00%. Investment income may be subject to the Alternative Minimum Tax.

Schwab Municipal Money Fund 5

Schwab AMT Tax-Free Money Fund

The Schwab AMT Tax-Free Money Fund (the fund) seeks the highest current income consistent with stability of capital and liquidity, and is exempt from federal income tax. To pursue its goal, the fund invests in municipal (muni) money market securities from states and muni agencies around the country, as well as from U.S. territories and possessions.

Positioning and Strategies. The investment adviser continued to focus on safety and high credit quality, while maintaining a weighted average maturity (WAM) in a fairly tight range around 35 to 40 days, modestly longer than many other muni money market funds. The investment adviser also purchased one-year muni notes with a notable degree of liquidity in early June, taking advantage of a seasonal supply influx to add securities that seemed attractively priced. Additionally, holdings of securities backed by euro zone banks were substantially reduced, with remaining positions primarily supported by highly rated entities that passed the investment adviser’s stringent credit review process.

As of 6/30/12:

Portfolio Composition By Maturity¹


	% of investments

1-15 Days		75.0%
16-30 Days		3.5%
31-60 Days		5.1%
61-90 Days		2.4%
91-120 Days		3.6%
More than 120 Days		10.4%
Total		100.0%

Statistics


Weighted Average Maturity²		33 Days
Credit Quality Of Holdings³% of portfolio		100% Tier 1
Credit Enhanced Securities % of Portfolio		52%

Portfolio Composition by Security Type⁴


	% of investments

Tender Option Bonds		38.0%
Variable Rate Demand Obligations		40.9%
Commercial Paper		11.5%
Fixed Rate Notes		7.3%
Other		2.3%
Total		100.0%

Largest Holdings by State


	% of Net Assets

Texas		15.3%
California		8.3%
Florida		8.1%
New York		7.8%
Illinois		7.4%

Manager views and portfolio holdings may have changed since the report date.


*		The investment adviser and its affiliates may recapture expenses or fees they voluntarily waived until the third anniversary of the end of the fiscal year in which such waiver occurs, subject to certain limitations. For more information on the potential impact of such recapture on future yields, see financial note 5.
¹		As shown in the Portfolio Holdings section of the shareholder report.
²		Money funds must maintain a dollar-weighted average maturity of no longer than 60 days and cannot invest in any security whose effective maturity is longer than 397 days (approximately 13 months).
³		Based on ratings from Moody’s Investors Service, Standard & Poor’s Corp. and/or Fitch Ratings or, if unrated, is determined to be of comparable quality. The fund may use different ratings provided by other rating agencies for purposes of determining compliance with the fund’s investment policies. The fund itself has not been rated by an independent credit rating agency.
⁴		Portfolio Composition is calculated using the Par Value of Investments.

6 Schwab AMT Tax-Free Money Fund

Performance and Fund Facts as of 6/30/12

Weighted Average Maturity Trend for previous 12 months

Money funds must maintain a dollar-weighted average maturity of no longer than 60 days, and cannot invest in any security whose effective maturity is longer than 397 days (approximately 13 months).

7-day Average Yield Trend for previous 12 months*

Seven-Day Yields


	Schwab AMT Tax-Free Money Fund
	Sweep	Value Advantage
	Shares	Shares^®

Ticker Symbol	SWFXX	SWWXX
Minimum Initial Investment¹	**	$25,000²


Seven-Day Yield³	0.01%	0.01%


Seven-Day Yield–Without Contractual Expense Limitation⁴	-0.07%	-0.11%


Seven-Day Effective Yield³	0.01%	0.01%


Seven-Day Taxable Equivalent Effective Yield^3,5	0.02%	0.02%

Portfolio holdings may have changed since the report date.


*		The 7-day average yield for the Sweep Shares and Value Advantage Shares was 0.01% throughout the entire period.
**		Subject to the eligibility terms and conditions of your Schwab account agreement.
¹		Please see prospectus for further detail and eligibility requirements.
²		Minimum initial investment for IRA and custodial accounts is $15,000. Municipal money funds are generally not appropriate investments for IRAs and other tax-deferred accounts. Please consult with your tax advisor about your situation.
³		Yield reflects the effect of the fund’s agreement with the investment adviser and its affiliates to limit each share class’s total annual operating expenses to certain levels (contractual expense limitation). In addition, the investment adviser and its affiliates have voluntarily waived expenses in excess of the contractual expense limitation to maintain a positive net yield for certain share classes of the fund (voluntary expense waiver). Without the contractual expense limitation and the voluntary expense waiver, the fund’s yield would have been lower. For additional details, see financial note 5.
⁴		Yield does not reflect the effect of the contractual expense limitation, but does reflect the effect of the voluntary expense waiver. The voluntary expense waiver added 0.38% and 0.21% to the seven-day yields of the Sweep Shares and Value Advantage Shares, respectively.
⁵		Taxable-equivalent effective yield assumes a 2012 maximum federal regular income tax rate of 35.00%. Investment income may be subject to the Alternative Minimum Tax.

Schwab AMT Tax-Free Money Fund 7

Fund Expenses (Unaudited)

Examples for a $1,000 Investment


					Ending
			Beginning		Account Value		Expenses Paid
	Expense Ratio¹		Account Value		(Net of Expenses)		During Period²
	(Annualized)		at 1/1/12		at 6/30/12		1/1/12–6/30/12

Schwab Municipal Money Fund^tm
Sweep Shares
Actual Return		0.22%	$	1,000	$	1,000.10	$	1.09
Hypothetical 5% Return		0.22%	$	1,000	$	1,023.77	$	1.11
Value Advantage Shares^®
Actual Return		0.22%	$	1,000	$	1,000.10	$	1.09
Hypothetical 5% Return		0.22%	$	1,000	$	1,023.77	$	1.11
Select Shares^®
Actual Return		0.22%	$	1,000	$	1,000.10	$	1.09
Hypothetical 5% Return		0.22%	$	1,000	$	1,023.77	$	1.11
Institutional Shares
Actual Return		0.22%	$	1,000	$	1,000.10	$	1.09
Hypothetical 5% Return		0.22%	$	1,000	$	1,023.77	$	1.11


Schwab AMT Tax-Free Money Fund^tm
Sweep Shares
Actual Return		0.21%	$	1,000	$	1,000.10	$	1.04
Hypothetical 5% Return		0.21%	$	1,000	$	1,023.82	$	1.06
Value Advantage Shares^®
Actual Return		0.21%	$	1,000	$	1,000.10	$	1.04
Hypothetical 5% Return		0.21%	$	1,000	$	1,023.82	$	1.06


¹		Based on the most recent six-month expense ratio; may differ from the expense ratio provided in the Financial Highlights.
²		Expenses for share class are equal to its annualized expense ratio, multiplied by the average account value over the period, multiplied by 182 days of the period, and divided by 366 days of the fiscal year.

8 Schwab Municipal Money Fund & Schwab AMT Tax-Free Money Fund

Schwab Municipal Money Fund™

Financial Statements

Financial Highlights


	1/1/12–			1/1/11–			1/1/10–			1/1/09–			1/1/08–			1/1/07–
Sweep Shares	6/30/12*			12/31/11			12/31/10			12/31/09			12/31/08			12/31/07


Per-Share Data ($)

Net asset value at beginning of period		1.00			1.00			1.00			1.00			1.00			1.00

Income (loss) from investment operations:
Net investment income (loss)		0.00	¹		0.00	¹		0.00	¹		0.00	¹		0.02			0.03
Net realized and unrealized gains (losses)		0.00	¹		0.00	¹		0.00	¹		0.00	¹		—			—

Total from investment operations		0.00	¹		0.00	¹		0.00	¹		0.00	¹		0.02			0.03
Less distributions:
Distributions from net investment income		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.02	)		(0.03	)
Distributions from net realized gains		—			(0.00	)¹		(0.00	)¹		(0.00	)¹		—			—

Total distributions		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.02	)		(0.03	)

Net asset value at end of period		1.00			1.00			1.00			1.00			1.00			1.00

Total return (%)		0.01	²		0.01			0.02			0.19			1.85			3.12

Ratios/Supplemental Data (%)

Ratios to average net assets:
Net operating expenses		0.22	^3,4		0.29	⁴		0.35	⁴		0.54	^4,5		0.60			0.59
Gross operating expenses		0.68	³		0.68			0.68			0.70			0.69			0.68
Net investment income (loss)		0.01	³		0.01			0.01			0.18			1.81			3.07
Net assets, end of period ($ x 1,000,000)		9,709			10,220			9,857			10,303			10,856			8,491


	1/1/12–			1/1/11–			1/1/10–			1/1/09–			1/1/08–			1/1/07–
Value Advantage Shares	6/30/12*			12/31/11			12/31/10			12/31/09			12/31/08			12/31/07


Per-Share Data ($)

Net asset value at beginning of period		1.00			1.00			1.00			1.00			1.00			1.00

Income (loss) from investment operations:
Net investment income (loss)		0.00	¹		0.00	¹		0.00	¹		0.00	¹		0.02			0.03
Net realized and unrealized gains (losses)		0.00	¹		0.00	¹		0.00	¹		0.00	¹		—			—

Total from investment operations		0.00	¹		0.00	¹		0.00	¹		0.00	¹		0.02			0.03
Less distributions:
Distributions from net investment income		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.02	)		(0.03	)
Distributions from net realized gains		—			(0.00	)¹		(0.00	)¹		(0.00	)¹		—			—

Total distributions		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.02	)		(0.03	)

Net asset value at end of period		1.00			1.00			1.00			1.00			1.00			1.00

Total return (%)		0.01	²		0.01			0.02			0.27			2.00			3.27

Ratios/Supplemental Data (%)

Ratios to average net assets:
Net operating expenses		0.22	^3,4		0.30	⁴		0.34	⁴		0.46	^4,5		0.45			0.45
Gross operating expenses		0.55	³		0.55			0.55			0.57			0.56			0.55
Net investment income (loss)		0.01	³		0.01			0.01			0.29			1.96			3.22
Net assets, end of period ($ x 1,000,000)		819			918			1,205			1,954			3,219			2,786

* Unaudited.

¹ Per-share amount was less than $0.01.

² Not annualized.

³ Annualized.

⁴ Reflects the effect of a voluntary expense waiver in excess of the contractual expense limitation. (See financial note 5)

⁵ The ratio of net operating expenses would have been 0.52% for Sweep Shares and 0.43% for Value Advantage Shares, respectively, if certain non-routine expenses (participation fees for the Treasury’s Temporary Guarantee Program for Money Market Funds) had not been incurred.

See financial notes 9

Schwab Municipal Money Fund

Financial Highlights continued


	1/1/12–			1/1/11–			1/1/10–			1/1/09–			1/1/08–			1/1/07–
Select Shares	6/30/12*			12/31/11			12/31/10			12/31/09			12/31/08			12/31/07


Per-Share Data ($)

Net asset value at beginning of period		1.00			1.00			1.00			1.00			1.00			1.00

Income (loss) from investment operations:
Net investment income (loss)		0.00	¹		0.00	¹		0.00	¹		0.00	¹		0.02			0.03
Net realized and unrealized gains (losses)		0.00	¹		0.00	¹		0.00	¹		0.00	¹		—			—

Total from investment operations		0.00	¹		0.00	¹		0.00	¹		0.00	¹		0.02			0.03
Less distributions:
Distributions from net investment income		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.02	)		(0.03	)
Distributions from net realized gains		—			(0.00	)¹		(0.00	)¹		(0.00	)¹		—			—

Total distributions		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.02	)		(0.03	)

Net asset value at end of period		1.00			1.00			1.00			1.00			1.00			1.00

Total return (%)		0.01	²		0.02			0.02			0.36			2.10			3.37

Ratios/Supplemental Data (%)

Ratios to average net assets:
Net operating expenses		0.22	^3,4		0.29	⁴		0.34	⁴		0.37	^4,5		0.35			0.35
Gross operating expenses		0.55	³		0.55			0.55			0.57			0.56			0.55
Net investment income (loss)		0.01	³		0.01			0.01			0.35			2.05			3.31
Net asset, end of period ($ x 1,000,000)		448			517			712			1,389			1,700			1,428


	1/1/12–			1/1/11–			1/1/10–			1/1/09–			1/1/08–			1/1/07–
Institutional Shares	6/30/12*			12/31/11			12/31/10			12/31/09			12/31/08			12/31/07


Per-Share Data ($)

Net asset value at beginning of period		1.00			1.00			1.00			1.00			1.00			1.00

Income (loss) from investment operations:
Net investment income (loss)		0.00	¹		0.00	¹		0.00	¹		0.00	¹		0.02			0.03
Net realized and unrealized gains (losses)		0.00	¹		0.00	¹		0.00	¹		0.00	¹		—			—

Total from investment operations		0.00	¹		0.00	¹		0.00	¹		0.00	¹		0.02			0.03
Less distributions:
Distributions from net investment income		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.02	)		(0.03	)
Distributions from net realized gains		—			(0.00	)¹		(0.00	)¹		(0.00	)¹		—			—

Total distributions		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.02	)		(0.03	)

Net asset value at end of period		1.00			1.00			1.00			1.00			1.00			1.00

Total return (%)		0.01	²		0.07			0.13			0.46			2.21			3.48

Ratios/Supplemental Data (%)

Ratios to average net assets:
Net operating expenses		0.22	^3,4		0.24	⁴		0.24	⁴		0.27	^4,5		0.25	⁶		0.24
Gross operating expenses		0.55	³		0.55			0.55			0.57			0.56			0.55
Net investment income (loss)		0.01	³		0.07			0.12			0.47			2.15			3.41
Net assets, end of period ($ x 1,000,000)		1,798			2,080			2,833			3,750			4,811			3,840

* Unaudited.

¹ Per-share amount was less than $0.01.

² Not annualized.

³ Annualized.

⁴ Reflects the effect of a voluntary expense waiver in excess of the contractual expense limitation. (See financial note 5)

⁵ The ratio of net operating expenses would have been 0.35% for Select Shares and 0.24% for Institutional Shares, respectively, if certain non-routine expenses (participation fees for the Treasury’s Temporary Guarantee Program for Money Market Funds) had not been incurred.

⁶ The ratio of net operating expenses would have been 0.24%, if certain non-routine expenses (participation fees for the Treasury’s Temporary Guarantee Program for Money Market Funds) had not been incurred.

10 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings as of June 30, 2012 (Unaudited)

This section shows all the securities in the fund’s portfolio and their values as of the report date.

Cost

Value

Holdings by Category

($)

.9%

Fixed-Rate Securities

3,183,848,037

.3%

Variable-Rate Securities

9,743,639,589

101

.2%

Total Investments

12,927,487,626

.2)%

Other Assets and Liabilities, Net

(153,124,345

)

100

.0%

Net Assets

12,774,363,281

Face

Issuer

Effective

Maturity

Amount

Value

Type of Security, Series

Footnotes

Rate

Maturity

Date

($)

Fixed-Rate Securities 24.9% of net assets

Alabama 0.2%

Huntsville Health Care Auth

CP Notes

0.17%

08/03/12

22,500,000

22,500,000

Alaska 0.2%

Alaska Housing Finance Corp

State Capital Bonds Series 2006A (LIQ: US Bank, NA)

0.29%

07/19/12

27,165,000

27,165,000

Arizona 0.7%

Arizona Board of Regents

RB (Arizona State Univ) Series 2007A (GTY/LIQ: US Bank, NA)

0.38%

01/17/13

10,255,000

Phoenix Civic Improvement Corp

Wastewater System Revenue BAN Series 2009 (LOC: Bank of America, NA)

0.27%

07/17/12

50,900,000

Pima Cnty

GO Bonds Series 2012A

1.00%

07/01/13

5,000,000

5,037,930

Yuma Municipal Property Corp

Utility System Sr Lien RB Series 2007 (GTY/LIQ: US Bank, NA)

0.38%

12/06/12

24,870,000

91,062,930

Arkansas 0.1%

Univ of Arkansas

Facilities RB Series 2006 (GTY/LIQ: US Bank, NA)

0.38%

12/06/12

14,285,000

14,285,000

California 5.6%

California Health Facilities Financing Auth

RB (Kaiser Permanente) Series 2006E

0.26%

07/24/12

29,000,000

RB (Kaiser Permanente) Series 2006E

0.25%

03/14/13

3,500,000

California School Cash Reserve Program Auth

Bonds 2012-2013 Series L

2.00%

06/03/13

8,200,000

8,332,348

See financial notes 11

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
California Statewide Communities Development Auth
RB (Kaiser Permanente) Series 2004E		0.23%			09/20/12		16,000,000		16,000,000

RB (Kaiser Permanente) Series 2004E		0.24%			11/19/12		26,200,000		26,200,000

RB (Kaiser Permanente) Series 2004E		0.25%			12/11/12		8,000,000		8,000,000

RB (Kaiser Permanente) Series 2004I		0.25%			03/21/13		6,700,000		6,700,000

RB (Kaiser Permanente) Series 2004K		0.25%			12/06/12		16,000,000		16,000,000

RB (Kaiser Permanente) Series 2004K		0.25%			01/11/13		12,300,000		12,300,000

RB (Kaiser Permanente) Series 2006D		0.26%			07/11/12		10,000,000		10,000,000

RB (Kaiser Permanente) Series 2006D		0.26%			08/06/12		20,500,000		20,500,000

RB (Kaiser Permanente) Series 2008B		0.25%			10/24/12		8,000,000		8,000,000

RB (Kaiser Permanente) Series 2008B		0.25%			03/05/13		30,000,000		30,000,000

RB (Kaiser Permanente) Series 2008C		0.20%			07/06/12		27,805,000		27,805,000

RB (Kaiser Permanente) Series 2009A		5.00%			04/01/13		2,300,000		2,380,111

RB (Kaiser Permanente) Series 2009B2		0.26%			02/05/13		25,000,000		25,000,000

RB (Kaiser Permanente) Series 2009B3		0.23%			09/12/12		23,500,000		23,500,000

RB (Kaiser Permanente) Series 2009B3		0.25%			11/01/12		5,800,000		5,800,000

RB (Kaiser Permanente) Series 2009B5		0.24%			08/15/12		10,000,000		10,000,000

RB (Kaiser Permanente) Series 2009B6		0.24%			08/15/12		31,000,000		31,000,000

Hartnell Community College District
GO Bonds Series D (GTY/LIQ: Wells Fargo & Co)	a	0.30%			01/17/13		8,885,000		8,885,000

Kern Cnty
TRAN 2012-2013	c	2.50%			06/28/13		35,000,000		35,786,800

Los Angeles
TRAN Series 2012D	c	2.00%			05/30/13		20,000,000		20,317,600

TRAN Series 2012E	c	2.00%			06/27/13		40,000,000		40,684,800

Los Angeles Cnty
TRAN 2012-13 Series A	c	2.00%			02/28/13		30,000,000		30,357,300

TRAN 2012-13 Series B	c	2.00%			03/29/13		25,000,000		25,335,000

TRAN 2012-13 Series C	c	2.00%			06/28/13		35,980,000		36,619,005

Los Angeles USD
TRAN 2011-2012 Series A	d	2.00%			08/01/12		125,000,000		125,183,328

Oakland
TRAN 2012-2013	c	1.00%			06/28/13		20,000,000		20,146,400

Riverside Cnty
TRAN 2012-2013 Series A	c	2.00%			03/29/13		5,000,000		5,067,100

TRAN 2012-2013 Series B	c	2.00%			06/28/13		20,000,000		20,354,200

Santa Cruz Cnty
TRAN 2012-13	c	2.00%			07/02/13		5,000,000		5,089,050

Victor Valley Community College District
GO Bonds Series 2009C (LIQ: Wells Fargo & Co)	a	0.27%			10/18/12		22,045,000		22,045,000

									715,888,042

Colorado 0.2%
Aurora
First Lien Sewer RB Series 2006 (GTY/LIQ: US Bank, NA)	a	0.42%			12/06/12		15,040,000		15,040,000

Colorado Health Facilities Auth
RB (Catholic Health Initiatives) Series 2009B1		5.00%			11/08/12		2,200,000		2,236,747

Dawson Ridge Metropolitan District No.1
Limited Tax Refunding Bonds Series 1992A (ESCROW/LIQ: Wells Fargo & Co)	a	0.25%			10/25/12		9,015,000		9,015,000

12 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
East Cherry Creek Valley Water & Sanitation District
Water Refunding RB Series 2009B (LOC: Wells Fargo Bank, NA)		2.75%			11/15/12		3,100,000		3,128,536

									29,420,283

District of Columbia 0.7%
District of Columbia
GO TRAN Fiscal Year 2012		2.00%			09/28/12		29,000,000		29,120,254

RB (Georgetown Univ) Series 2001C (GTY/LIQ: Wells Fargo & Co)	a	0.30%			01/16/13		24,995,000		24,995,000

Metropolitan Washington Airports Auth
Airport System RB Series 2005A		5.00%			10/01/12		8,145,000		8,235,701

Airport System RB Series 2007B		5.00%			10/01/12		5,000,000		5,057,208

Airport System Refunding RB Series 2004D		5.25%			10/01/12		8,140,000		8,240,963

Airport System Refunding RB Series 2007A		5.00%			10/01/12		2,000,000		2,023,496

Airport System Refunding RB Series 2011C		2.00%			10/01/12		7,075,000		7,104,941

									84,777,563

Florida 1.2%
Cape Coral
Water & Sewer Refunding RB Series 2011A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.27%			10/11/12		10,105,000		10,105,000

Florida Dept of Transportation
Turnpike RB Series 2006A (LIQ: Wells Fargo & Co)	a	0.20%			07/19/12		7,260,000		7,260,000

Florida Local Government Finance Commission
CP Notes Series A1&B1 (LOC: JPMorgan Chase Bank, NA)		0.20%			07/12/12		11,193,000		11,193,000

CP Notes Series A1&B1 (LOC: JPMorgan Chase Bank, NA)		0.22%			07/12/12		8,025,000		8,025,000

Florida State Board of Education
Public Education Capital Outlay Refunding Bonds Series 2011A		5.00%			06/01/13		2,000,000		2,086,965

Hillsborough Cnty
CP Series A (LOC: State Street Bank & Trust Company, NA)		0.18%			07/12/12		30,000,000		30,000,000

Lakeland
Energy System Refunding RB Series 2010 (GTY/LIQ: Wells Fargo Bank, NA)	a	0.30%			01/17/13		26,790,000		26,790,000

Miami-Dade Cnty School Board
COP Series 2006A&B (GTY/LIQ: US Bank, NA)	a	0.29%			07/19/12		27,850,000		27,850,000

Orlando-Orange Cnty Expressway Auth
RB Series 2007A (GTY/LIQ: US Bank, NA)	a,d	0.38%			12/06/12		28,405,000		28,405,000

									151,714,965

Georgia 0.5%
Coweta Cnty Development Auth
RB (Piedmont Healthcare) Series 2010 (GTY/LIQ: Wells Fargo Bank, NA)	a	0.30%			01/24/13		29,790,000		29,790,000

DeKalb Private Hospital Auth
Revenue Anticipation Certificates (Children’s Healthcare of Atlanta) Series 2009 (LIQ: Wells Fargo & Co)	a	0.27%			11/29/12		12,395,000		12,395,000

Valdosta & Lowndes County Hospital Auth
Revenue Certificates (South Georgia Medical Center) Series 2011B (LIQ: Wells Fargo Bank, NA)	a	0.27%			03/21/13		27,490,000		27,490,000

									69,675,000

Hawaii 0.0%
Honolulu
GO Bonds Series 2004B		5.00%			07/01/12		1,035,000		1,035,000

See financial notes 13

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)

Illinois 0.8%
Chicago
CP Notes Series 2011B1&B2 (LOC: Wells Fargo Bank, NA)		0.27%			12/04/12		25,654,000		25,654,000

Sales Tax RB Series 2011A (LIQ: Wells Fargo Bank, NA)	a	0.27%			10/11/12		21,755,000		21,755,000

Illinois Finance Auth
RB (Advocate Health Care Network) Series 2008A1		0.22%			01/24/13		7,250,000		7,250,000

RB (Advocate Health Care Network) Series 2003C		0.25%			04/19/13		8,000,000		8,000,000

RB (Central DuPage Health) Series 2009B (LIQ: Wells Fargo & Co)	a	0.27%			10/18/12		19,340,000		19,340,000

RB (DePaul Univ) Series 2011A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.30%			01/17/13		24,405,000		24,405,000

									106,404,000

Indiana 0.8%
Indiana Finance Auth
Health System Refunding RB (Sisters of St. Francis Health Services) Series 2008C (LIQ: Wells Fargo & Co)	a	0.27%			10/18/12		14,705,000		14,705,000

RB (Parkview Health) Series 2009A (GTY/LIQ: Wells Fargo & Co)	a	0.30%			01/17/13		20,395,000		20,395,000

Refunding & RB (Trinity Health) Series 2009A (LIQ: Wells Fargo & Co)	a	0.27%			10/18/12		24,090,000		24,090,000

Indianapolis Local Public Improvement Bond Bank
Waterworks Project Bonds Series 2009A (GTY/LIQ: Wells Fargo & Co)	a	0.28%			01/24/13		14,545,000		14,545,000

Middlebury Schools Building Corp
First Mortgage Bonds Series 2006A (GTY/LIQ: US Bank, NA)	a	0.38%			01/17/13		10,135,000		10,135,000

Whiting
Environmental Facilities RB (BP Products North America) Series 2005 (GTY/LIQ: Wells Fargo Bank, NA)	a	0.30%			01/10/13		16,195,000		16,195,000

									100,065,000

Louisiana 0.4%
Louisiana State Univ & Agricultural & Mechanical College
Auxiliary RB Series 2006 (GTY/LIQ: US Bank, NA)	a	0.29%			07/26/12		27,260,000		27,260,000

Plaquemines Port, Harbor & Terminal District
Port Facilities Refunding RB Series 1984B (LOC: Wells Fargo Bank, NA)		1.28%			03/15/13		16,400,000		16,400,000

St. John the Baptist Parish
RB (Marathon Oil Corp) Series 2007A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.27%			10/11/12		4,775,000		4,775,000

									48,435,000

Maine 0.2%
Maine Health & Higher Educational Facilities Auth
RB Series 2006F (GTY/LIQ: US Bank, NA)	a	0.42%			12/06/12		29,650,000		29,650,000

Maryland 0.6%
Maryland Community Development Admin
Housing RB Series 2006D&2007B (LIQ: Wells Fargo & Co)	a	0.23%			07/19/12		8,985,000		8,985,000

Maryland Health & Higher Educational Facilities Auth
CP Revenue Notes (John Hopkins Health) Series E (LOC: Bank of America, NA)		0.22%			07/17/12		22,600,000		22,600,000

CP Revenue Notes (John Hopkins Health) Series E (LOC: Bank of America, NA)		0.21%			07/19/12		17,000,000		17,000,000

14 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
CP Revenue Notes (John Hopkins Health) Series F (LOC: Bank of America, NA)		0.21%			07/18/12		30,000,000		30,000,000

									78,585,000

Massachusetts 0.3%
Longmeadow
GO BAN		1.25%			10/10/12		7,000,000		7,018,869

Massachusetts Port Auth
CP Notes Series 2012B (LOC: TD Bank NA)		0.20%			08/09/12		10,000,000		10,000,000

New Bedford
GO BAN Series C		1.50%			02/08/13		4,000,000		4,024,127

Quincy
GO BAN		1.25%			09/14/12		12,250,000		12,272,755

									33,315,751

Minnesota 0.2%
Western Minnesota Municipal Power Agency
Power Supply RB Series 2006A (GTY/LIQ: US Bank, NA)	a	0.38%			01/10/13		27,200,000		27,200,000

Nebraska 0.0%
Nebraska Public Power District
General RB Series 2007B		5.00%			01/01/13		5,605,000		5,737,730

Nevada 0.6%
Clark Cnty
Airport Passenger Facility Charge RB Series 2007A2 (GTY/LIQ: US Bank, NA)	a,d	0.38%			01/17/13		45,285,000		45,285,000

Las Vegas Valley Water District
GO Limited Tax Water CP Series 2004A (LIQ: JPMorgan Chase Bank, NA)		0.20%			08/03/12		18,000,000		18,000,000

GO Limited Tax Water CP Series 2004A (LIQ: JPMorgan Chase Bank, NA)		0.20%			08/08/12		7,240,000		7,240,000

									70,525,000

New Jersey 0.5%
Cherry Hill Township
General & Sewer Capital BAN Series 2011		1.50%			10/17/12		12,000,000		12,038,419

East Brunswick
BAN		1.50%			04/10/13		9,935,000		10,003,865

Essex Cnty
BAN Series 2011		1.25%			09/28/12		18,500,000		18,545,741

Hudson Cnty Improvement Auth
Pooled Notes Series 2011-I1		2.00%			08/17/12		15,500,000		15,525,687

Pooled Notes Series 2012-L1		2.00%			06/05/13		3,300,000		3,334,940

Stafford Township
BAN 2012		1.50%			05/21/13		6,000,000		6,060,990

									65,509,642

New Mexico 0.1%
New Mexico Hospital Equipment Loan Council
RB (Presbyterian Healthcare Services) Series 2009A (LIQ: Wells Fargo Bank, NA)	a	0.30%			01/17/13		13,625,000		13,625,000

See financial notes 15

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


							Face
Issuer			Effective		Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity		Date		($)		($)

New York 3.3%
Albany Cnty
BAN 2011		1.25%				09/21/12		20,000,000		20,034,777

Commack UFSD
BAN 2011		1.25%				09/14/12		12,711,515		12,733,031

Metropolitan Transportation Auth
Transportation Revenue BAN Series CP2B (LOC: Barclays Bank Plc)		0.20%				08/10/12		21,730,000		21,730,000

New York City
GO Bonds Fiscal 2004 Series A		5.00%				08/01/12		1,000,000		1,003,965

GO Bonds Fiscal 2009 Series I1 (GTY/LIQ: Wells Fargo & Co)	a	0.28%				01/24/13		24,385,000		24,385,000

New York City Housing Development Corp
M/F Housing RB Series 2008H2A		0.32%				05/01/13		7,500,000		7,500,000

M/F Housing RB Series 2012C		0.27%				02/01/13		8,000,000		8,000,000

New York City Municipal Water Finance Auth
CP Series 6		0.20%				08/03/12		35,000,000		35,000,000

Extendible CP Series 7		0.24%				08/22/12		66,000,000		66,000,000

New York Liberty Development Corp
Liberty Refunding RB (3 World Trade Center) Series 2011A (ESCROW)		0.27%				11/08/12		50,000,000		50,000,000

New York State Power Auth
CP Series 1		0.25%		08/21/12		03/11/13		7,762,000		7,762,000

New York State Thruway Auth
General Revenue BAN Series 2011A		2.00%				07/12/12		89,800,000		89,844,872

North Hempstead
RAN 2011		1.00%				09/28/12		9,150,000		9,164,619

North Tonawanda SD
BAN 2011		1.25%				09/20/12		9,927,477		9,946,446

Port Auth of New York & New Jersey
Consolidated Bonds 131st Series		5.00%				12/15/12		1,185,000		1,210,706

CP Series B		0.18%				08/14/12		8,925,000		8,925,000

Rensselaer Cnty
GO BAN 2011		1.50%				08/17/12		15,000,000		15,017,615

Rochester
BAN Series 2011-II		1.00%				08/16/12		22,000,000		22,015,124

Tarrytown
BAN Series 2011D		1.50%				10/19/12		8,000,000		8,029,537

										418,302,692

North Carolina 0.1%
Union Cnty
COP Series 2006 (GTY/LIQ: US Bank, NA)	a	0.38%				01/17/13		10,240,000		10,240,000

Ohio 0.9%
Cuyahoga Cnty
RB (Cleveland Clinic) Series 2004B2 (LIQ: JPMorgan Chase Bank, NA)	d	0.19%				08/08/12		57,835,000		57,835,000

Montgomery Cnty
RB (Catholic Health Initiatives) Series 2009A (LIQ: Wells Fargo & Co)	a	0.28%				01/24/13		33,685,000		33,685,000

Ohio
BAN Series 2012A		0.35%				05/30/13		17,030,000		17,030,000

										108,550,000

16 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)

Pennsylvania 0.0%
Univ of Pittsburgh
PITT Asset Notes Series 2012		2.00%			07/02/13		5,000,000		5,089,599

Tennessee 0.3%
Metro Government of Nashville & Davidson Cnty
Water & Sewer Revenue CP Series A (LIQ: US Bank, NA)		0.18%			08/15/12		12,500,000		12,500,000

Water & Sewer Revenue CP Series B (LIQ: JPMorgan Chase Bank, NA)		0.25%			08/07/12		15,000,000		15,000,000

Water & Sewer Revenue CP Series B (LIQ: JPMorgan Chase Bank, NA)		0.19%			08/15/12		12,500,000		12,500,000

									40,000,000

Texas 5.2%
Austin ISD
CP Notes Series A1 (LIQ: Sumitomo Mitsui Banking Corp)		0.19%			07/16/12		3,285,000		3,285,000

CP Notes Series A1 (LIQ: Sumitomo Mitsui Banking Corp)		0.19%			08/07/12		15,000,000		15,000,000

CP Notes Series A1 (LIQ: Sumitomo Mitsui Banking Corp)		0.20%			09/10/12		25,000,000		25,000,000

Dallas
GO CP Notes Series 2010C (LIQ: Wells Fargo Bank, NA)		0.25%			08/08/12		4,000,000		4,000,000

Waterworks & Sewer System CP Series D (LIQ: State Street Bank & Trust Company, NA; California State Teachers Retirement Systems)		0.26%			07/09/12		8,500,000		8,500,000

Waterworks & Sewer System CP Series D (LIQ: State Street Bank & Trust Company, NA; California State Teachers Retirement Systems)		0.21%			07/27/12		10,000,000		10,000,000

Grapevine Industrial Development Corp
Airport RB (Singer Co) Series 1983A (LOC: Toronto-Dominion Bank)		0.50%			04/01/13		19,000,000		19,000,000

Harris Cnty
Toll Road Sr Lien Refunding RB Series 2011A		2.00%			08/15/12		37,000,000		37,078,525

Unlimited Tax Road & Refunding Bonds Series 2006B (LIQ: Wells Fargo & Co)	a	0.30%			01/17/13		27,330,000		27,330,000

Harris Cnty Cultural Education Facilities Finance Corp
Refunding RB (Methodist Hospital) Series 2009C1		0.28%			07/10/12		50,000,000		50,000,000

Refunding RB (Methodist Hospital) Series 2009C1		0.20%			09/05/12		10,000,000		10,000,000

Refunding RB (Methodist Hospital) Series 2009C1		0.20%			10/03/12		18,000,000		18,000,000

Refunding RB (Methodist Hospital) Series 2009C2		0.28%			08/06/12		20,000,000		20,000,000

Refunding RB (Methodist Hospital) Series 2009C2		0.22%			11/08/12		5,000,000		5,000,000

Refunding RB (Methodist Hospital) Series 2009C2		0.22%			12/05/12		10,000,000		10,000,000

Houston
GO CP Series E2 (LIQ: Wells Fargo Bank, NA)		0.20%			08/08/12		9,000,000		9,000,000

Sub Lien Refunding RB Series 2011A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.27%			10/11/12		19,200,000		19,200,000

Houston Combined Utility System
First Lien Refunding RB Series 2010C		5.00%			11/15/12		11,445,000		11,647,280

Jefferson Cnty Industrial Development Corp
RB (Jefferson Refinery) Series 2010 (LOC: Branch Banking & Trust Co)		0.45%			09/27/12		105,365,000		105,365,000

Lower Colorado River Auth
CP Notes Series A (LIQ: JPMorgan Chase Bank, NA)		0.19%			07/11/12		44,875,000		44,875,000

See financial notes 17

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
San Antonio
Tax & Revenue Certificates of Obligation Series 2006 (LIQ: Wells Fargo & Co)	a	0.20%			07/19/12		43,000		43,000

Tarrant Cnty Cultural Education Facilities Finance Corp
RB (Texas Health Resources) Series 2010 (LIQ: Wells Fargo Bank, NA)	a	0.27%			10/11/12		6,500,000		6,500,000

Texas
TRAN CP Notes Series 2011B		0.17%			08/30/12		15,000,000		15,000,000

TRAN Series 2011A		2.50%			08/30/12		25,000,000		25,092,791

Texas Municipal Power Agency
CP Notes Series 2005 (LOC: Bank of America, NA; JPMorgan Chase Bank, NA)		0.30%			07/11/12		7,400,000		7,400,000

CP Notes Series 2005 (LOC: Bank of America, NA; JPMorgan Chase Bank, NA)		0.23%			07/17/12		32,000,000		32,000,000

CP Notes Series 2005 (LOC: Bank of America, NA; JPMorgan Chase Bank, NA)		0.20%			08/03/12		55,000,000		55,000,000

Texas Public Finance Auth
GO CP Series 2008 (LIQ: Sumitomo Mitsui Banking Corp)		0.19%			08/21/12		17,835,000		17,835,000

Revenue CP Notes Series 2003 (LIQ: Barclays Bank Plc)		0.19%			08/08/12		40,000,000		40,000,000

Revenue CP Notes Series 2003 (LIQ: Barclays Bank Plc)		0.20%			08/21/12		16,550,000		16,550,000

									667,701,596

Utah 0.5%
Riverton
Hospital RB (IHC Health Services) Series 2009 (LIQ: Wells Fargo & Co)	a	0.27%			10/18/12		18,695,000		18,695,000

Utah Transit Auth
Sales Tax RB Series 2008A (LIQ: Wells Fargo & Co)	a	0.27%			10/18/12		39,310,000		39,310,000

									58,005,000

Washington 0.7%
Energy Northwest
Electric Refunding RB (Project No. 1) Series 2010A		3.00%			07/01/12		100,000		100,000

Port of Seattle
Refunding RB Series 2011B		2.00%			09/01/12		2,700,000		2,707,600

Port of Tacoma
Sub Lien Revenue CP Notes Series 2002A&B (LOC: Bank of America, NA)		0.45%			07/05/12		62,000,000		62,000,000

Snohomish Cnty Public Utility District No.1
Electric System Refunding RB Series 2011		2.00%			12/01/12		5,805,000		5,845,644

Washington
Motor Vehicle Fuel Tax GO Bonds Series 2012C (LIQ: Wells Fargo Bank, NA)	a	0.27%			03/21/13		18,730,000		18,730,000

									89,383,244

Total Fixed-Rate Securities
(Cost $3,183,848,037)									3,183,848,037




Variable-Rate Securities 76.3% of net assets

Alabama 2.0%
Alabama
GO Bonds Series 2007A (LIQ: Wells Fargo & Co)	a	0.20%			07/06/12		12,652,000		12,652,000

18 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Alabama HFA
M/F Housing RB (Chapel Ridge Apts) Series 2005E (LOC: Freddie Mac)		0.23%			07/06/12		11,000,000		11,000,000

M/F Housing Refunding RB (Hunter Ridge Apts) Series 2005F (LOC: Freddie Mac)		0.23%			07/06/12		10,550,000		10,550,000

Alabama Municipal Funding Corp
Municipal Funding Notes Series 2006 (LOC: US Bank, NA)		0.17%			07/06/12		19,415,000		19,415,000

Municipal Funding Notes Series 2008A, 2009B&2010A (LOC: US Bank, NA)		0.17%			07/06/12		4,010,000		4,010,000

Alabama State Univ
General Tuition & Fee RB Series 2006 (GTY/LIQ: US Bank, NA)	a	0.16%			07/06/12		13,435,000		13,435,000

Decatur IDB
Exempt Facilities Refunding RB (Nucor Steel Decatur) Series 2003A		0.24%			07/06/12		15,790,000		15,790,000

Hoover
GO Sewer Warrants Series 2007 (GTY/LIQ: US Bank, NA)	a	0.16%			07/06/12		11,835,000		11,835,000

Jackson IDB
IDRB (Specialty Minerals) Series 1999 (LOC: Wells Fargo Bank, NA)		0.21%			07/06/12		8,200,000		8,200,000

Millport IDA
IDRB (Steel Dust Recycling) Series 2011 (LOC: Citibank, NA)		0.30%			07/06/12		10,000,000		10,000,000

RB (Steel Dust Recycling) Series 2007 (LOC: Comerica Bank)		0.26%			07/06/12		5,685,000		5,685,000

Mobile Cnty IDA
RB (SSAB Alabama) Series 2010B (LOC: Svenska Handelsbanken AB)		0.26%			07/06/12		40,000,000		40,000,000

Mobile IDB
Pollution Control Refunding RB (Alabama Power) Series 1993A		0.20%			07/06/12		12,100,000		12,100,000

Montgomery Cnty Public Building Auth
Revenue Warrants Series 2006 (GTY/LIQ: US Bank, NA)	a	0.16%			07/06/12		10,635,000		10,635,000

Montgomery Downtown Redevelopment Auth
RB (Southern Poverty Law Center) Series 2000		0.30%			07/06/12		15,000,000		15,000,000

Trussville
GO Warrants Series 2006A (GTY/LIQ: US Bank, NA)	a	0.17%			07/06/12		13,190,000		13,190,000

Tuscaloosa Cnty IDA
Gulf Opportunity Zone Bonds (Hunt Refining) Series 2008C (LOC: JPMorgan Chase Bank, NA)		0.25%			07/06/12		10,000,000		10,000,000

Gulf Opportunity Zone Bonds (Hunt Refining) Series 2011A (LOC: JPMorgan Chase Bank, NA)		0.25%			07/06/12		30,000,000		30,000,000

									253,497,000

Alaska 0.3%
Alaska Housing Finance Corp
Collateralized Bonds First Series 2006A2 (LIQ: Bank of America, NA)	a	0.36%			07/06/12		13,050,000		13,050,000

State Capital Bonds Series 2006A (LIQ: Wells Fargo & Co)	a	0.20%			07/06/12		10,430,000		10,430,000

Alaska Industrial Development & Export Auth
RB (Providence Health & Services) Series 2011A (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		8,680,000		8,680,000

Valdez
Marine Terminal Refunding RB (BP Pipelines) Series 2003B (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		3,200,000		3,200,000

									35,360,000

See financial notes 19

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)

Arizona 0.6%
Apache Cnty IDA
IDRB (Tucson Electric Power) Series 1983A (LOC: US Bank, NA)	d	0.17%			07/06/12		37,000,000		37,000,000

Arizona Transportation Board
Highway Sub RB Series 2011A (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		5,235,000		5,235,000

Maricopa Cnty IDA
Solid Waste Disposal RB (Michael Pylman Dairy) Series 2005 (LOC: CoBank, ACB)		0.26%			07/06/12		6,750,000		6,750,000

Pima Cnty
GO Bonds Series 2007 (LIQ: Wells Fargo & Co)	a	0.20%			07/06/12		11,090,000		11,090,000

Pima Cnty IDA
Pollution Control RB (Tucson Electric) Series 2009A (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		9,995,000		9,995,000

Salt River Project Agricultural Improvement & Power District
Electric System Refunding RB Series 2011A (LIQ: Royal Bank of Canada)	a	0.18%			07/06/12		4,900,000		4,900,000

									74,970,000

California 3.1%
ABAG Finance Auth
RB (Marin Country Day School) Series 2007 (LOC: US Bank, NA)	d	0.16%			07/06/12		10,000,000		10,000,000

Alameda Cnty IDA
RB (Aitchison Family) Series 1993A (LOC: Wells Fargo Bank, NA)		0.21%			07/06/12		1,280,000		1,280,000

RB (Golden West Paper Converting Corp) Series 2008A (LOC: Comerica Bank)		0.25%			07/06/12		3,315,000		3,315,000

RB (Heat & Control) Series 1995A (LOC: Comerica Bank)		0.17%			07/06/12		3,800,000		3,800,000

California
GO Refunding Bonds (GTY/LIQ: Wells Fargo & Co)	a	0.28%			07/06/12		13,450,000		13,450,000

California HFA
Home Mortgage RB Series 2008F (LOC: Fannie Mae; Freddie Mac)		0.16%			07/06/12		2,800,000		2,800,000

California Infrastructure & Economic Development Bank
IDRB (Murrietta Circuits) Series 2000A (LOC: Comerica Bank)		0.21%			07/06/12		2,795,000		2,795,000

RB (Cal ISO Corp) Series 2009A (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		10,090,000		10,090,000

California Pollution Control Financing Auth
Pollution Control RB (Evergreen Oil) Series 2006A (LOC: Bank of the West)		0.52%			07/06/12		4,830,000		4,830,000

Pollution Control Refunding RB (PG&E) Series 1996C (LOC: JPMorgan Chase Bank, NA)		0.17%			07/02/12		15,700,000		15,700,000

Pollution Control Refunding RB (PG&E) Series 1997B (LOC: JPMorgan Chase Bank, NA)		0.23%			07/02/12		6,500,000		6,500,000

RB (Hilmar Cheese) Series 2010 (LOC: CoBank, ACB)		0.20%			07/06/12		4,410,000		4,410,000

Solid Waste Disposal RB (Athens Services) Series 2010 (LOC: Wells Fargo Bank, NA)		0.18%			07/06/12		7,000,000		7,000,000

Solid Waste Disposal RB (Blue Line Transfer) Series 1999A (LOC: Union Bank, NA)		0.25%			07/06/12		4,300,000		4,300,000

Solid Waste Disposal RB (Blue Line Transfer) Series 2001A (LOC: Union Bank, NA)		0.25%			07/06/12		1,595,000		1,595,000

Solid Waste Disposal RB (EDCO Disposal) Series 1996A (LOC: Wells Fargo Bank, NA)		0.22%			07/06/12		4,650,000		4,650,000

Solid Waste Disposal RB (EDCO Disposal) Series 2004A (LOC: Wells Fargo Bank, NA)		0.22%			07/06/12		4,400,000		4,400,000

Solid Waste Disposal RB (Garaventa Enterprises) Series 2008A (LOC: Bank of America, NA)		0.31%			07/06/12		3,000,000		3,000,000

20 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


							Face
Issuer			Effective		Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity		Date		($)		($)
Solid Waste Disposal RB (GreenWaste of Palo Alto) Series 2008B (LOC: Comerica Bank)		0.25%				07/06/12		7,025,000		7,025,000

Solid Waste Disposal RB (GreenWaste Recovery) Series 2006A (LOC: Comerica Bank)		0.25%				07/06/12		1,640,000		1,640,000

Solid Waste Disposal RB (GreenWaste Recovery) Series 2007A (LOC: Comerica Bank)		0.25%				07/06/12		11,615,000		11,615,000

Solid Waste Disposal RB (GreenWaste Recovery) Series 2008A (LOC: Comerica Bank)		0.25%				07/06/12		10,135,000		10,135,000

Solid Waste Disposal RB (MarBorg Industries) Series 2000A (LOC: Union Bank, NA)		0.25%				07/06/12		1,800,000		1,800,000

Solid Waste Disposal RB (MarBorg Industries) Series 2002 (LOC: Union Bank, NA)		0.25%				07/06/12		2,375,000		2,375,000

Solid Waste Disposal RB (Napa Recycling & Waste Services) Series 2005A (LOC: Union Bank, NA)		0.25%				07/06/12		2,040,000		2,040,000

Solid Waste Disposal RB (Ratto Group of Companies) Series 2007A (LOC: Comerica Bank)		0.25%				07/06/12		9,790,000		9,790,000

Solid Waste Disposal RB (Santa Clara Valley Industries) Series 1998A (LOC: Comerica Bank)		0.25%				07/06/12		275,000		275,000

Chula Vista
IDRB (SDG&E) Series 2004F		0.18%				07/06/12		40,000,000		40,000,000

Coast Community College District
GO Bonds Series 2006B (LIQ: Deutsche Bank AG)	a	0.23%				07/06/12		6,105,000		6,105,000

GO Bonds Series 2006B (LIQ: Wells Fargo & Co)	a	0.18%				07/06/12		2,000,000		2,000,000

Contra Costa Cnty
M/F Housing RB (Creekview Apts) Series 2003B (LOC: Freddie Mac)		0.17%				07/06/12		6,000,000		6,000,000

M/F Mortgage RB (El Cerrito Royale) Series 1987A (LOC: Bank of America, NA)		0.40%				07/06/12		3,600,000		3,600,000

Delano
COP (Delano Regional Medical Center) (LOC: Comerica Bank)		0.29%				07/06/12		11,765,000		11,765,000

East Bay Municipal Utility District
Water System Refunding RB Series 2009A2	d	0.19%		07/05/12		03/01/13		41,290,000		41,290,000

Huntington Park Redevelopment Agency
M/F Housing RB (Casa Rita Apts) Series 1994A (LOC: Wells Fargo Bank, NA)		0.22%				07/06/12		4,600,000		4,600,000

Los Angeles Municipal Improvement Corp
Lease RB Series 2006A (GTY/LIQ: Wells Fargo & Co)	a	0.20%				07/06/12		19,480,000		19,480,000

Los Angeles USD
GO Refunding Bonds Series 2007A2 (LIQ: Wells Fargo & Co)	a	0.17%				07/06/12		8,425,000		8,425,000

Morgan Hill Redevelopment Agency
Tax Allocation Bonds (Ojo De Agua) Series 2008A (LOC: Bank of Nova Scotia)		0.15%				07/06/12		14,585,000		14,585,000

Mt. Diablo USD
GO Bonds Series 2012E (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%				07/06/12		10,000,000		10,000,000

Palomar Pomerado Health
GO Bonds Series 2009A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%				07/06/12		10,320,000		10,320,000

Riverside Cnty Transportation Commission
Limited Sales Tax RB Series 2009B (LIQ: JPMorgan Chase Bank, NA)		0.18%				07/06/12		15,300,000		15,300,000

San Diego Cnty Regional Transportation Commission
Limited Sales Tax RB Series 2012A (LIQ: Wells Fargo Bank, NA)	a	0.19%				07/06/12		6,000,000		6,000,000

San Francisco Airport Commission
Second Series Refunding RB Series 2010A1 (LOC: JPMorgan Chase Bank, NA)		0.17%				07/06/12		7,000,000		7,000,000

See financial notes 21

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Univ of California
Medical Center Pooled RB Series 2007B2 (LIQ: Wells Fargo Bank, NA)		0.14%			07/02/12		26,305,000		26,305,000

Medical Center Pooled RB Series 2007C2 (LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		7,000,000		7,000,000

									390,385,000

Colorado 1.8%
Arapahoe Cnty
Refunding IDRB (Denver Jetcenter) Series 1997 (LOC: US Bank, NA)		0.42%			07/06/12		3,500,000		3,500,000

Colorado Educational & Cultural Facilities Auth
Refunding RB (Nature Conservancy) Series 2012		0.18%			07/06/12		9,400,000		9,400,000

Colorado Housing & Finance Auth
S/F Mortgage Class I Bonds Series 2002A2 (LOC: Federal Home Loan Bank)		0.21%			07/06/12		3,905,000		3,905,000

S/F Mortgage Class I Bonds Series 2003C2 (LIQ: Royal Bank of Canada)		0.19%			07/06/12		16,290,000		16,290,000

S/F Mortgage Class I Bonds Series 2004A2 (LIQ: Royal Bank of Canada)		0.19%			07/06/12		20,100,000		20,100,000

S/F Mortgage Class I Bonds Series 2004B2 (LIQ: Royal Bank of Canada)		0.19%			07/06/12		32,290,000		32,290,000

S/F Mortgage Class I Bonds Series 2005A2 (LIQ: Royal Bank of Canada)		0.19%			07/06/12		9,000,000		9,000,000

S/F Mortgage Class I Bonds Series 2006A3 (LIQ: Federal Home Loan Bank)		0.19%			07/06/12		25,000,000		25,000,000

S/F Mortgage Class I Bonds Series 2006C2 (LIQ: Federal Home Loan Bank)		0.17%			07/06/12		5,000,000		5,000,000

S/F Mortgage Class I Bonds Series 2007A2 (LIQ: Federal Home Loan Bank)		0.20%			07/06/12		12,000,000		12,000,000

S/F Mortgage Class II Bonds Series 2007B3 (LIQ: Royal Bank of Canada)		0.21%			07/06/12		10,000,000		10,000,000

Colorado Regional Transportation District
Sales Tax Refunding RB Series 2005A (LIQ: Barclays Bank Plc)	a	0.20%			07/06/12		2,850,000		2,850,000

Sales Tax Refunding RB Series 2007A (LIQ: Citibank, NA)	a	0.18%			07/06/12		21,530,000		21,530,000

Colorado Springs
Hospital (Memorial Health) Refunding RB Series 2009 (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		6,830,000		6,830,000

Commerce City Northern Infrastructure General Improvement District
GO Bonds Series 2006 (LOC: US Bank, NA)		0.19%			07/06/12		9,825,000		9,825,000

Cornerstone Metropolitan District No. 2
Sub Limited Tax GO Refunding Bonds Series 2010B (LOC: Bank of America, NA)		0.27%			07/06/12		2,645,000		2,645,000

Denver
Airport System RB Bonds Series 2008C2&C3 (GTY/LIQ: Royal Bank of Canada)	a	0.21%			07/06/12		20,000,000		20,000,000

Lafayette
M/F Housing RB (The Traditions At Lafayette) Series 2011A (LOC: Wells Fargo Bank, NA)		0.21%			07/06/12		600,000		600,000

Univ of Colorado
Univ Enterprise Refunding RB Series 2005A (LIQ: US Bank, NA)	a	0.16%			07/06/12		14,965,000		14,965,000

									225,730,000

22 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)

District of Columbia 1.9%
District of Columbia
GO Bonds Series 2008E (GTY: Berkshire Hathaway Assurance Corp /LIQ: Bank of America, NA)	a	0.30%			07/06/12		6,030,000		6,030,000

RB (American Psychological Assoc) Series 2003 (LOC: Bank of America, NA)		0.40%			07/06/12		2,315,000		2,315,000

RB (KIPP DC) Series 2008 (LOC: Manufacturers & Traders Trust Co)		0.19%			07/06/12		7,550,000		7,550,000

Metropolitan Washington Airports Auth
Airport System RB Series 2003D1 (LOC: Wells Fargo Bank, NA)		0.23%			07/06/12		27,655,000		27,655,000

Airport System RB Series 2004B (LIQ: JPMorgan Chase Bank, NA)	a	0.28%			07/06/12		8,060,000		8,060,000

Airport System RB Series 2005A (LIQ: Citibank, NA)	a	0.23%			07/06/12		9,800,000		9,800,000

Airport System RB Series 2005A (LIQ: Citibank, NA)	a	0.25%			07/06/12		4,500,000		4,500,000

Airport System RB Series 2005A (LIQ: Wells Fargo Bank, NA)	a	0.24%			07/06/12		12,415,000		12,415,000

Airport System RB Series 2006B (LIQ: Branch Banking & Trust Co)	a	0.20%			07/06/12		9,925,000		9,925,000

Airport System RB Series 2006B (LIQ: Citibank, NA)	a	0.24%			07/06/12		15,000,000		15,000,000

Airport System RB Series 2006B (LIQ: JPMorgan Chase Bank, NA)	a	0.24%			07/06/12		12,790,000		12,790,000

Airport System RB Series 2006B (LIQ: JPMorgan Chase Bank, NA)	a	0.28%			07/06/12		16,590,000		16,590,000

Airport System RB Series 2007B (LIQ: Branch Banking & Trust Co)	a	0.20%			07/06/12		10,130,000		10,130,000

Airport System RB Series 2007B (LIQ: Deutsche Bank AG)	a	0.26%			07/06/12		23,960,000		23,960,000

Airport System RB Series 2007B (LIQ: JPMorgan Chase Bank, NA)	a	0.26%			07/06/12		5,000,000		5,000,000

Airport System RB Series 2008A (LIQ: Deutsche Bank AG)	a	0.26%			07/06/12		44,630,000		44,630,000

Airport System Refunding RB Series 2003A (LIQ: Deutsche Bank AG)	a	0.26%			07/06/12		9,280,000		9,280,000

Washington Convention Center Auth
Sr Lien Dedicated Tax Refunding RB Series 2007A (GTY/LIQ: US Bank, NA)	a	0.17%			07/06/12		19,945,000		19,945,000

									245,575,000

Florida 5.0%
Brevard Cnty HFA
M/F Housing Refunding RB (Shore View Apts) Series 1995 (LOC: BMO Harris Bank NA)		0.19%			07/06/12		1,900,000		1,900,000

Broward Cnty
Sub Port Facilities Refunding RB (Port Everglades) Series 2008 (LOC: Bank of Nova Scotia)		0.16%			07/06/12		2,795,000		2,795,000

Broward Cnty Educational Facilities Auth
RB (Nova Southeastern Univ) Series 2000A (LOC: Bank of America, NA)		0.33%			07/06/12		5,130,000		5,130,000

Broward Cnty HFA
M/F Housing RB (Sawgrass Pines Apts) Series 1993A (LOC: General Electric Capital Corp)		0.21%			07/06/12		12,000,000		12,000,000

Collier Cnty HFA
M/F Housing RB (Brittany Bay Apts) Series 2001A (LOC: Fannie Mae)		0.22%			07/06/12		3,800,000		3,800,000

Florida Dept of Transportation
Right-of-Way Acquisition & Bridge Construction Refunding Bonds Series 2012A (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		7,200,000		7,200,000

See financial notes 23

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Florida Housing Finance Corp
Housing RB (Caribbean Key Apts) Series 1996F (LOC: Fannie Mae)		0.21%			07/06/12		275,000		275,000

Housing RB (Heritage Pointe Apts) Series 1999I-1 (LOC: Fannie Mae)		0.21%			07/06/12		10,830,000		10,830,000

Housing RB (Tiffany Club Apts) Series 1996P (LOC: Freddie Mac)		0.21%			07/06/12		6,150,000		6,150,000

Housing RB (Timberline Apts) Series 1999P (LOC: Fannie Mae)		0.20%			07/06/12		6,535,000		6,535,000

M/F Mortgage RB (Clear Harbor Apts) Series 2007H (LOC: Citibank, NA)		0.20%			07/06/12		3,295,000		3,295,000

M/F Mortgage RB (Lakeshore Apts) Series 2004H (LOC: Fannie Mae)		0.20%			07/06/12		7,800,000		7,800,000

M/F Mortgage RB (Lynn Lake Apts) Series 2005B1 (LOC: Freddie Mac)		0.20%			07/06/12		20,315,000		20,315,000

M/F Mortgage RB (Spring Haven Apts) Series 2004F (LOC: Fannie Mae)		0.20%			07/06/12		6,200,000		6,200,000

M/F Mortgage RB (Spring Haven Apts) Series 2006G (LOC: Citibank, NA)		0.20%			07/06/12		3,860,000		3,860,000

M/F Mortgage RB (Wellesley Apts) Series 2003O (LOC: Citibank, NA)		0.24%			07/06/12		12,185,000		12,185,000

Florida Ports Financing Commission
Refunding RB Series 2011B (LIQ: Wells Fargo Bank, NA)	a	0.24%			07/06/12		6,535,000		6,535,000

Florida State Board of Education
Public Education Capital Outlay Bonds Series 2003B (LIQ: Citibank, NA)	a	0.21%			07/06/12		8,000,000		8,000,000

Public Education Capital Outlay Bonds Series 2006B (LIQ: US Bank, NA)	a	0.16%			07/06/12		43,760,000		43,760,000

Public Education Capital Outlay Bonds Series 2007B&C (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		5,680,000		5,680,000

Fort Pierce Redevelopment Agency
Redevelopment RB Series 2006 (GTY/LIQ: US Bank, NA)	a	0.20%			07/06/12		3,875,000		3,875,000

Greater Orlando Aviation Auth
Airport Facilities Refunding RB Series 2007A (LIQ: Deutsche Bank AG)	a	0.26%			07/06/12		5,635,000		5,635,000

Highlands Cnty Health Facilities Auth
Hospital RB (Adventist Health/Sunbelt) Series 2006C&G (LIQ: Citibank, NA)	a	0.20%			07/06/12		2,500,000		2,500,000

Hillsborough Cnty
Solid Waste & Resource Recovery RB Series 2006A (GTY/LIQ: Wells Fargo & Co)	a	0.21%			07/06/12		9,565,000		9,565,000

Hillsborough Cnty HFA
M/F Housing RB (Lake Kathy Apts) Series 2005 (LOC: Fannie Mae)		0.20%			07/06/12		20,670,000		20,670,000

M/F Housing RB (Meridian Pointe Apts) Series 2005 (LOC: Citibank, NA)		0.36%			07/06/12		6,485,000		6,485,000

Hillsborough Cnty IDA
RB (Independent Day School) Series 2000 (LOC: Bank of America, NA)		0.55%			07/06/12		600,000		600,000

RB (Tampa Metropolitan Area YMCA) Series 2000 (LOC: Bank of America, NA)		0.33%			07/06/12		3,000,000		3,000,000

Hillsborough Cnty School Board
Sales Tax Refunding RB Series 2007 (GTY/LIQ: Wells Fargo & Co)	a	0.22%			07/06/12		11,095,000		11,095,000

Jacksonville
Sales Tax Refunding RB Series 2012 (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		10,730,000		10,730,000

24 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Transportation Refunding RB Series 2012A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		5,375,000		5,375,000

Jacksonville Economic Development Commission
Educational Facilities RB (Episcopal HS) Series 2002 (LOC: Bank of America, NA)		0.39%			07/06/12		2,650,000		2,650,000

Miami-Dade Cnty
Water & Sewer System RB Series 2010 (LIQ: Citibank, NA)	a	0.21%			07/06/12		8,185,000		8,185,000

Water & Sewer System RB Series 2010 (LIQ: Deutsche Bank AG)	a	0.25%			07/06/12		17,990,000		17,990,000

Water & Sewer System RB Series 2010 (LIQ: JPMorgan Chase Bank, NA)	a	0.28%			07/06/12		2,735,000		2,735,000

Miami-Dade Cnty Expressway Auth
Toll System RB Series 2006 (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.19%			07/06/12		35,000,000		35,000,000

Miami-Dade Cnty IDA
Airport Facility RB (FlightSafety) Series 1999A		0.21%			07/06/12		20,210,000		20,210,000

Airport Facility RB (FlightSafety) Series 1999B		0.21%			07/06/12		20,230,000		20,230,000

IDRB (Tarmac America) Series 2004 (LOC: Bank of America, NA)		0.32%			07/06/12		2,600,000		2,600,000

RB (Gulliver Schools) Series 2000 (LOC: Bank of America, NA)		0.37%			07/06/12		16,800,000		16,800,000

Ocean Highway & Port Auth
RB Series 1990 (LOC: Wells Fargo Bank, NA)		0.23%			07/06/12		8,700,000		8,700,000

Okeechobee Cnty
IDRB (Okeechobee Landfill) Series 1999 (LOC: Wells Fargo Bank, NA)		0.23%			07/06/12		15,000,000		15,000,000

Orange Cnty HFA
M/F Housing RB (Charleston Club Apts) Series 2001A (LOC: Fannie Mae)		0.22%			07/06/12		12,230,000		12,230,000

M/F Housing RB (Laurel Oaks Apts II) Series 2007H (LOC: Federal Home Loan Bank)		0.21%			07/06/12		7,670,000		7,670,000

M/F Housing RB (Laurel Oaks Apts) Series 2007G (LOC: Federal Home Loan Bank)		0.21%			07/06/12		8,310,000		8,310,000

M/F Housing RB (Lee Vista Club Apts) Series 2004A (LOC: Fannie Mae)		0.20%			07/06/12		14,500,000		14,500,000

M/F Housing RB (Mystic Cove Apts) Series 2002E (LOC: Fannie Mae)		0.20%			07/06/12		8,640,000		8,640,000

M/F Housing RB (The Cove At Lady Lake Apts) Series 2005A (LOC: Fannie Mae)		0.20%			07/06/12		9,200,000		9,200,000

Orange Cnty IDA
RB (Foundation Academy of Winter Garden) Series 2007 (LOC: Federal Home Loan Bank)		0.25%			07/06/12		9,075,000		9,075,000

Orlando Utilities Commission
Utility System Refunding RB Series 2011A	b	0.29%			01/25/13		10,000,000		10,000,000

Orlando-Orange Cnty Expressway Auth
RB Series 2007A (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.19%			07/06/12		5,000,000		5,000,000

RB Series 2007A (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.23%			07/06/12		20,000,000		20,000,000

Palm Beach Cnty
RB (Norton Gallery & School of Art) Series 1995 (LOC: Northern Trust Co)		0.25%			07/06/12		2,500,000		2,500,000

Palm Beach Cnty HFA
M/F Housing Refunding RB (Spinnaker Landing Apts) Series 1998 (LOC: Fannie Mae)		0.21%			07/06/12		2,045,000		2,045,000

Palm Beach Cnty Solid Waste Auth
RB Series 2009A (GTY: Berkshire Hathaway Assurance Corp /LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		4,545,000		4,545,000

See financial notes 25

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Refunding RB Series 2011 (LIQ: Citibank, NA)	a	0.18%			07/06/12		4,000,000		4,000,000

Pinellas Cnty Educational Facility Auth
Refunding & RB (Barry Univ) Series 2007 (LOC: Bank of America, NA)		0.30%			07/06/12		8,655,000		8,655,000

Refunding RB (Shorecrest Preparatory School) Series 2007 (LOC: Northern Trust Co)		0.19%			07/06/12		8,750,000		8,750,000

Pinellas Cnty HFA
M/F Housing RB (Bayside Court) Series 2011 (LOC: JPMorgan Chase Bank, NA)		0.20%			07/06/12		10,250,000		10,250,000

Pinellas Cnty Industry Council
RB (Operation Par) Series 1999 (LOC: Wells Fargo Bank, NA)		0.33%			07/06/12		1,205,000		1,205,000

Polk Cnty
Utility System RB Series 2004A (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.19%			07/06/12		5,000,000		5,000,000

South Florida Water Management District
COP Series 2006 (LIQ: JPMorgan Chase Bank, NA)	a	0.20%			07/06/12		9,760,000		9,760,000

South Miami Health Facilities Auth
Hospital RB (Baptist Health South Florida) Series 2007 (LIQ: Citibank, NA)	a	0.21%			07/06/12		16,500,000		16,500,000

Hospital RB (Baptist Health South Florida) Series 2007 (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		20,000,000		20,000,000

St. Johns Cnty
Water & Sewer Refunding RB Series 2006 (GTY/LIQ: US Bank, NA)	a	0.16%			07/06/12		10,785,000		10,785,000

Tampa
Health System RB (BayCare Health System) Series 2012A (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		10,000,000		10,000,000

Health System RB (BayCare Health System) Series 2012B		0.28%			01/25/13		19,000,000		19,000,000

									641,495,000

Georgia 2.1%
Atlanta Housing Auth
M/F Housing RB (Villages of East Lake Phase II) Series 1999 (LOC: Bank of America, NA)		0.60%			07/06/12		8,740,000		8,740,000

Atlanta Urban Residential Finance Auth
M/F Housing RB (Alta Coventry Station Apts) Series 2007 (LOC: Bank of America, NA)		0.55%			07/06/12		26,885,000		26,885,000

M/F Housing RB (Capitol Gateway Apts) Series 2005 (LOC: Fannie Mae)		0.20%			07/06/12		2,825,000		2,825,000

M/F Housing RB (M St Apts) Series 2003 (LOC: Freddie Mac)	d	0.20%			07/06/12		21,000,000		21,000,000

M/F Housing RB (New Community at East Lake) Series 1996 (LOC: Bank of America, NA)		0.60%			07/06/12		5,600,000		5,600,000

Barstow Cnty Development Auth
Pollution Control RB (Georgia Power Plant Bowen) First Series 2009		0.25%			07/06/12		5,000,000		5,000,000

Clayton Cnty Housing Auth
M/F Housing RB (Hyde Park Club Apts) Series 1997 (LOC: Fannie Mae)		0.20%			07/06/12		10,595,000		10,595,000

Cobb Cnty Kennestone Hospital Auth
Revenue Anticipation Certificates Series 2011 (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		12,205,000		12,205,000

Columbia Cnty Development Auth
M/F Housing RB (Westwood Club Apts) Series 2002 (LOC: Fannie Mae)		0.22%			07/06/12		3,615,000		3,615,000

26 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Dalton Development Auth
Revenue Certificates (Hamilton Health Care) Series 2003B (LOC: Bank of America, NA)		0.29%			07/06/12		30,000,000		30,000,000

DeKalb Cnty Housing Auth
M/F Housing RB (Brittany Apts) Series 2001 (LOC: General Electric Capital Corp)		0.33%			07/06/12		7,200,000		7,200,000

East Point Housing Auth
M/F Housing RB (Eagles Creste Apts) Series 2003 (LOC: Freddie Mac)		0.23%			07/06/12		12,525,000		12,525,000

Fulton Cnty Housing Auth
M/F Housing RB (Walton Lakes Apts) Series 2008A (LOC: Federal Home Loan Bank)		0.21%			07/06/12		22,400,000		22,400,000

Georgia
GO Refunding Bonds Series 2005B (LIQ: Barclays Bank Plc)	a	0.20%			07/06/12		7,925,000		7,925,000

Kennesaw Development Auth
M/F Housing RB (Walton Ridenour Apts) Series 2004 (LOC: Federal Home Loan Bank)		0.21%			07/06/12		7,500,000		7,500,000

Lawrenceville Housing Auth
M/F Housing RB (Chatham Club Apts) Series 2002 (LOC: Fannie Mae)		0.20%			07/06/12		7,100,000		7,100,000

Marietta Housing Auth
M/F Housing RB (Walton Village Apts) Series 2005 (LOC: Freddie Mac)		0.23%			07/06/12		14,300,000		14,300,000

McDonough Housing Auth
M/F Housing RB (Ashley Woods Apts) Series 2008 (LOC: Freddie Mac)		0.20%			07/06/12		6,300,000		6,300,000

Metropolitan Atlanta Rapid Transit Auth
Sales Tax Refunding RB (Third Indenture) Series 2012A (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		15,000,000		15,000,000

Paulding Cnty Hospital Auth
Revenue Anticipation Certificates (Wellstar Health System) Series 2012B (LOC: Northern Trust Co)		0.16%			07/06/12		13,750,000		13,750,000

Summerville Development Auth
RB (Image Industries) Series 1997 (LOC: Wells Fargo Bank, NA)	a	0.28%			07/06/12		11,000,000		11,000,000

Webster Cnty IDA
IDRB (Tolleson Lumber) Series 1999 (LOC: Wells Fargo Bank, NA)		0.28%			07/06/12		2,400,000		2,400,000

Winder-Barrow Cnty Jt Development Auth
IDRB (Price Companies) Series 2007 (LOC: Bank of America, NA)		0.60%			07/06/12		7,780,000		7,780,000

Worth Cnty IDA
Refunding IDRB (Seabrook Peanut) Series 1996B (LOC: Federal Home Loan Bank)		0.21%			07/06/12		3,300,000		3,300,000

									264,945,000

Hawaii 0.3%
Hawaii
RB (Hawaiian Electric) Series 2009 (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		3,795,000		3,795,000

Honolulu
GO Bonds Series 2005AC&D (LIQ: Citibank, NA)	a	0.20%			07/06/12		8,400,000		8,400,000

Wastewater System RB Sr Series 2011A (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		5,690,000		5,690,000

Wastewater System Sr RB Series 2005A (LIQ: Citibank, NA)	a	0.20%			07/02/12		1,100,000		1,100,000

Univ of Hawaii
Univ RB Series 2006A (GTY/LIQ: Wells Fargo & Co)	a	0.20%			07/06/12		14,500,000		14,500,000

									33,485,000

See financial notes 27

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)

Idaho 0.2%
Lemhi Cnty Industrial Development Corp
Recovery Zone Facility RB (Formation Capital Corp) Series 2010 (LOC: Bank of Montreal)		0.23%			07/06/12		32,000,000		32,000,000

Illinois 4.5%
Aurora
Collateralized S/F Mortgage RB Series 2007D1 (LIQ: Deutsche Bank AG)	a	0.26%			07/06/12		10,060,000		10,060,000

Carol Stream
M/F Housing Refunding RB (St. Charles Square) Series 1997 (LOC: Fannie Mae)		0.20%			07/06/12		4,415,000		4,415,000

Chicago
General Airport (O’Hare) Third Lien RB Series 2005D (LOC: Barclays Bank Plc)		0.17%			07/06/12		44,500,000		44,500,000

GO Bonds (City Colleges of Chicago) Series 1999 (LIQ: Deutsche Bank AG)	a,c	0.25%			07/06/12		8,265,000		8,265,000

GO Bonds Project & Refunding Series 2005B (LIQ: Bank of America, NA)	a	0.26%			07/06/12		14,975,000		14,975,000

GO Project & Refunding Bonds Series 2006A (LIQ: JPMorgan Chase Bank, NA)	a	0.28%			07/06/12		3,635,000		3,635,000

GO Project & Refunding Bonds Series 2007A (LIQ: Barclays Bank Plc)	a	0.21%			07/06/12		7,990,000		7,990,000

GO Refunding Bonds Series 2008A (LIQ: Citibank, NA)	a	0.20%			07/06/12		21,780,000		21,780,000

M/F RB (Lincoln Village Sr Apts) Series 2006 (LOC: BMO Harris Bank NA)		0.21%			07/06/12		5,077,000		5,077,000

Second Lien RB (Midway Airport) Series 2004C2 (LOC: Wells Fargo Bank, NA)		0.20%			07/06/12		2,400,000		2,400,000

Second Lien Water Refunding RB Series 2012 (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		5,000,000		5,000,000

Wastewater Transmission Refunding Second Lien RB Series 2006A&B (GTY/LIQ: US Bank, NA)	a	0.16%			07/06/12		22,430,000		22,430,000

Chicago Board of Education
Unlimited Tax GO Refunding Bonds Series 2008C (LIQ: Citibank, NA)	a	0.19%			07/06/12		16,480,000		16,480,000

Chicago Transit Auth
Sales Tax Receipts RB Series 2011 (LIQ: Barclays Bank Plc)	a	0.20%			07/06/12		8,980,000		8,980,000

Cook Cnty
RB (Catholic Theological Union) Series 2005 (LOC: BMO Harris Bank NA)		0.21%			07/06/12		2,480,000		2,480,000

East Dundee
IDRB (Otto Engineering) Series 1998 (LOC: Bank of America, NA)		0.61%			07/06/12		885,000		885,000

Galesburg
RB (Knox College) Series 1996 (LOC: Bank of America, NA)		0.29%			07/06/12		15,400,000		15,400,000

Illinois Finance Auth
IDRB (Bison Gear & Engineering) Series 2010 (LOC: BMO Harris Bank NA)		0.19%			07/06/12		7,690,000		7,690,000

M/F Housing RB (Autumn Ridge Apts) Series 2005A (LOC: Freddie Mac)		0.18%			07/06/12		6,155,000		6,155,000

M/F Housing RB (New Vistas II Apts) Series 2004 (LOC: Fannie Mae)		0.20%			07/06/12		8,500,000		8,500,000

Pollution Control RB (A.E. Staley Manufacturing) Series 1985 (LOC: Rabobank Nederland)		0.24%			07/06/12		7,500,000		7,500,000

Qualified Residential Rental Bonds (River Oaks) Series 1989 (LOC: Freddie Mac)		0.22%			07/06/12		32,000,000		32,000,000

28 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
RB (Catholic Charities Housing) Series 1993A (LOC: Northern Trust Co)		0.19%			07/06/12		9,160,000		9,160,000

RB (Catholic Charities Housing) Series 1993B (LOC: Northern Trust Co)		0.19%			07/06/12		910,000		910,000

RB (Chicago Academy of Sciences) Series 1998 (LOC: JPMorgan Chase Bank, NA)		0.19%			07/06/12		5,480,000		5,480,000

RB (Elmhurst Memorial Healthcare) Series 2008B (LOC: JPMorgan Chase Bank, NA)		0.17%			07/02/12		3,600,000		3,600,000

RB (F.C. Harris Pavilion) Series 1994 (LOC: Freddie Mac)		0.22%			07/06/12		22,310,000		22,310,000

RB (Korex) Series 1990 (LOC: Northern Trust Co)		0.49%			07/06/12		4,000,000		4,000,000

RB (Lake Forest Academy) Series 1994 (LOC: Northern Trust Co)		0.19%			07/06/12		4,000,000		4,000,000

RB (Lake Forest College) Series 2008 (LOC: Northern Trust Co)		0.19%			07/06/12		2,500,000		2,500,000

RB (Northwestern Memorial Hospital) Series 2009A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		6,000,000		6,000,000

RB (Regency Park at Lincolnwood) Series 1991B (ESCROW/LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		17,370,000		17,370,000

RB (Richard H. Driehaus Museum) Series 2005 (LOC: Northern Trust Co)		0.19%			07/06/12		3,800,000		3,800,000

RB (Riverside Health System) Series 2004 (LOC: JPMorgan Chase Bank, NA)		0.18%			07/06/12		17,975,000		17,975,000

RB (Riverside Health) Series 2006 (LOC: JPMorgan Chase Bank, NA)		0.18%			07/06/12		15,025,000		15,025,000

Refunding RB (North Shore Univ Health System) Series 2010 (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		3,000,000		3,000,000

Refunding RB (Univ of Chicago Medical Center) Series 2012A (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		8,530,000		8,530,000

Illinois Housing Development Auth
Homeowner Mortgage RB Series 2006A2 (LIQ: Barclays Bank Plc)	a	0.22%			07/06/12		17,345,000		17,345,000

M/F Housing RB (Spring Creek Towers) Series 2004 (LOC: Bank of America, NA)		0.37%			07/06/12		5,535,000		5,535,000

Illinois Regional Transportation Auth
GO Bonds Series 2002A (GTY/LIQ: Wells Fargo & Co)	a	0.18%			07/06/12		9,300,000		9,300,000

GO Bonds Series 2005A (LIQ: Rabobank Nederland)	a	0.18%			07/06/12		28,455,000		28,455,000

GO Bonds Series 2006A (LIQ: Barclays Bank Plc)	a	0.20%			07/06/12		12,570,000		12,570,000

Metropolitan Water Reclamation District of Greater Chicago
Unlimited Tax GO Refunding Bonds Series May 2006 (LIQ: Bank of America, NA)	a	0.26%			07/06/12		15,485,000		15,485,000

Palatine
Special Facility RB (Little City for Community Development) Series 1998 (LOC: Federal Home Loan Bank)		0.20%			07/06/12		5,000,000		5,000,000

Southwestern Illinois Development Auth
Refunding IDRB (Holten Meat) Series 2004 (LOC: US Bank, NA)		0.21%			07/06/12		6,860,000		6,860,000

St. Clair Cnty
Industrial Building Refunding RB (Winchester Apts) Series 1994 (LOC: Fannie Mae)		0.18%			07/06/12		15,550,000		15,550,000

Univ of Illinois
Auxiliary Facilities System RB Series 2005A (LIQ: Bank of America, NA)	a	0.26%			07/06/12		11,265,000		11,265,000

Auxiliary Facilities System RB Series 2006 (LIQ: Citibank, NA)	a	0.22%			07/06/12		33,260,000		33,260,000

Upper Illinois River Valley Development Auth
M/F Housing RB (Morris Supportive Living) Series 2007 (LOC: Federal Home Loan Bank)		0.33%			07/06/12		4,000,000		4,000,000

See financial notes 29

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Will Cnty Community High School District No. 210
GO School Bonds (Lincoln-Way) Series 2006 (LIQ: Deutsche Bank AG)	a,c	0.25%			07/06/12		7,960,000		7,960,000

Will Cnty SD No. 365-U
GO Bonds (Valley View) Series 2005 (GTY/LIQ: Wells Fargo & Co)	a	0.18%			07/06/12		16,675,000		16,675,000

									569,517,000

Indiana 1.0%
Columbia City
RB (Precision Plastics) Series 1997 (LOC: Northern Trust Co)		0.49%			07/06/12		1,100,000		1,100,000

Indiana Finance Auth
Environmental Facilities RB (Indianapolis Power & Light) Series 2011B (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		7,500,000		7,500,000

IDRB (Big Sky Park) Series 1999 (LOC: Bank of America, NA)		0.97%			07/06/12		2,700,000		2,700,000

Midwestern Disaster Relief RB (Ohio Valley Electric Corp) Series 2012B (LOC: Sumitomo Mitsui Banking Corp)		0.16%			07/06/12		10,000,000		10,000,000

Refunding RB (Duke Energy Indiana) Series 2009A3 (LOC: Mizuho Corporate Bank Ltd)		0.20%			07/06/12		5,425,000		5,425,000

Indiana Housing & Community Development Agency
S/F Mortgage RB Series 2006A2 (LIQ: JPMorgan Chase Bank, NA)		0.19%			07/06/12		29,170,000		29,170,000

S/F Mortgage RB Series 2006D1 (LIQ: Bank of America, NA)	a	0.33%			07/06/12		3,010,000		3,010,000

S/F Mortgage RB Series 2007A (LIQ: JPMorgan Chase Bank, NA)	a	0.29%			07/06/12		3,720,000		3,720,000

Indiana Municipal Power Agency
Power Supply System RB Series 2006A (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.20%			07/06/12		9,675,000		9,675,000

Indianapolis
M/F Housing RB (Nora Commons) Series 2004A (LOC: Bank of America, NA)		0.32%			07/06/12		11,895,000		11,895,000

Lafayette
Solid Waste Disposal RB (Tate & Lyle Ingredients) Series 2006 (LOC: Rabobank Nederland)		0.31%			07/06/12		24,200,000		24,200,000

Rockport
Pollution Control Refunding RB (American Electric Power) Series 1995A (LOC: Bank of Tokyo Mitsubishi UFJ, Ltd)		0.17%			07/06/12		8,500,000		8,500,000

Pollution Control Refunding RB (American Electric Power) Series 1995B (LOC: Bank of Tokyo Mitsubishi UFJ, Ltd)		0.17%			07/06/12		8,500,000		8,500,000

St. Joseph Cnty
RB (Western Manor Apts) Series 1997C (LOC: Federal Home Loan Bank)		0.88%			07/06/12		2,130,000		2,130,000

									127,525,000

Iowa 1.0%
Iowa Finance Auth
M/F Housing RB (Country Club Village) Series 2006 (LOC: Freddie Mac)		0.20%			07/06/12		11,370,000		11,370,000

Midwestern Disaster Area RB (Archer Daniels Midland) Series 2011		0.19%			07/06/12		17,000,000		17,000,000

Midwestern Disaster Area RB (Cargill) Series 2009A		0.23%			07/06/12		30,000,000		30,000,000

Midwestern Disaster Area RB (Cargill) Series 2009B		0.23%			07/06/12		25,000,000		25,000,000

Refunding RB (Trinity Health) Series 2000D		0.18%			07/06/12		38,400,000		38,400,000

									121,770,000

30 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)

Kansas 0.2%
Kansas Development Finance Auth
M/F Housing RB (Springhill Apts) Series 2004B (LOC: Freddie Mac)		0.20%			07/06/12		9,285,000		9,285,000

Wyandotte Cnty/Kansas City Unified Government
Utility System Refunding RB Series 2004 (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.19%			07/06/12		20,730,000		20,730,000

									30,015,000

Kentucky 0.7%
Boone Cnty
Pollution Control Refunding RB (Duke Energy Kentucky) Series 2010 (LOC: Sumitomo Mitsui Banking Corp)		0.16%			07/06/12		5,220,000		5,220,000

Carroll Cnty
Solid Waste Disposal Revenue & Refunding RB (Celotex Corp) Series 2000 (LOC: Bank of America, NA)		0.25%			07/06/12		15,790,000		15,790,000

Kentucky Economic Development Finance Auth
Health Care Refunding RB (Christian Care Communities) Series 2007A (LOC: PNC Bank NA)		0.19%			07/06/12		13,925,000		13,925,000

RB (Catholic Health Initiatives) Series 2011B1	b	0.28%			01/25/13		10,680,000		10,680,000

RB (Catholic Health Initiatives) Series 2011B2	b	0.28%			01/25/13		14,720,000		14,720,000

Kentucky Housing Corp
Conduit M/F Housing RB (Highlands Court Apts) Series 2007 (LOC: PNC Bank NA)		0.23%			07/06/12		3,800,000		3,800,000

Housing RB Series 2005B (LIQ: State Street Bank & Trust Company, NA)		0.24%			07/06/12		6,255,000		6,255,000

Housing RB Series 2005H (LIQ: State Street Bank & Trust Company, NA)		0.24%			07/06/12		4,385,000		4,385,000

Housing RB Series 2006I (LIQ: State Street Bank & Trust Company, NA)		0.24%			07/06/12		4,750,000		4,750,000

Louisville & Jefferson Cnty Metro Sewer District
Sewer & Drainage System RB Series 2001A (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.19%			07/06/12		4,870,000		4,870,000

Richmond
IDRB (Mikron) Series 1995 (LOC: Bank of America, NA)		0.75%			07/06/12		800,000		800,000

									85,195,000

Louisiana 1.1%
Ascension Parish IDB
RB (BASF SE) Series 2009		0.31%			07/06/12		15,000,000		15,000,000

East Baton Rouge Parish IDB
RB (ExxonMobil) Series 2010A		0.14%			07/02/12		4,400,000		4,400,000

Solid Waste Disposal RB (Georgia-Pacific Corp) Series 2004 (LOC: US Bank, NA)		0.22%			07/06/12		7,100,000		7,100,000

Louisiana HFA
M/F Housing RB (Belmont Village Apts) Series 2009 (LOC: Freddie Mac)		0.18%			07/06/12		8,795,000		8,795,000

M/F Housing RB (Jefferson Lakes Apts) Series 2007 (LOC: Freddie Mac)		0.23%			07/06/12		14,900,000		14,900,000

M/F Housing RB (Lapalco Court Apts) Series 2007 (LOC: Fannie Mae)		0.23%			07/06/12		6,400,000		6,400,000

New Orleans IDB
M/F Housing RB (3700 Orleans) Series 2000 (LOC: Fannie Mae)		0.20%			07/06/12		29,000,000		29,000,000

St. James Parish
RB (Nucor Steel) Series 2010A1		0.20%			07/06/12		20,000,000		20,000,000

See financial notes 31

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
RB (Nucor Steel) Series 2010B1		0.18%			07/06/12		18,000,000		18,000,000

RB (NuStar Logistics) Series 2011 (LOC: Wells Fargo Bank, NA)		0.18%			07/06/12		20,000,000		20,000,000

									143,595,000

Maryland 0.5%
Baltimore Cnty
GO Bonds (Metropolitan District) 74th Issue (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		7,130,000		7,130,000

John Hopkins Univ
RB (John Hopkins Univ) Series 2012A (LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		4,000,000		4,000,000

Maryland Community Development Admin
M/F Development RB (Ft. Washington Manor Sr Housing) Series 2005A (LOC: Citibank, NA)	c	0.39%			07/06/12		13,245,000		13,245,000

M/F Development RB (Shakespeare Park Apts) Series 2008B (LOC: Freddie Mac)		0.19%			07/06/12		7,200,000		7,200,000

Residential RB Series 2004I (LIQ: State Street Bank & Trust Company, NA)		0.19%			07/06/12		17,000,000		17,000,000

Residential RB Series 2007D (LIQ: Wells Fargo Bank, NA)	a	0.24%			07/06/12		5,635,000		5,635,000

Maryland Economic Development Corp
Lease RB Series 2003 (LIQ: Deutsche Bank AG)	a	0.27%			07/06/12		7,330,000		7,330,000

Maryland Health & Higher Educational Facilities Auth
RB (MedStar Health) Series 2007 (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.19%			07/06/12		5,000,000		5,000,000

									66,540,000

Massachusetts 1.5%
Massachusetts
GO Consolidated Loan Series 2005A (LIQ: Barclays Bank Plc)	a	0.17%			07/06/12		5,970,000		5,970,000

GO Consolidated Loan Series 2006B (LIQ: JPMorgan Chase Bank, NA)		0.18%			07/02/12		5,000,000		5,000,000

GO Refunding Bonds Series 1997B (LIQ: JPMorgan Chase Bank, NA)		0.17%			07/06/12		1,935,000		1,935,000

GO Refunding Bonds Series 2001C (LIQ: State Street Bank & Trust Company, NA)		0.16%			07/06/12		17,350,000		17,350,000

Massachusetts Bay Transportation Auth
Sr Sales Tax Bonds Series 2010A	b	0.27%			01/25/13		6,000,000		6,000,000

Massachusetts Development Finance Agency
Assisted Living Facility RB (Whaler’s Cove) Series 2001A (LOC: US Bank, NA)		0.22%			07/06/12		11,000,000		11,000,000

First Mortgage RB (Brookhaven at Lexington) Series 2005B (LOC: Bank of America, NA)		0.45%			07/06/12		1,665,000		1,665,000

M/F Housing RB (Archstone Reading Apts) Series 2004A (LOC: Freddie Mac)		0.20%			07/06/12		12,560,000		12,560,000

RB (CIL Realty) Series 2011 (LOC: Manufacturers & Traders Trust Co)		0.18%			07/06/12		12,020,000		12,020,000

RB (Harvard Univ) Series 2010B2 (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		1,000,000		1,000,000

Resource Recovery RB (Waste Management) Series 1999 (LOC: Bank of America, NA)		0.32%			07/06/12		10,000,000		10,000,000

Massachusetts Health & Educational Facilities Auth
RB (Partners HealthCare) Series 2010J1 (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		3,000,000		3,000,000

RB (Worcester Campus - UMass) Series 2005D (GTY: Berkshire Hathaway Assurance Corp /LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		165,000		165,000

32 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Massachusetts HFA
Housing Bonds Series 2005D (LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		3,815,000		3,815,000

Housing Bonds Series 2007A&C (LIQ: Citibank, NA)	a	0.28%			07/06/12		9,750,000		9,750,000

Housing Bonds Series 2010B (LIQ: Barclays Bank Plc)	a	0.22%			07/06/12		7,500,000		7,500,000

Housing Bonds Series 2010C (LIQ: Citibank, NA)	a	0.28%			07/06/12		5,700,000		5,700,000

S/F Housing RB Series 122 (LIQ: JP Morgan Chase & Co)	a	0.27%			07/06/12		20,415,000		20,415,000

Massachusetts School Building Auth
Dedicated Sales Tax Bonds Series 2005A (LIQ: Barclays Bank Plc)	a	0.17%			07/06/12		1,720,000		1,720,000

Dedicated Sales Tax Bonds Series 2005A (LIQ: Citibank, NA)	a	0.18%			07/06/12		8,370,000		8,370,000

Dedicated Sales Tax Bonds Series 2005A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		3,400,000		3,400,000

Dedicated Sales Tax Bonds Series 2007A (LIQ: Citibank, NA)	a	0.18%			07/06/12		2,330,000		2,330,000

Sr Dedicated Sales Tax Bonds Series 2011B (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		2,680,000		2,680,000

Sr Dedicated Sales Tax Bonds Series 2011B (LIQ: Wells Fargo Bank, NA)	a	0.26%			02/14/13		2,875,000		2,875,000

Massachusetts Water Resources Auth
General Refunding RB Series 2005A (LIQ: Bank of America, NA)	a	0.30%			07/06/12		2,325,000		2,325,000

General Refunding RB Series 2005B (LIQ: Citibank, NA)	a	0.18%			07/06/12		1,600,000		1,600,000

General Refunding RB Series 2007B (LIQ: Branch Banking & Trust Co)	a	0.16%			07/06/12		2,520,000		2,520,000

General Refunding RB Series 2008C1 (LIQ: Bank of America, NA)		0.25%			07/06/12		11,300,000		11,300,000

General Refunding RB Series 2010B (LIQ: Citibank, NA)	a	0.18%			07/06/12		5,985,000		5,985,000

Univ of Massachusetts Building Auth
Refunding RB Sr Series 2011-2	b	0.27%			01/25/13		6,450,000		6,450,000

									186,400,000

Michigan 3.0%
Hennepin Cnty HRA
M/F Housing RB (City Apts at Loring Park) Series 2001 (LOC: Fannie Mae)		0.21%			07/06/12		9,250,000		9,250,000

Jackson Cnty Economic Development Corp
Refunding RB (Vista Grande Villa) Series 2001A (LOC: Bank of America, NA)		0.33%			07/02/12		16,465,000		16,465,000

Kent Hospital Finance Auth
Refunding & RB (Metropolitan Hospital) Series 2012 (LOC: Bank of America, NA)		0.30%			07/06/12		28,275,000		28,275,000

Michigan Finance Auth
Hospital Refunding RB (Trinity Health) Series 2011MI (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		2,400,000		2,400,000

Unemployment Obligation Assessment RB Series 2012A (LIQ: Citibank, NA)	a	0.18%			07/06/12		20,000,000		20,000,000

Michigan Housing Development Auth
Rental Housing RB Series 2000A (LIQ: JPMorgan Chase Bank, NA)		0.21%			07/06/12		38,950,000		38,950,000

Rental Housing RB Series 2002B (LIQ: Bank of Tokyo Mitsubishi UFJ, Ltd)		0.17%			07/06/12		11,775,000		11,775,000

Rental Housing RB Series 2005A (LIQ: Bank of Tokyo Mitsubishi UFJ, Ltd)		0.21%			07/06/12		33,335,000		33,335,000

Rental Housing RB Series 2006D (LIQ: Bank of America, NA)	a	0.37%			07/06/12		2,808,000		2,808,000

Rental Housing RB Series 2006D (LIQ: Bank of America, NA)	a	0.40%			07/06/12		4,675,000		4,675,000

See financial notes 33

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Rental Housing RB Series 2008C (LIQ: Bank of Tokyo Mitsubishi UFJ, Ltd)		0.19%			07/06/12		13,810,000		13,810,000

Rental Housing RB Series 2008D (LIQ: Bank of Tokyo Mitsubishi UFJ, Ltd)		0.19%			07/06/12		60,985,000		60,985,000

S/F Mortgage RB Series 2007F (LIQ: Bank of Nova Scotia)		0.19%			07/06/12		78,000,000		78,000,000

Michigan Job Development Auth
Limited Obligation RB (Frankenmuth Bavarian Inn Motor Lodge) Series 1985 (LOC: Comerica Bank)		0.43%			07/01/12		7,100,000		7,100,000

Michigan State Hospital Finance Auth
RB (Ascension Health) Series 2005A3 (LIQ: Citibank, NA)	a	0.19%			07/06/12		4,700,000		4,700,000

RB (Ascension Health) Series 2010	b	0.27%			01/25/13		15,865,000		15,865,000

Michigan State Strategic Fund
Limited Obligation RB (Metaltec Steel Abrasive) Series 2006 (LOC: Comerica Bank)		0.28%			07/06/12		1,560,000		1,560,000

Limited Obligation RB (Mibelloon Dairy) Series 2006 (LOC: Wells Fargo Bank, NA)		0.26%			07/06/12		3,000,000		3,000,000

Limited Obligation RB (YMCA of Greater Grand Rapids) Series 2004 (LOC: Comerica Bank)		0.19%			07/06/12		12,625,000		12,625,000

Limited Obligation RB (YMCA of Greater Grand Rapids) Series 2005 (LOC: Comerica Bank)		0.19%			07/06/12		4,210,000		4,210,000

Michigan State Univ
General RB Series 2005 (LIQ: Bank of New York Mellon)		0.16%			07/06/12		10,500,000		10,500,000

Oakland Cnty
Limited Obligation RB (Husky Envelope Products) Series 1999 (LOC: Comerica Bank)		0.28%			07/06/12		270,000		270,000

									380,558,000

Minnesota 0.5%
East Grand Forks
Solid Waste Disposal Refunding RB (American Crystal Sugar) Series 2009 (LOC: CoBank, ACB)		0.19%			07/06/12		19,350,000		19,350,000

Hennepin Cnty HRA
M/F Housing Refunding RB (Stone Arch Apts) Series 2002 (LOC: Fannie Mae)		0.21%			07/06/12		2,800,000		2,800,000

Mendota Heights
Refunding IDRB (Dakota Business Plaza) Series 2000 (LOC: Wells Fargo Bank, NA)		0.38%			07/06/12		2,300,000		2,300,000

Minneapolis
M/F Housing RB (Gateway Real Estate) Series 2002 (LOC: Wells Fargo Bank, NA)		0.24%			07/06/12		4,155,000		4,155,000

Minnesota HFA
Rental Housing Bonds Series 2006B, 2006C1&2007A1 (LIQ: Wells Fargo & Co)	a	0.24%			07/06/12		10,400,000		10,400,000

Residential Housing Finance Bonds Series 2003B (LIQ: Lloyds TSB Bank Plc)		0.18%			07/06/12		11,800,000		11,800,000

Residential Housing Finance Bonds Series 2006G (LIQ: Citibank, NA)	a	0.24%			07/06/12		4,270,000		4,270,000

Residential Housing Finance Bonds Series 2009F (LIQ: Federal Home Loan Bank)		0.18%			07/06/12		9,955,000		9,955,000

St. Louis Park
M/F Housing Refunding RB (Urban Park Apts) Series 2010A (LOC: Wells Fargo Bank, NA)		0.23%			07/06/12		2,845,000		2,845,000

									67,875,000

34 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)

Mississippi 0.7%
Medical Center Educational Building Corp
RB (Univ Mississippi Medical Center) Series 2012A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		10,775,000		10,775,000

Mississippi
GO Bonds Series 2011A (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		9,210,000		9,210,000

Mississippi Business Finance Corp
IDRB (Central Mississippi Baking Co) Series 2005 (LOC: Bank of America, NA)		0.60%			07/06/12		3,785,000		3,785,000

IDRB (Electric Mills Wood Preserving) Series 1999 (LOC: US Bank, NA)		0.23%			07/06/12		5,000,000		5,000,000

RB (Chevron) Series 2007B		0.15%			07/02/12		3,370,000		3,370,000

RB (PSL North America) Series 2007A (LOC: Wells Fargo Bank, NA)		0.19%			07/06/12		40,000,000		40,000,000

Mississippi Home Corp
M/F Housing RB (Edgewood Manor Apts) Series 2008-2 (LOC: Freddie Mac)		0.23%			07/06/12		5,000,000		5,000,000

Mississippi Hospital Equipment & Facilities Auth
RB (Baptist Memorial Health Care) Series 2004B1 (LIQ: Bank of America, NA)	a	0.26%			07/06/12		2,961,000		2,961,000

Univ of Southern Mississippi Educational Building Corp
RB (Athletics Facilities) Series 2007 (LIQ: Deutsche Bank AG)	a	0.26%			07/06/12		9,610,000		9,610,000

									89,711,000

Missouri 0.9%
Blue Springs IDA
M/F Housing RB (Autumn Place Apts) Series 2004 (LOC: Fannie Mae)		0.22%			07/06/12		8,200,000		8,200,000

Kansas City IDA
M/F Housing RB (Clay Terrace Apts) Series 2006 (LOC: Bank of America, NA)		0.55%			07/06/12		10,305,000		10,305,000

M/F Housing RB (Timberlane Village Apts) Series 1986 (LOC: Wells Fargo Bank, NA)		0.21%			07/06/12		18,400,000		18,400,000

Missouri Development Finance Board
Air Cargo Facility Refunding RB (St. Louis Air Cargo Services) Series 2000 (LOC: JPMorgan Chase Bank, NA)		0.22%			07/06/12		4,555,000		4,555,000

St. Charles Cnty IDA
M/F Housing Refunding RB (Time Centre Apts Phase I) Series 2004A (LOC: Wells Fargo Bank, NA)		0.21%			07/06/12		15,600,000		15,600,000

M/F Housing Refunding RB (Time Centre Apts Phase II) Series 2004B (LOC: Wells Fargo Bank, NA)		0.21%			07/06/12		4,500,000		4,500,000

St. Louis IDA
IDRB (Kessler Container) Series 1997A (LOC: Bank of America, NA)		1.61%			07/06/12		1,000,000		1,000,000

M/F Housing RB (Black Forest Apts) Series 1997 (LOC: Fannie Mae)		0.20%			07/06/12		4,000,000		4,000,000

M/F Housing RB (Southwest Crossing) Series 2001 (LOC: Freddie Mac)		0.20%			07/06/12		9,500,000		9,500,000

M/F Housing RB (Whispering Lakes Apts) Series 1995 (LOC: Fannie Mae)		0.20%			07/06/12		7,435,000		7,435,000

M/F Housing Refunding RB (Merchandise Mart Apts) Series 2005A (LOC: Freddie Mac)		0.20%			07/06/12		20,475,000		20,475,000

Washington IDA
IDRB (Missourian Publishing) Series 2006A (LOC: US Bank, NA)		0.21%			07/06/12		6,455,000		6,455,000

See financial notes 35

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
IDRB (Pauwels Transformers) Series 1995 (LOC: HSBC Bank USA)		0.50%			07/06/12		900,000		900,000

									111,325,000

Nebraska 0.9%
Douglas Cnty Hospital Auth No.3
Health Facilities Refunding RB (Nebraska Methodist Health) Series 2008 (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.28%			07/06/12		5,265,000		5,265,000

Nebraska Investment Finance Auth
M/F Housing Refunding RB (Pheasant Ridge Apts) Series 2008 (LOC: Freddie Mac)		0.21%			07/06/12		8,950,000		8,950,000

S/F Housing RB Series 2006F (LIQ: Citibank, NA)	a	0.24%			07/06/12		80,000		80,000

Nebraska Public Power District
General RB Series 2007B (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		15,705,000		15,705,000

Omaha Public Power District
Electric System RB Series 2005A (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.19%			07/06/12		22,135,000		22,135,000

Electric System RB Series 2006A (LIQ: Wells Fargo & Co)	a	0.22%			07/06/12		10,015,500		10,015,500

Stanton Cnty
IDRB (Nucor Corp) Series 1996		0.24%			07/06/12		19,300,000		19,300,000

IDRB (Nucor Corp) Series 1998		0.24%			07/06/12		5,700,000		5,700,000

Univ of Nebraska
RB (Omaha Student Facilities) Series 2007 (LIQ: Deutsche Bank AG)	a	0.25%			07/06/12		7,585,000		7,585,000

Washington Cnty
IDRB (Cargill) Series 2010		0.23%			07/06/12		7,000,000		7,000,000

IDRB (Cargill) Series 2010B		0.23%			07/06/12		10,000,000		10,000,000

									111,735,500

Nevada 1.2%
Clark Cnty
Airport System Sub Lien RB Series 2011B2 (LOC: Royal Bank of Canada)		0.19%			07/06/12		29,000,000		29,000,000

Limited Tax GO Bond Bank Bonds Series 2006 (LIQ: Wells Fargo & Co)	a	0.20%			07/06/12		17,300,000		17,300,000

Clark Cnty SD
Limited Tax GO Bonds Series 2006B (LIQ: State Street Bank & Trust Company, NA)	a	0.23%			07/06/12		14,630,000		14,630,000

Las Vegas
Limited Tax GO Bonds Series 2006B (LIQ: US Bank, NA)	a	0.16%			07/06/12		24,580,000		24,580,000

Nevada Dept of Business & Industry
RB (LVE Energy Partners) Series 2007 (LOC: Sumitomo Mitsui Banking Corp)		0.18%			07/06/12		9,555,000		9,555,000

Nevada Housing Division
M/F Housing RB (Banbridge Apts) Series 2000A (LOC: US Bank, NA)		0.21%			07/06/12		3,960,000		3,960,000

M/F Housing RB (Silver Pines Apts) Series 2002A (LOC: Fannie Mae)		0.18%			07/06/12		10,800,000		10,800,000

M/F Housing RB (St. Rose Seniors Apts) Series 2002A (LOC: Fannie Mae)		0.18%			07/06/12		13,770,000		13,770,000

M/F Housing Refunding RB (Oakmont) Series 2002 (LOC: Fannie Mae)		0.21%			07/06/12		4,350,000		4,350,000

Multi-Unit Housing RB (Southwest Village Apts) Series 2005 (LOC: Fannie Mae)		0.18%			07/06/12		17,000,000		17,000,000

36 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Nevada System of Higher Education
Univ RB Series 2005B (LIQ: Deutsche Bank AG)	a	0.26%			07/06/12		10,530,000		10,530,000

									155,475,000

New Hampshire 0.2%
New Hampshire Health & Education Facilities Auth
RB (Rivier College) Series 2008 (LOC: JPMorgan Chase Bank, NA)		0.20%			07/06/12		11,345,000		11,345,000

RB (St. Anselm College) Series 2008 (LOC: Federal Home Loan Bank)		0.17%			07/06/12		19,385,000		19,385,000

									30,730,000

New Jersey 1.0%
New Jersey Economic Development Auth
IDRB (Advanced Drainage Systems) Series 2007 (LOC: PNC Bank NA)		0.24%			07/06/12		5,675,000		5,675,000

RB (Hamilton Industrial Development) Series 1998 (LOC: Wells Fargo Bank, NA)		0.33%			07/06/12		3,275,000		3,275,000

RB (Marina Energy) Series 2006A (LOC: JPMorgan Chase Bank, NA)		0.23%			07/06/12		5,465,000		5,465,000

RB (Research & Manufacturing Corp of America) Series 2006 (LOC: Wells Fargo Bank, NA)		0.33%			07/06/12		3,210,000		3,210,000

Transportation System Bonds Series 2005B&2006A & School Facilities Construction Refunding Bonds Series 2005K (GTY/LIQ: State Street Bank & Trust Company, NA)	a	0.18%			07/06/12		10,000,000		10,000,000

New Jersey Educational Facilities Auth
Refunding & RB (Princeton Univ) Series 2005A & 2007E (LIQ: Barclays Bank Plc)	a	0.17%			07/06/12		1,315,000		1,315,000

New Jersey Housing & Mortgage Finance Agency
S/F Housing RB Series 2005N (LIQ: Barclays Bank Plc)		0.16%			07/06/12		14,320,000		14,320,000

S/F Housing RB Series 2005O (LIQ: Barclays Bank Plc)		0.18%			07/06/12		16,400,000		16,400,000

S/F Housing RB Series 2005Q (LIQ: Barclays Bank Plc)		0.20%			07/06/12		10,735,000		10,735,000

S/F Housing RB Series 2005R (LIQ: TD Bank NA)		0.20%			07/06/12		5,000,000		5,000,000

S/F Housing RB Series 2008Z (LIQ: Royal Bank of Canada)		0.17%			07/06/12		37,580,000		37,580,000

New Jersey State Higher Education Assistance Auth
Student Loan RB Series 2010A2 (LIQ: Bank of America, NA)	a	0.37%			07/06/12		9,200,000		9,200,000

New Jersey Transportation Trust Fund Auth
Transportation System Bonds Series 2006C (GTY/LIQ: Wells Fargo & Co)	a	0.22%			07/06/12		1,065,000		1,065,000

Transportation System Bonds Series 2009A (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		5,280,000		5,280,000

									128,520,000

New Mexico 0.3%
Bernalillo Cnty
M/F Housing Refunding RB (Desert Willow Apts) Series 2008 (LOC: US Bank, NA)		0.28%			07/06/12		7,500,000		7,500,000

New Mexico Educational Assistance Foundation
Education Loan Bonds Series 2010-1A3 (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		5,710,000		5,710,000

Education Loan Bonds Sr Series 2003A1 (LOC: Royal Bank of Canada)		0.20%			07/06/12		9,150,000		9,150,000

Education Loan Bonds Sr Series 2003A2 (LOC: Royal Bank of Canada)		0.20%			07/06/12		7,100,000		7,100,000

See financial notes 37

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
New Mexico Hospital Equipment Loan Council
RB (Presbyterian Healthcare Services) Series 2009A (LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		10,615,000		10,615,000

									40,075,000

New York 5.0%
Bethlehem IDA
RB (467 Delaware Ave) Series 2003A (LOC: Federal Home Loan Bank)		0.18%			07/06/12		5,900,000		5,900,000

Metropolitan Transportation Auth
Dedicated Tax Fund Bonds Series 2002B1 (LOC: State Street Bank & Trust Company, NA)		0.16%			07/06/12		10,000,000		10,000,000

Transportation Refunding RB Series 2002G1 (LOC: Bank of Nova Scotia)		0.18%			07/06/12		10,000,000		10,000,000

New Rochelle IDA
IDRB (West End Phase I Facility) Series 2006 (LOC: Citibank, NA)		0.44%			07/06/12		4,145,000		4,145,000

New York City
GO Bonds Fiscal 1994 Series A7 (LOC: JPMorgan Chase Bank, NA)		0.17%			07/02/12		25,000		25,000

GO Bonds Fiscal 2009 Series H1 (LIQ: Citibank, NA)	a	0.18%			07/06/12		5,000,000		5,000,000

GO Bonds Fiscal 2012 Series D1 (LIQ: Royal Bank of Canada)	a	0.14%			07/06/12		4,000,000		4,000,000

GO Bonds Fiscal 2012 Series G3 (LOC: Citibank, NA)		0.19%			07/06/12		45,695,000		45,695,000

New York City Capital Resource Corp
RB Series 2008B1 (LOC: Bank of America, NA)		0.33%			07/06/12		23,370,000		23,370,000

New York City Housing Development Corp
M/F Housing RB Series 2010B (LIQ: Citibank, NA)	a	0.20%			07/06/12		3,835,000		3,835,000

M/F Mortgage RB (101 Ave D Apts) Series 2010A (LOC: Bank of America, NA)		0.25%			07/06/12		10,000,000		10,000,000

M/F Mortgage RB (Boricua Village Apts) Series 2007A (LOC: Citibank, NA)		0.30%			07/06/12		4,250,000		4,250,000

M/F Mortgage RB (Parkview Apts) Series 2004A (LOC: Citibank, NA)		0.30%			07/06/12		5,935,000		5,935,000

M/F Rental RB (Related-Monterey) Series 1997A (LOC: Fannie Mae)		0.13%			07/06/12		20,800,000		20,800,000

New York City Municipal Water Finance Auth
Water & Sewer System RB Fiscal 2000 Series C (LIQ: Sumitomo Mitsui Banking Corp)		0.17%			07/06/12		1,000,000		1,000,000

Water & Sewer System RB Fiscal 2006 Series B (LIQ: Citibank, NA)	a	0.18%			07/06/12		3,000,000		3,000,000

Water & Sewer System RB Fiscal 2009 Series AA (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		7,295,000		7,295,000

Water & Sewer System RB Fiscal 2012 Series A2 (LIQ: Mizuho Corporate Bank Ltd)		0.13%			07/02/12		5,800,000		5,800,000

New York City Transitional Finance Auth
Building Aid RB Fiscal 2007 Series S1 (LIQ: Citibank, NA)	a	0.19%			07/06/12		7,385,000		7,385,000

Building Aid RB Fiscal 2009 Series S5 (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		2,435,000		2,435,000

Future Tax Secured Sub Bonds Fiscal 2012 Series D1 (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		9,325,000		9,325,000

Recovery Bonds Fiscal 2003 Series 2C (LIQ: Lloyds TSB Bank Plc)		0.16%			07/06/12		6,675,000		6,675,000

New York City Trust for Cultural Resources
Refunding RB (Lincoln Center for the Performing Arts) Series 2008A1 (LOC: JPMorgan Chase Bank, NA)		0.21%			07/02/12		5,000,000		5,000,000

38 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
New York State Dormitory Auth
RB (Mount St. Mary College) Series 2005 (LOC: JPMorgan Chase Bank, NA)		0.18%			07/06/12		20,965,000		20,965,000

RB (Univ of Rochester) Series 2003C (LOC: JPMorgan Chase Bank, NA)		0.18%			07/06/12		16,665,000		16,665,000

State Personal Income Tax RB Series 2006D (LIQ: Citibank, NA)	a	0.18%			07/06/12		10,500,000		10,500,000

New York State Energy Research & Development Auth
Facilities RB Series 2004C3 (LOC: Mizuho Corporate Bank Ltd)		0.18%			07/06/12		27,000,000		27,000,000

New York State HFA
Housing RB (1500 Lexington Ave) Series 2002A (LOC: Fannie Mae)		0.16%			07/06/12		33,600,000		33,600,000

Housing RB (1501 Lexington Ave) Series 2000A (LOC: Fannie Mae)		0.21%			07/06/12		8,300,000		8,300,000

Housing RB (Clinton Park Phase II) Series 2011A2 (LOC: Wells Fargo Bank, NA)		0.20%			07/06/12		12,000,000		12,000,000

Housing RB (Ocean Park Apts) Series 2005A (LOC: Fannie Mae)		0.21%			07/06/12		13,330,000		13,330,000

Housing RB (The Helena) Series 2004A (LOC: Fannie Mae)		0.21%			07/06/12		52,950,000		52,950,000

Housing RB (W17th St) Series 2009A (LOC: Fannie Mae)		0.14%			07/06/12		13,100,000		13,100,000

Housing RB (Worth St) Series 2001A (LOC: Fannie Mae)		0.17%			07/06/12		47,600,000		47,600,000

New York State Mortgage Agency
Homeowner Mortgage RB Series 129 (LIQ: Barclays Bank Plc)		0.20%			07/06/12		17,000,000		17,000,000

Homeowner Mortgage RB Series 139 (LIQ: JPMorgan Chase Bank, NA)		0.20%			07/02/12		800,000		800,000

Homeowner Mortgage RB Series 145&148 (LIQ: JPMorgan Chase Bank, NA)	a	0.27%			07/06/12		2,660,000		2,660,000

Homeowner Mortgage RB Series 153 (LIQ: Barclays Bank Plc)		0.19%			07/06/12		15,000,000		15,000,000

Homeowner Mortgage RB Series 29 (LIQ: JPMorgan Chase Bank, NA)	a	0.24%			07/06/12		5,995,000		5,995,000

New York State Thruway Auth
Second Highway & Bridge Bonds Series 2005B (LIQ: Barclays Bank Plc)	a	0.17%			07/06/12		23,425,000		23,425,000

Port Auth of New York & New Jersey
Consolidated Bonds 136th Series (LIQ: JPMorgan Chase Bank, NA)	a	0.26%			07/06/12		7,320,000		7,320,000

Consolidated Bonds 137th Series (LIQ: JPMorgan Chase Bank, NA)	a	0.26%			07/06/12		6,195,000		6,195,000

Consolidated Bonds 141st Series (LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		11,805,000		11,805,000

Consolidated Bonds 143rd Series (LIQ: JPMorgan Chase Bank, NA)	a	0.24%			07/06/12		7,870,000		7,870,000

Consolidated Bonds 146th Series (LIQ: Bank of America, NA)	a	0.33%			07/06/12		3,580,000		3,580,000

Consolidated Bonds 147th Series (LIQ: Citibank, NA)	a	0.23%			07/06/12		36,820,000		36,820,000

Consolidated Bonds 148th Series (LIQ: Citibank, NA)	a	0.19%			07/06/12		5,800,000		5,800,000

Consolidated Bonds 152nd Series (LIQ: JPMorgan Chase Bank, NA)	a	0.24%			07/06/12		28,540,000		28,540,000

Consolidated Bonds 169th Series (LIQ: JPMorgan Chase Bank, NA)	a	0.24%			07/06/12		6,440,000		6,440,000

Consolidated Bonds 172nd Series (LIQ: JPMorgan Chase Bank, NA)	a	0.24%			07/06/12		4,625,000		4,625,000

									640,755,000

North Carolina 0.8%
Charlotte-Mecklenburg Hospital Auth
Refunding RB (Carolinas HealthCare) Series 2008A&2011A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		3,605,000		3,605,000

See financial notes 39

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Hertford Cnty Industrial Facilities & Pollution Control Financing Auth
IDRB (Nucor) Series 2000A		0.38%			07/06/12		26,500,000		26,500,000

Lower Cape Fear Water & Sewer Auth
Special Facility RB (Bladen Bluffs) Series 2010 (LOC: Rabobank Nederland)		0.19%			07/06/12		4,110,000		4,110,000

Mecklenburg Cnty
GO Refunding Bonds Series 2009D	b	0.28%			01/25/13		18,980,000		18,980,000

North Carolina
Limited Obligation Bonds Series 2011C (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		5,515,000		5,515,000

North Carolina Capital Facilities Finance Agency
Recreational Facilities RB (YMCA of Greater Charlotte) Series 2007A (LOC: Branch Banking & Trust Co)		0.19%			07/06/12		4,835,000		4,835,000

North Carolina Medical Care Commission
Health Care Facilities RB (Duke Univ Health System) Series 2012A (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		10,810,000		10,810,000

Health Care Facilities RB (Novant Health) Series 2006 (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.19%			07/06/12		17,335,000		17,335,000

Hospital Refunding RB (Cone Health) Series 2011B	b	0.30%			01/25/13		7,000,000		7,000,000

Piedmont Triad Airport Auth
Airport RB Series 2008B (LOC: Branch Banking & Trust Co)		0.20%			07/06/12		3,495,000		3,495,000

Rowan Cnty Industrial Facilities & Pollution Control Financing Auth
IDRB (Taylor Clay Products) Series 2007A (LOC: Wells Fargo Bank, NA)		0.33%			07/06/12		6,525,000		6,525,000

									108,710,000

North Dakota 0.6%
North Dakota HFA
Home Mortgage Finance Program Series 2003B (LIQ: Federal Home Loan Bank)		0.21%			07/06/12		7,000,000		7,000,000

Home Mortgage Finance Program Series 2004C (LIQ: Federal Home Loan Bank)	c	0.17%			07/06/12		19,940,000		19,940,000

Home Mortgage Finance Program Series 2005C (LIQ: Federal Home Loan Bank)		0.21%			07/06/12		12,000,000		12,000,000

Home Mortgage Finance Program Series 2009B (LIQ: Federal Home Loan Bank)		0.17%			07/06/12		36,715,000		36,715,000

									75,655,000

Ohio 0.6%
Cleveland
Airport System RB Series 2000C (GTY/LIQ: US Bank, NA)	a	0.17%			07/06/12		31,005,000		31,005,000

Cleveland-Cuyahoga Cnty Port Auth
Development Refunding RB (Judson) Series 2005A (LOC: PNC Bank NA)		0.19%			07/06/12		20,560,000		20,560,000

Development Refunding RB (Judson) Series 2005B (LOC: PNC Bank NA)		0.18%			07/06/12		7,550,000		7,550,000

Franklin Cnty
Hospital Facilities RB (OhioHealth Corp) Series 2011A (LIQ: Barclays Bank Plc)	a	0.17%			07/06/12		2,330,000		2,330,000

Ohio
Hospital Refunding RB (Cleveland Clinic) Series 2009A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		7,000,000		7,000,000

Hospital Refunding RB (Cleveland Clinic) Series 2009A (LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		3,485,000		3,485,000

									71,930,000

40 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)

Oklahoma 0.0%
Oklahoma Development Finance Auth
RB (Shawnee Funding) Series 1996 (LOC: Bank of Nova Scotia)		0.23%			07/06/12		3,100,000		3,100,000

Oregon 0.9%
Multnomah Cnty Hospital Facilities Auth
RB (Providence Health) Series 2004 (LIQ: Bank of America, NA)	a	0.30%			07/06/12		5,895,000		5,895,000

Oregon
Veterans’ Welfare GO Bonds Series 86 (LIQ: US Bank, NA)		0.16%			07/02/12		6,020,000		6,020,000

Oregon Health & Science Univ
RB Series 2012B2 (LOC: Union Bank, NA)		0.15%			07/06/12		6,000,000		6,000,000

Oregon Health, Housing, Educational & Cultural Facilities Auth
RB (Assumption Village Assisted Living) Series 2001A (LOC: Union Bank, NA)		0.19%			07/06/12		2,940,000		2,940,000

Oregon Housing & Community Services Dept
Mortgage RB S/F Mortgage Series 2007E (LIQ: JPMorgan Chase Bank, NA)		0.23%			07/06/12		30,000,000		30,000,000

Mortgage RB S/F Mortgage Series 2007H (LIQ: JPMorgan Chase Bank, NA)		0.23%			07/06/12		20,000,000		20,000,000

S/F Mortgage RB Series 2004L (LIQ: State Street Bank & Trust Company, NA)		0.18%			07/06/12		2,000,000		2,000,000

S/F Mortgage RB Series 2005F (LIQ: State Street Bank & Trust Company, NA)		0.18%			07/06/12		14,485,000		14,485,000

Port of Portland
Airport Refunding RB Series 18A (LOC: US Bank, NA)		0.20%			07/06/12		29,100,000		29,100,000

									116,440,000

Pennsylvania 2.2%
Allegheny Cnty IDA
Heath Care Facilities RB (Longwood at Oakmont) Series 2011A (LOC: PNC Bank NA)		0.15%			07/02/12		3,355,000		3,355,000

Berks Cnty Municipal Auth
RB (Reading Hospital & Medical Center) Series 2012A (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		8,810,000		8,810,000

Butler Cnty IDA
RB (Butler Cnty Family YMCA) Series 2005 (LOC: PNC Bank NA)		0.22%			07/06/12		5,445,000		5,445,000

Crawford Cnty IDA
RB (Greenleaf Corp) Series 2007 (LOC: PNC Bank NA)		0.28%			07/06/12		5,870,000		5,870,000

Delaware Cnty IDA
Water Facilities RB (Aqua Pennsylvania) Series 2005A (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.23%			07/06/12		9,635,000		9,635,000

Luzerne Cnty IDA
Water Facility Refunding RB (Pennsylvania-American Water) Series 2009 (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		6,995,000		6,995,000

Montgomery Cnty IDA
RB (Waverly Heights) Series 2009 (LOC: Manufacturers & Traders Trust Co)		0.19%			07/06/12		7,000,000		7,000,000

Montgomery Cnty Redevelopment Auth
M/F Housing RB (Kingswood Apts) Series 2001A (LOC: Fannie Mae)		0.18%			07/06/12		1,370,000		1,370,000

North Hampton Cnty
RB (Binney & Smith) Series 1997B (LOC: JPMorgan Chase Bank, NA)		0.48%			07/06/12		560,000		560,000

See financial notes 41

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Pennsylvania HFA
S/F Mortgage RB Series 2002-73A&74B (LIQ: JPMorgan Chase Bank, NA)	a	0.27%			07/06/12		1,005,000		1,005,000

S/F Mortgage RB Series 2002-75A (LIQ: Barclays Bank Plc)		0.18%			07/06/12		2,710,000		2,710,000

S/F Mortgage RB Series 2003-79B (LIQ: Barclays Bank Plc)		0.18%			07/06/12		51,750,000		51,750,000

S/F Mortgage RB Series 2004-81C (LIQ: Royal Bank of Canada)		0.19%			07/06/12		14,990,000		14,990,000

S/F Mortgage RB Series 2005-88B (LIQ: PNC Bank NA)		0.16%			07/06/12		10,195,000		10,195,000

S/F Mortgage RB Series 2005-88C (LIQ: PNC Bank NA)		0.16%			07/06/12		6,600,000		6,600,000

S/F Mortgage RB Series 2005-91B (LIQ: Bank of Tokyo Mitsubishi UFJ, Ltd)		0.19%			07/06/12		19,695,000		19,695,000

S/F Mortgage RB Series 2006-93,94&95A, 2007-97&98A (LIQ: Morgan Stanley Bank NA)	a	0.30%			07/06/12		7,650,089		7,650,089

S/F Mortgage RB Series 2006-94B (LIQ: PNC Bank NA)		0.16%			07/06/12		8,790,000		8,790,000

S/F Mortgage RB Series 2006-95A (LIQ: Citibank, NA)	a	0.24%			07/06/12		2,345,000		2,345,000

S/F Mortgage RB Series 2006-99A, 2007-99A&100A (LIQ: Citibank, NA)	a	0.24%			07/06/12		9,760,000		9,760,000

Pennsylvania Higher Educational Facilities Auth
RB (Drexel Univ) Series 2005C (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		3,430,000		3,430,000

Pennsylvania State Turnpike Commission
Motor License Fund Turnpike Sub Special RB Series 2011B (LIQ: Citibank, NA)	a	0.22%			07/06/12		3,980,000		3,980,000

Turnpike RB Series 2011C1 (GTY/LIQ: Royal Bank of Canada)	a	0.18%			07/06/12		7,975,000		7,975,000

Philadelphia
Airport Refunding RB Series 2005C1 (LOC: TD Bank NA)		0.16%			07/06/12		3,835,000		3,835,000

Airport Refunding RB Series 2005C2 (LOC: Royal Bank of Canada)		0.16%			07/06/12		17,280,000		17,280,000

Water & Wastewater RB Series 2011A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		13,705,000		13,705,000

Water & Wastewater Refunding RB Series 2007B (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		10,800,000		10,800,000

Philadelphia IDA
Healthcare RB (Greater Philadelphia Health Action) Series 2008 (LOC: Bank of America, NA)		0.37%			07/06/12		2,260,000		2,260,000

Philadelphia Municipal Auth
Lease RB Series 2009 (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		4,150,000		4,150,000

St. Mary Hospital Auth
RB (Catholic Health Initiatives) Series 2004C		0.17%			07/06/12		27,900,000		27,900,000

									279,845,089

Rhode Island 0.3%
Rhode Island Housing & Mortgage Finance Corp
Homeownership Opportunity Bonds Series 54 (LIQ: Bank of America, NA)	a	0.40%			07/06/12		4,920,000		4,920,000

Homeownership Opportunity Bonds Series 56A (LIQ: Citibank, NA)	a	0.24%			07/06/12		8,560,000		8,560,000

Homeownership Opportunity Bonds Series 56A (LIQ: Morgan Stanley Bank NA)	a	0.30%			07/06/12		7,350,000		7,350,000

Homeownership Opportunity Bonds Series 58A (LIQ: Barclays Bank Plc)	a	0.22%			07/06/12		9,630,000		9,630,000

Homeownership Opportunity Bonds Series 58A (LIQ: Morgan Stanley Bank NA)	a	0.30%			07/06/12		7,895,000		7,895,000

									38,355,000

42 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)

South Carolina 1.0%
Berkeley Cnty
Industrial Development RB (Nucor Corp) Series 1997		0.24%			07/06/12		12,500,000		12,500,000

Building Equity Sooner For Tomorrow
Refunding RB (Greenville Cnty SD) Series 2006 (LIQ: Wells Fargo & Co)	a	0.18%			07/06/12		9,615,000		9,615,000

Greenville
IDRB (Stevens Aviation Technical Services) Series 1997 (LOC: Wells Fargo Bank, NA)		0.38%			07/06/12		8,300,000		8,300,000

Greenwood Cnty
Hospital Facilities RB (Self Regional Healthcare) Series 2009 (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		7,410,000		7,410,000

South Carolina Housing Finance & Development Auth
M/F Rental Housing Refunding RB (Fairway Apts) Series 2001A (LOC: Fannie Mae)		0.21%			07/06/12		7,735,000		7,735,000

South Carolina Jobs Economic Development Auth
IRB (SC Electric & Gas) Series 2008 (LOC: Branch Banking & Trust Co)		0.23%			07/06/12		6,935,000		6,935,000

IRB (South Carolina Generating) Series 2008 (LOC: Branch Banking & Trust Co)		0.23%			07/06/12		4,600,000		4,600,000

RB (Holcim) Series 2003 (LOC: Comerica Bank)		0.23%			07/06/12		25,000,000		25,000,000

South Carolina Public Service Auth
Revenue Obligations Series 2004A (LIQ: Citibank, NA)	a	0.19%			07/06/12		23,760,000		23,760,000

South Carolina Transportation Infrastucture Bank
RB Series 2007A (GTY/LIQ: US Bank, NA)	a	0.16%			07/06/12		25,050,000		25,050,000

									130,905,000

South Dakota 0.9%
South Dakota Housing Development Auth
Homeownership Mortgage Bonds Series 2003B&H, 2004B&2005B (LIQ: State Street Bank & Trust Company, NA)	a	0.30%			07/06/12		1,125,000		1,125,000

Homeownership Mortgage Bonds Series 2003I (LIQ: Landesbank Hessen-Thuringen Girozentrale)		0.27%			07/06/12		28,000,000		28,000,000

Homeownership Mortgage Bonds Series 2004C (LIQ: Landesbank Hessen-Thuringen Girozentrale)		0.27%			07/06/12		20,000,000		20,000,000

Homeownership Mortgage Bonds Series 2004G (LIQ: Landesbank Hessen-Thuringen Girozentrale)		0.25%			07/06/12		9,000,000		9,000,000

Homeownership Mortgage Bonds Series 2005C (LIQ: Landesbank Hessen-Thuringen Girozentrale)		0.27%			07/06/12		41,000,000		41,000,000

Homeownership Mortgage Bonds Series 2005K (LIQ: Barclays Bank Plc)	a	0.24%			07/06/12		4,465,000		4,465,000

Homeownership Mortgage Bonds Series 2005K (LIQ: Citibank, NA)	a	0.24%			07/06/12		5,305,000		5,305,000

Homeownership Mortgage Bonds Series 2008C (LIQ: Federal Home Loan Bank)		0.22%			07/06/12		5,000,000		5,000,000

M/F Housing RB (Harmony Heights) Series 2001 (LOC: Fannie Mae)		0.21%			07/06/12		6,500,000		6,500,000

									120,395,000

Tennessee 1.6%
Blount Cnty Public Building Auth
Local Government Public Improvement Bonds Series E5B (LOC: Branch Banking & Trust Co)		0.19%			07/06/12		6,275,000		6,275,000

See financial notes 43

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Chattanooga IDB
Lease Rental Refunding RB Series 2007 (LIQ: JPMorgan Chase Bank, NA)	a	0.20%			07/06/12		11,300,000		11,300,000

Clarksville Public Building Auth
Pooled Financing RB (TN Municipal Bond Fund) Series 1997 (LOC: Bank of America, NA)		0.55%			07/06/12		7,895,000		7,895,000

Pooled Financing RB (TN Municipal Bond Fund) Series 1999 (LOC: Bank of America, NA)		0.55%			07/06/12		6,620,000		6,620,000

Grundy Cnty IDB
Limited Obligation RB (Toyo Seat USA) Series 2001 (LOC: Comerica Bank)		0.28%			07/06/12		1,000,000		1,000,000

Jackson Health, Educational & Housing Facility Board
M/F Housing RB (Patrician Terrace Apts) Series 2005 (LOC: Fannie Mae)		0.20%			07/06/12		2,200,000		2,200,000

Johnson City Health & Educational Facilities Board
Hospital RB (Mountain States Health Alliance) Series 20011A (LOC: US Bank, NA)		0.19%			07/06/12		14,115,000		14,115,000

Hospital RB (Mountain States Health Alliance) Series 20011B (LOC: PNC Bank NA)		0.19%			07/06/12		13,330,000		13,330,000

Knoxville
Wastewater System RB Series 2005A (LIQ: Deutsche Bank AG)	a	0.26%			07/06/12		16,270,000		16,270,000

Lower Colorado River Auth
Transmission Contract Refunding RB Series 2001A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		11,075,000		11,075,000

Memphis & Shelby Cnty IDB
Exempt Facilities RB (Nucor) Series 2007		0.24%			07/06/12		28,000,000		28,000,000

Metro Government of Nashville & Davidson Cnty Health & Educational Facilities Board
M/F Housing RB (Burning Tree Apts) Series 2005 (LOC: Fannie Mae)		0.20%			07/06/12		7,860,000		7,860,000

M/F Housing RB (Jackson Grove Apts) Series 2006A (LOC: BMO Harris Bank NA)		0.21%			07/06/12		10,000,000		10,000,000

M/F Housing Refunding RB (Brentwood Oaks Apts) Series 1991 (LOC: Fannie Mae)		0.19%			07/06/12		11,320,000		11,320,000

Montgomery Cnty Public Building Auth
Pooled Financing RB (TN Cnty Loan Pool) Series 1995 (LOC: Bank of America, NA)	a	0.55%			07/06/12		1,250,000		1,250,000

Pooled Financing RB (TN Cnty Loan Pool) Series 1997 (LOC: Bank of America, NA)		0.55%			07/06/12		27,800,000		27,800,000

Sevier Cnty Public Building Auth
Public Improvement Bonds Series VA1 (LOC: Branch Banking & Trust Co)		0.26%			07/06/12		11,140,000		11,140,000

Shelby Cnty Health, Educational & Housing Facilities Board
M/F Housing RB (Courtyard Apts I) Series 1997A (LOC: PNC Bank NA)		0.28%			07/06/12		4,000,000		4,000,000

RB (Methodist Healthcare) Series 2004B (GTY: Berkshire Hathaway Assurance Corp /LIQ: JPMorgan Chase Bank, NA)	a	0.33%			07/06/12		7,495,000		7,495,000

									198,945,000

Texas 6.4%
Austin
Water & Wastewater System Refunding RB Series 2006A (LIQ: Wells Fargo & Co)	a	0.20%			07/06/12		17,064,000		17,064,000

Water & Wastewater System Refunding RB Series 2008 (LOC: Bank of Tokyo Mitsubishi UFJ, Ltd; Sumitomo Mitsui Banking Corp)		0.16%			07/06/12		5,360,000		5,360,000

44 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Calhoun Cnty Navigation IDA
Port RB (Formosa Plastics) Series 2011C (LOC: Sumitomo Mitsui Banking Corp)		0.20%			07/06/12		7,500,000		7,500,000

Calhoun Port Auth
Environmental Facilities RB (Formosa Plastics) Series 2011B (LOC: Sumitomo Mitsui Banking Corp)		0.20%			07/06/12		33,800,000		33,800,000

Capital Industrial Development Corp
Solid Waste Disposal RB (Texas Disposal Systems) Series 2001 (LOC: Union Bank, NA)		0.26%			07/06/12		4,715,000		4,715,000

Clear Creek ISD
Unlimited Tax Refunding Bonds Series 2008A (GTY: Texas Permanent School Fund /LIQ: Bank of America, NA)	a	0.30%			07/06/12		5,000,000		5,000,000

Cypress-Fairbanks ISD
Unlimited Tax GO Bonds Series 2005A (GTY: Texas Permanent School Fund /LIQ: Wells Fargo & Co)	a	0.20%			07/06/12		14,610,000		14,610,000

Dallam Cnty Industrial Development Corp
Economic Development RB (Hillmar Cheese) Series 2010 (LOC: CoBank, ACB)		0.20%			07/06/12		20,000,000		20,000,000

Economic Development Refunding RB (Hilmar Cheese) Series 2009 (LOC: CoBank, ACB)		0.20%			07/06/12		24,500,000		24,500,000

Dallas Area Rapid Transit
Sr Lien Sales Tax RB Series 2008 (LIQ: Citibank, NA)	a	0.21%			07/06/12		22,100,000		22,100,000

El Paso Cnty Hospital District
GO Bonds Series 2008A (LIQ: JPMorgan Chase Bank, NA)	a	0.20%			07/06/12		13,395,000		13,395,000

Frisco ISD
Unlimited Tax GO Refunding Bonds Series 2011A (GTY: Texas Permanent School Fund /LIQ: Citibank, NA)	a	0.18%			07/06/12		6,310,000		6,310,000

Grand Prairie IDA
IDRB (NTA Leasing) Series 1994 (LOC: JPMorgan Chase Bank, NA)		0.22%			07/06/12		280,000		280,000

Gulf Coast Waste Disposal Auth
Environmental Facilities RB (ExxonMobil) Series 2000		0.14%			07/02/12		2,000,000		2,000,000

Hale Cnty Industrial Development Corp
Economic Development RB (Silverado Texas Developments) Series 2008 (LOC: Rabobank Nederland)		0.30%			07/06/12		5,400,000		5,400,000

IDRB (Struikmans Ramona) Series 2003 (LOC: Rabobank Nederland)		0.30%			07/06/12		3,000,000		3,000,000

IDRB (White River Ranch) Series 2004 (LOC: Wells Fargo Bank, NA)		0.26%			07/06/12		4,000,000		4,000,000

Harris Cnty Cultural Education Facilities Finance Corp
Hospital Refunding RB (Memorial Hermann Healthcare System) Series 2008D3 (LOC: Northern Trust Co)		0.16%			07/06/12		5,000,000		5,000,000

Hospital Refunding RB (Memorial Hermann Healthcare) Series 2010B (GTY/LIQ: Royal Bank of Canada)	a	0.18%			07/06/12		11,000,000		11,000,000

Harris Cnty Housing Finance Corp
M/F Housing RB (Dominion Square Apts) Series 2000 (LOC: PNC Bank NA)		0.28%			07/06/12		2,825,000		2,825,000

M/F Housing RB (Village At Cornerstone Apts) Series 2004 (LOC: Fannie Mae)		0.20%			07/06/12		7,820,000		7,820,000

Houston
Public Improvement Refunding Bonds Series 2005E & 2006D (LIQ: Barclays Bank Plc)	a	0.20%			07/06/12		7,940,000		7,940,000

Houston Combined Utility System
First Lien Refunding RB Series 2004A (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.18%			07/06/12		9,900,000		9,900,000

First Lien Refunding RB Series 2004A (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.20%			07/06/12		13,895,000		13,895,000

See financial notes 45

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
First Lien Refunding RB Series 2004A&2007B (LIQ: Deutsche Bank AG)	a	0.25%			07/06/12		4,130,000		4,130,000

First Lien Refunding RB Series 2004B3 (LOC: Sumitomo Mitsui Banking Corp)		0.16%			07/06/12		21,200,000		21,200,000

First Lien Refunding RB Series 2009A (LIQ: Citibank, NA)	a	0.18%			07/06/12		4,500,000		4,500,000

Houston ISD
Limited Tax GO Bonds Series 2008 (GTY: Texas Permanent School Fund /LIQ: Citibank, NA)	a	0.21%			07/06/12		9,900,000		9,900,000

Limited Tax GO Bonds Series 2008 (GTY: Texas Permanent School Fund /LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		4,995,000		4,995,000

Houston Port Auth
Unlimited Tax Refunding Bonds Series 2008A (LIQ: JPMorgan Chase Bank, NA)	a	0.24%			07/06/12		12,610,000		12,610,000

Jewett Economic Development Corp
IDRB (Nucor Corp) Series 2003		0.24%			07/06/12		6,200,000		6,200,000

Leander Independent School District, Texas
Unlimited Tax GO Refunding Bonds Series 2008 (GTY: Texas Permanent School Fund /LIQ: Citibank, NA)	a	0.19%			07/06/12		4,950,000		4,950,000

Lower Colorado River Auth
Refunding RB Series 1999A (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.19%			07/06/12		4,340,000		4,340,000

Lower Neches Valley Auth
RB (ExxonMobil) Series 2012		0.14%			07/02/12		11,050,000		11,050,000

Matagorda Cnty Navigation District No. 1
Pollution Control Refunding RB (CP&L) Series 2001A (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		7,495,000		7,495,000

North Central Texas Health Facilities Development Corp
Hospital RB (Children’s Medical Center of Dallas) Series 2009 (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		17,490,000		17,490,000

North East ISD
Unlimited Tax Bonds Series 2007A (GTY: Texas Permanent School Fund /LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		9,045,000		9,045,000

Unlimited Tax Bonds Series 2007A (GTY: Texas Permanent School Fund /LIQ: US Bank, NA)	a	0.16%			07/06/12		5,455,000		5,455,000

North Texas Tollway Auth
Special Projects System RB Series 2011A (LIQ: Citibank, NA)	a	0.19%			07/06/12		12,715,000		12,715,000

Special Projects System RB Series 2011D (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		10,000,000		10,000,000

Northwest ISD
Unlimited Tax Refunding Bonds Series 2005 (GTY: Texas Permanent School Fund /LIQ: US Bank, NA)	a	0.16%			07/06/12		9,000,000		9,000,000

Panhandle-Plains Higher Education Auth
Student Loan RB Series 2010-1A4 (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		17,190,000		17,190,000

Parmer Cnty Industrial Development Corp
RB (Visser Family Trust) Series 2008 (LOC: Wells Fargo Bank, NA)		0.33%			07/06/12		1,600,000		1,600,000

Pasadena ISD
Unlimited Tax GO Bonds Series 2006 (GTY: Texas Permanent School Fund /LIQ: Barclays Bank Plc)	a	0.20%			07/06/12		3,000,000		3,000,000

Plano ISD
Unlimited Tax GO Bonds Series 2012 (GTY: Texas Permanent School Fund /LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		10,845,000		10,845,000

Red River Education Finance Corp
Higher Education RB (Texas Christian Univ) Series 2007 (LIQ: Deutsche Bank AG)	a	0.25%			07/06/12		13,695,000		13,695,000

46 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Round Rock ISD
Unlimited Tax Bonds Series 2007 (GTY: Texas Permanent School Fund /LIQ: Wells Fargo & Co)	a	0.20%			07/06/12		11,055,000		11,055,000

San Antonio
Electric & Gas System RB New Series 2005 (LIQ: Bank of America, NA)	a	0.26%			07/06/12		10,270,000		10,270,000

Electric & Gas System RB New Series 2006A (LIQ: Bank of America, NA)	a	0.26%			07/06/12		23,000,000		23,000,000

Electric & Gas System Refunding RB New Series 2009A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		9,020,000		9,020,000

Electric & Gas System Refunding RB New Series 2012 (LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		8,330,000		8,330,000

Water System Refunding RB Series 2005 (LIQ: Citibank, NA)	a	0.18%			07/06/12		18,555,000		18,555,000

Southeast Housing Finance Corp
M/F Housing RB (Piedmont Apts) Series 2006 (LOC: Fannie Mae)		0.19%			07/06/12		13,575,000		13,575,000

Spring Branch ISD
Limited Tax Bonds Series 2008 (GTY: Texas Permanent School Fund /LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		1,500,000		1,500,000

Tarrant Cnty Cultural Education Facilities Finance Corp
Hospital RB (Baylor Health Care) Series 2011B	b	0.31%			01/25/13		10,000,000		10,000,000

Hospital RB (Baylor Health Care) Series 2011C (LOC: Northern Trust Co)		0.16%			07/06/12		3,500,000		3,500,000

RB (Texas Health Resources) Series 2008A		0.16%			07/06/12		21,200,000		21,200,000

Refunding RB (Texas Health Resources) Series 2007A (LIQ: Bank of America, NA)	a	0.30%			07/06/12		303,000		303,000

Tarrant Regional Water District
Water Transmission Facilities Contract RB Series 2012 (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		12,400,000		12,400,000

Texas
GO Bonds Series 2002A2		0.23%			07/06/12		14,350,000		14,350,000

GO Bonds Series 2006D (LIQ: Sumitomo Mitsui Banking Corp)		0.18%			07/06/12		9,965,000		9,965,000

GO Bonds Series 2008A (LIQ: Bank of Tokyo Mitsubishi UFJ, Ltd)		0.23%			07/06/12		21,045,000		21,045,000

GO Bonds Series 2011A (LIQ: Wells Fargo Bank, NA)	a	0.24%			07/06/12		17,655,000		17,655,000

GO Bonds Series 2012C (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		9,925,000		9,925,000

GO Refunding Bonds Series 2006 (LIQ: State Street Bank & Trust Company, NA)		0.20%			07/06/12		48,725,000		48,725,000

Texas Dept of Housing & Community Affairs
Housing Refunding RB (Addison Park Apts) Series 2008 (LOC: Freddie Mac)		0.23%			07/06/12		13,435,000		13,435,000

M/F Housing RB (Atascocita Pines Apts) Series 2005 (LOC: Fannie Mae)		0.20%			07/06/12		11,400,000		11,400,000

M/F Housing RB (Creek Point Apts) Series 2000 (LOC: Freddie Mac)		0.20%			07/06/12		5,960,000		5,960,000

M/F Housing Refunding RB (Alta Cullen Apts) Series 2008 (LOC: Freddie Mac)		0.20%			07/06/12		12,500,000		12,500,000

S/F Mortgage RB Series 2007B (LIQ: Wells Fargo & Co)	a	0.23%			07/06/12		10,000,000		10,000,000

Texas Transportation Commission
GO Mobility Fund Bonds Series 2005A (LIQ: Citibank, NA)	a	0.19%			07/06/12		3,790,000		3,790,000

GO Mobility Fund Bonds Series 2005B (LIQ: Royal Bank of Canada)		0.18%			07/06/12		7,170,000		7,170,000

GO Mobility Fund Bonds Series 2007 (LIQ: Bank of America, NA)	a	0.26%			07/06/12		8,721,000		8,721,000

GO Mobility Fund Bonds Series 2007 (LIQ: Citibank, NA)	a	0.18%			07/06/12		5,700,000		5,700,000

See financial notes 47

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Texas Water Development Board
Water Financial Assistance GO Bonds Series 2007D (LIQ: Deutsche Bank AG)	a	0.26%			07/06/12		5,800,000		5,800,000

Trinity River Auth
Solid Waste Disposal RB (Community Waste Disposal) Series 1999 (LOC: Wells Fargo Bank, NA)		0.23%			07/06/12		1,370,000		1,370,000

Waco Educational Finance Auth
RB (Baylor Univ) Series 2012 (LIQ: Barclays Bank Plc)	a	0.20%			07/06/12		21,150,000		21,150,000

									820,188,000

Utah 0.4%
Clearfield
M/F Housing Refunding RB (Oakstone Apts) Series 2008 (LOC: Fannie Mae)		0.22%			07/06/12		12,100,000		12,100,000

Riverton
Hospital Refunding RB (IHC Health Services) Series 2012A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		9,000,000		9,000,000

Salt Lake Cnty Housing Auth
M/F Housing Refunding RB (Bridgeside Landing Apts) Series 2008 (LOC: Fannie Mae)		0.22%			07/06/12		14,225,000		14,225,000

Utah State Board of Regents
Student Loan RB Sr Series 2011A (LOC: Royal Bank of Canada)		0.19%			07/06/12		9,708,000		9,708,000

									45,033,000

Vermont 0.5%
Vermont Economic Development Auth
IDRB (Agri-Mark) Series 1999A (LOC: CoBank, ACB)		0.26%			07/06/12		17,000,000		17,000,000

IDRB (Agri-Mark) Series 1999B (LOC: CoBank, ACB)		0.26%			07/06/12		1,000,000		1,000,000

Vermont Student Assistance Corp
Education Loan RB Sr Series 2008B1 (LOC: Bank of New York Mellon)		0.18%			07/06/12		30,000,000		30,000,000

Education Loan RB Sr Series 2008C2 (LOC: State Street Bank & Trust Company, NA)		0.17%			07/06/12		10,800,000		10,800,000

									58,800,000

Virginia 0.6%
Fairfax Cnty IDA
Health Care RB (Inova Health) Series 2010A1	b	0.30%			01/25/13		6,000,000		6,000,000

Harrisonburg IDA
Refunding RB (Mennonite Retirement Community) Series 2006B (LOC: Branch Banking & Trust Co)		0.19%			07/06/12		3,005,000		3,005,000

King George Cnty
Solid Waste Disposal Facility RB (Garnet) Series 1996 (LOC: JPMorgan Chase Bank, NA)		0.20%			07/06/12		3,700,000		3,700,000

Norfolk Economic Development Auth
Hospital Facilities RB (Sentara Healthcare) Series 2010B	b	0.30%			01/25/13		10,905,000		10,905,000

Hospital Facilities RB (Sentara Healthcare) Series 2012A	b	0.26%			01/25/13		16,000,000		16,000,000

Smyth Cnty IDA
Hospital RB (Mountain States Health Alliance) Series 2011C (LOC: US Bank, NA)		0.16%			07/06/12		12,990,000		12,990,000

Hospital RB (Mountain States Health Alliance) Series 2011D (LOC: Mizuho Corporate Bank Ltd)		0.19%			07/06/12		12,675,000		12,675,000

Virginia Commonwealth Transportation Board
Transportation Capital Projects RB Series 2012 (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		4,030,000		4,030,000

48 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Virginia Housing Development Auth
Commonwealth Mortgage Bonds Series 2005C1 (LIQ: Citibank, NA)	a	0.24%			07/06/12		5,100,000		5,100,000

Virginia Port Auth
Port Facilities RB Series 2006 (GTY: Berkshire Hathaway Assurance Corp /LIQ: JPMorgan Chase Bank, NA)	a	0.22%			07/06/12		6,285,000		6,285,000

									80,690,000

Washington 3.0%
Central Puget Sound Regional Transit Auth
Sales Tax Bonds Series 2007A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		7,855,000		7,855,000

Douglas Cnty Development Corp
RB (Executive Flight) Series 1998 (LOC: Bank of America, NA)		0.72%			07/06/12		4,900,000		4,900,000

King Cnty
Sewer RB Series 2007 (LIQ: Citibank, NA)	a	0.18%			07/06/12		31,250,000		31,250,000

Sewer RB Series 2011 (LIQ: Citibank, NA)	a,d	0.18%			07/06/12		2,200,000		2,200,000

Sewer Refunding RB Series 2010 (LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		17,035,000		17,035,000

Sewer Refunding RB Series 2011B (LIQ: Barclays Bank Plc)	a	0.20%			07/06/12		7,785,000		7,785,000

Sewer Refunding RB Series 2011B (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		6,950,000		6,950,000

King Cnty Housing Auth
Housing RB (Landmark Apts) Series 2002 (LOC: Bank of America, NA)		0.29%			07/06/12		16,700,000		16,700,000

Olympia
Solid Waste RB (LeMay Enterprises) Series 1999 (LOC: Bank of America, NA)		0.28%			07/06/12		2,120,000		2,120,000

Pierce Cnty Economic Development Corp
IDRB (McFarland Cascade) Series 1996 (LOC: US Bank, NA)		0.21%			07/06/12		3,945,000		3,945,000

Port of Seattle
RB Series 2003B (LIQ: Royal Bank of Canada)	a	0.21%			07/06/12		5,000,000		5,000,000

RB Series 2007B (LIQ: Wells Fargo Bank, NA)	a	0.24%			07/06/12		5,750,000		5,750,000

Seattle
Drainage & Wastewater RB 2008 (LIQ: Citibank, NA)	a	0.18%			07/06/12		8,090,000		8,090,000

Seattle Housing Auth
RB (CHHIP & HRG Projects) Series 1996 (LOC: Bank of America, NA)		0.45%			07/06/12		2,810,000		2,810,000

Univ of Washington
General Refunding RB Series 2012A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		7,455,000		7,455,000

Washington
GO Bonds Series 2007A (LIQ: Citibank, NA)	a	0.18%			07/06/12		5,445,000		5,445,000

GO Bonds Series 2007C (LIQ: Citibank, NA)	a	0.18%			07/06/12		11,690,000		11,690,000

GO Bonds Series 2009E (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		5,000,000		5,000,000

GO Bonds Series 2011B (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		4,000,000		4,000,000

Motor Vehicle Fuel Tax GO Bonds Series 2003C (LIQ: Morgan Stanley Bank NA)	a	0.27%			07/06/12		6,685,000		6,685,000

Motor Vehicle Fuel Tax GO Bonds Series 2012C (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		5,000,000		5,000,000

Motor Vehicle Fuel Tax GO Bonds Series R2010C (LIQ: Citibank, NA)	a	0.19%			07/06/12		6,370,000		6,370,000

Washington Economic Development Finance Auth
Solid Waste Disposal RB (Heirborne Investments) Series 2006K (LOC: Union Bank, NA)		0.24%			07/06/12		5,155,000		5,155,000

See financial notes 49

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Solid Waste Disposal RB (Specialty Chemical Products) Series 2007 (LOC: Bank of America, NA)		0.32%			07/06/12		20,800,000		20,800,000

Solid Waste Disposal RB (Waste Management) Series 2000C (LOC: Bank of America, NA)		0.28%			07/06/12		17,900,000		17,900,000

Solid Waste Disposal RB (Waste Management) Series 2000I (LOC: Bank of America, NA)		0.28%			07/06/12		7,235,000		7,235,000

Washington Health Care Facilities Auth
RB (Catholic Health Initiatives) Series 2008D (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		7,505,000		7,505,000

RB (Providence Health & Services) Series 2010A (LIQ: Bank of America, NA)	a	0.26%			07/06/12		10,180,000		10,180,000

RB (Seattle Children’s Hospital) Series 2012A (LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		13,870,000		13,870,000

Washington State Housing Finance Commission
M/F Housing RB (Anchor Village Apts) Series 1997 (LOC: Fannie Mae)		0.21%			07/06/12		10,750,000		10,750,000

M/F Housing RB (Brittany Park Phase II) Series 1998A (LOC: Fannie Mae)		0.21%			07/06/12		3,480,000		3,480,000

M/F Housing RB (Forest Creek Apts) Series 2006 (LOC: Fannie Mae)		0.20%			07/06/12		13,680,000		13,680,000

M/F Housing RB (Highlander Apts) Series 2004A (LOC: Freddie Mac)		0.20%			07/06/12		7,000,000		7,000,000

M/F Housing RB (Lakewood Meadows Apts) Series 2000A (LOC: Fannie Mae)		0.21%			07/06/12		6,280,000		6,280,000

M/F Housing RB (Merrill Gardens at Queen Anne) Series 2004A (LOC: Fannie Mae)		0.18%			07/06/12		25,180,000		25,180,000

M/F Housing RB (Merrill Gardens) Series 1997A (LOC: Fannie Mae)		0.21%			07/06/12		6,125,000		6,125,000

M/F Housing RB (Parkview Apts) Series 2008 (LOC: Freddie Mac)		0.23%			07/06/12		3,060,000		3,060,000

M/F Housing RB (Rainier Court Apts) Series 2003A (LOC: Fannie Mae)		0.20%			07/06/12		12,750,000		12,750,000

M/F Housing RB (Seasons Apts) Series 2006 (LOC: Fannie Mae)		0.21%			07/06/12		19,940,000		19,940,000

M/F Housing RB (Woodrose Apts) Series 1999A (LOC: Fannie Mae)		0.21%			07/06/12		6,750,000		6,750,000

M/F Mortgage RB (Canyon Lakes) Series 1993 (LOC: Wells Fargo Bank, NA)		0.21%			07/06/12		3,445,000		3,445,000

M/F Mortgage RB (Meridian Court Apts) Series 1996 (LOC: Fannie Mae)		0.21%			07/06/12		6,700,000		6,700,000

M/F RB (Cedar Ridge Retirement) Series 2005A (LOC: Federal Home Loan Bank)		0.21%			07/06/12		4,030,000		4,030,000

Yakima Cnty
IDRB (Cowiche Growers) Series 1998 (LOC: Bank of America, NA)		0.70%			07/06/12		400,000		400,000

									386,250,000

West Virginia 0.9%
Cabell Cnty
Univ Facilities RB (Provident Group-Marshall Properties) Series 2010A (LOC: Bank of America, NA)		0.36%			07/06/12		19,995,000		19,995,000

West Virginia Economic Development Auth
Solid Waste Disposal Facilities Refunding RB (Appalachian Power Co-Mountaineer) Series 2008A (LOC: Mizuho Corporate Bank Ltd)		0.16%			07/06/12		75,000,000		75,000,000

50 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
West Virginia Housing Development Fund
HFA Bonds Series 2008B (LIQ: Branch Banking & Trust Co)		0.21%			07/06/12		10,000,000		10,000,000

West Virginia Water Development Auth
Water Development RB Series 2005A (GTY/LIQ: US Bank, NA)	a	0.20%			07/06/12		9,110,000		9,110,000

									114,105,000

Wisconsin 0.8%
Oostburg
IDRB (Dutchland Plastics) Series 2007 (LOC: Federal Home Loan Bank)		0.19%			07/06/12		3,040,000		3,040,000

Red Cedar
IDRB (Fairmount Minerals) Series 2007 (LOC: PNC Bank NA)		0.24%			07/06/12		10,000,000		10,000,000

Waukesha Cnty Housing Auth
Housing RB (Alta Mira) Series 2004 (LOC: Federal Home Loan Bank)		0.18%			07/06/12		6,070,000		6,070,000

Wisconsin
GO Bonds Series 2006C (LIQ: Citibank, NA)	a	0.23%			07/06/12		4,990,000		4,990,000

GO Bonds Series 2011A (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		8,455,000		8,455,000

Transportation RB Series 2007A (GTY/LIQ: Wells Fargo & Co)	a	0.18%			07/06/12		8,070,000		8,070,000

Wisconsin Health & Educational Facilities Auth
RB (Children’s Hospital) Series 2008B (LIQ: Barclays Bank Plc)	a	0.20%			07/06/12		6,620,000		6,620,000

RB (Newcastle Place) Series 2007B (LOC: Bank of America, NA)		0.29%			07/06/12		8,525,000		8,525,000

RB (Upland Hills Health) Series 2006C (LOC: US Bank, NA)		0.19%			07/06/12		9,750,000		9,750,000

Refunding RB (Reedsburg Area Medical Center) Series 2010B (LOC: BMO Harris Bank NA)		0.18%			07/06/12		15,000,000		15,000,000

Wisconsin Housing & Economic Development Auth
Homeownership RB Series 2006E (LIQ: Citibank, NA)	a	0.24%			07/06/12		1,705,000		1,705,000

Housing RB Series 2008A (LIQ: JPMorgan Chase Bank, NA)		0.28%			07/06/12		6,070,000		6,070,000

Housing RB Series 2008E (LIQ: JPMorgan Chase Bank, NA)		0.28%			07/06/12		2,985,000		2,985,000

Housing RB Series 2012B (LIQ: Federal Home Loan Bank)		0.18%			07/06/12		12,000,000		12,000,000

									103,280,000

Wyoming 0.3%
Green River
RB (Rhone-Poulenc) Series 1994 (LOC: Comerica Bank)		0.28%			07/06/12		11,400,000		11,400,000

Wyoming Community Development Auth
Housing RB 2005 Series 2 (LIQ: Fannie Mae; Freddie Mac)		0.20%			07/06/12		3,670,000		3,670,000

Housing RB 2005 Series 7 (LIQ: Fannie Mae; Freddie Mac)		0.20%			07/06/12		3,855,000		3,855,000

Housing RB 2007 Series 1 (LIQ: Bank of America, NA)	a	0.40%			07/06/12		4,955,000		4,955,000

Wyoming Student Loan Corp
Refunding RB Sr Series 2010A1 (LOC: Royal Bank of Canada)		0.17%			07/06/12		475,000		475,000

Refunding RB Sr Series 2010A3 (LOC: Royal Bank of Canada)		0.17%			07/06/12		20,000,000		20,000,000

									44,355,000

Other Investments 13.0%
BlackRock Muni New York Intermediate Duration Fund
Variable Rate Demand Preferred Shares Series W7 (GTY/LIQ: Morgan Stanley Bank NA)	a	0.38%			07/06/12		14,500,000		14,500,000

BlackRock Municipal Bond Investment Trust
Variable Rate Demand Preferred Shares Series W7 (GTY/LIQ: Morgan Stanley Bank NA)	a	0.38%			07/06/12		8,500,000		8,500,000

See financial notes 51

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
BlackRock Municipal Intermediate Duration Fund
Variable Rate Demand Preferred Shares Series W7 (GTY/LIQ: JPMorgan Chase Bank, NA)	a	0.28%			07/06/12		65,600,000		65,600,000

BlackRock MuniHoldings Investment Quality Fund
Variable Rate Demand Preferred Shares Series W7 (GTY/LIQ: Bank of America, NA)	a	0.43%			07/06/12		44,000,000		44,000,000

BlackRock MuniHoldings New Jersey Quality Fund
Variable Rate Demand Preferred Shares Series W7 (GTY/LIQ: Bank of America, NA)	a	0.43%			07/06/12		67,000,000		67,000,000

BlackRock MuniHoldings New York Quality Fund
Variable Rate Demand Preferred Shares Series W7 (GTY/LIQ: Bank of America, NA)	a	0.43%			07/06/12		61,100,000		61,100,000

BlackRock MuniYield Fund
Variable Rate Demand Preferred Shares Series W7 (GTY/LIQ: Bank of America, NA)	a	0.43%			07/06/12		92,500,000		92,500,000

BlackRock MuniYield Quality Fund
Variable Rate Demand Preferred Shares Series W7 (GTY/LIQ: Morgan Stanley Bank NA)	a	0.38%			07/06/12		79,000,000		79,000,000

BlackRock New York Municipal Income Quality Trust
Variable Rate Demand Preferred Shares Series W7 (GTY/LIQ: Morgan Stanley Bank NA)	a	0.38%			07/06/12		20,000,000		20,000,000

BlackRock New York Municipal Income Trust II
Variable Rate Demand Preferred Shares Series W7 (GTY/LIQ: Morgan Stanley Bank NA)	a	0.38%			07/06/12		16,800,000		16,800,000

Nuveen California AMT-Free Municipal Income Fund
Variable Rate Demand Preferred Shares Series 5 (GTY/LIQ: Morgan Stanley Bank NA)	a	0.38%			07/06/12		5,000,000		5,000,000

Nuveen California Dividend Advantage Municipal Fund
Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Morgan Stanley Bank NA)	a	0.38%			07/06/12		5,000,000		5,000,000

Nuveen Dividend Advantage Municipal Fund 2
Variable Rate Demand Preferred Shares Series 2 (GTY/LIQ: Deutsche Bank AG)	a	0.31%			07/06/12		98,000,000		98,000,000

Nuveen Insured Municipal Opportunity Fund
Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Citibank, NA)	a	0.30%			07/06/12		150,000,000		150,000,000

Nuveen Insured New York Dividend Advantage Municipal Fund
Variable Rate Demand Preferred Shares Series 2 (GTY/LIQ: Deutsche Bank AG)	a	0.30%			07/06/12		29,000,000		29,000,000

Nuveen Insured Premium Income Municipal Fund 2
Variable Rate Demand Preferred Shares Series 2 (GTY/LIQ: Deutsche Bank AG)	a	0.31%			07/06/12		119,500,000		119,500,000

Nuveen Investment Quality Municipal Fund
Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Barclays Bank Plc)	a	0.30%			07/06/12		36,500,000		36,500,000

Nuveen Municipal Advantage Fund
Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: JPMorgan Chase Bank, NA)	a	0.28%			07/06/12		177,400,000		177,400,000

Nuveen Municipal Market Opportunity Fund
Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Deutsche Bank AG)	a	0.35%			07/06/12		80,000,000		80,000,000

Nuveen New Jersey Investment Quality Municipal Fund
Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Citibank, NA)	a	0.30%			07/06/12		30,000,000		30,000,000

Nuveen New Jersey Premium Income Municipal Fund
Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Citibank, NA)	a	0.30%			07/06/12		20,000,000		20,000,000

52 See financial notes

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued

Face

Issuer

Effective

Maturity

Amount

Value

Type of Security, Series

Footnotes

Rate

Maturity

Date

($)

Nuveen New York Investment Quality Municipal Fund

Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Citibank, NA)

0.28%

07/06/12

20,000,000

Nuveen New York Performance Plus Municipal Fund

Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Deutsche Bank AG)

0.32%

07/06/12

20,000,000

Nuveen New York Quality Income Municipal Fund

Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Citibank, NA)

0.28%

07/06/12

31,000,000

Nuveen New York Select Quality Municipal Fund

Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Citibank, NA)

0.28%

07/06/12

31,000,000

Nuveen Pennsylvania Investment Quality Municipal Fund

Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Citibank, NA)

0.30%

07/06/12

14,000,000

Nuveen Pennsylvania Premium Income Municipal Fund 2

Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Citibank, NA)

0.30%

07/06/12

12,000,000

Nuveen Premier Insured Municipal Income Fund

Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Citibank, NA)

0.30%

07/06/12

24,000,000

Nuveen Premier Municipal Income Fund

Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Barclays Bank Plc)

0.30%

07/06/12

14,000,000

Nuveen Premium Income Municipal Fund 2

Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Barclays Bank Plc)

0.30%

07/06/12

87,000,000

Nuveen Quality Income Municipal Fund

Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: JPMorgan Chase Bank, NA)

0.28%

07/06/12

100,000,000

Nuveen Select Quality Municipal Fund

Variable Rate Demand Preferred Shares Series 1 (GTY/LIQ: Barclays Bank Plc)

0.30%

07/06/12

89,500,000

1,661,900,000

Total Variable-Rate Securities

(Cost $9,743,639,589)

9,743,639,589

End of Investments.

At 06/30/12, the tax basis cost of the fund’s investments was $12,927,487,626.


a		Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registrations, normally to qualified institutional buyers. At the period end, the value of these amounted to $5,349,567,589 or 41.9% of net assets.
b		Illiquid security. At the period end, the value of these amounted to $132,600,000 or 1.0% of net assets.
c		Delayed-delivery security.
d		All or a portion of this security is designated as collateral for delayed-delivery securities.

See financial notes 53

Schwab Municipal Money Fund

Portfolio Holdings (Unaudited) continued


BAN —		Bond anticipation note
COP —		Certificate of participation
CP —		Commercial paper
CSD —		Central school district
GO —		General obligation
GTY —		Guaranty agreement
HFA —		Housing finance agency/authority
HRA —		Housing & redevelopment authority
IDA —		Industrial development agency/authority
IDB —		Industrial development board
IDRB —		Industrial development revenue bond
ISD —		Independent school district
LIQ —		Liquidity agreement
LOC —		Letter of credit
M/F —		Multi-family
RAN —		Revenue anticipation note
RB —		Revenue bond
SD —		School district
S/F —		Single-family
TAN —		Tax anticipation note
TRAN —		Tax and revenue anticipation note
UFSD —		Union free school district
UHSD —		Union high school district
USD —		Unified school district

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

54 See financial notes

Schwab Municipal Money Fund

Statements of

Changes in Net Assets

For the current and prior report periods
Figures for the current period are unaudited



Operations


1/1/12-6/30/12				1/1/11-12/31/11
Net investment income		$661,983			$2,893,955
Net realized gains	+	448,788			1,325,624

Increase in net assets from operations		1,110,771			4,219,579

Distributions to Shareholders

Distributions from net investment income
Sweep Shares		(498,496	)		(992,877	)
Value Advantage Shares		(43,194	)		(102,016	)
Select Shares		(23,742	)		(78,716	)
Institutional Shares	+	(96,551	)		(1,720,346	)

Total distributions from net investment income		(661,983	)		(2,893,955	)


Distributions from net realized gains
Sweep Shares		—			(408,783	)
Value Advantage Shares		—			(36,014	)
Select Shares		—			(20,607	)
Institutional Shares	+	—			(83,103	)

Total distributions from net realized gains		—			(548,507	)

Total distributions		(661,983	)		(3,442,462	)

Transactions in Fund Shares*

Shares Sold
Sweep Shares		15,596,069,470			36,709,932,761
Value Advantage Shares		108,455,037			285,623,183
Select Shares		52,030,497			160,271,452
Institutional Shares	+	190,775,671			1,704,442,844

Total shares sold		15,947,330,675			38,860,270,240


Shares Reinvested
Sweep Shares		438,737			1,357,933
Value Advantage Shares		26,026			124,660
Select Shares		15,858			80,189
Institutional Shares	+	71,856			1,436,011

Total shares reinvested		552,477			2,998,793


Shares Redeemed
Sweep Shares		(16,107,956,974	)		(36,349,101,125	)
Value Advantage Shares		(207,396,145	)		(573,723,632	)
Select Shares		(120,673,586	)		(355,146,579	)
Institutional Shares	+	(472,489,630	)		(2,458,761,287	)

Total shares redeemed		(16,908,516,335	)		(39,736,732,623	)

Net transactions in fund shares		(960,633,183	)		(873,463,590	)

Net Assets

Beginning of period		13,734,547,676			14,607,234,149
Total decrease	+	(960,184,395	)		(872,686,473	)

End of period		$12,774,363,281			$13,734,547,676


*		Transactions took place at $1.00 per share; figures for share quantities are the same as for dollars.

See financial notes 57

Schwab AMT Tax-Free Money Fund™

Financial Statements

Financial Highlights


	1/1/12–			1/1/11–			1/1/10–			1/1/09–			1/1/08–			1/1/07–
Sweep Shares	6/30/12*			12/31/11			12/31/10			12/31/09			12/31/08			12/31/07


Per-Share Data ($)

Net asset value at beginning of period		1.00			1.00			1.00			1.00			1.00			1.00

Income (loss) from investment operations:
Net investment income (loss)		0.00	¹		0.00	¹		0.00	¹		0.00	¹		0.02			0.03
Net realized and unrealized gains (losses)		0.00	¹		0.00	¹		0.00	¹		0.00	¹		—			—

Total from investment operations		0.00	¹		0.00	¹		0.00	¹		0.00	¹		0.02			0.03
Less distributions:
Distributions from net investment income		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.02	)		(0.03	)
Distributions from net realized gains		—			(0.00	)¹		(0.00	)¹		(0.00	)¹		—			—

Total distributions		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.02	)		(0.03	)

Net asset value at end of period		1.00			1.00			1.00			1.00			1.00			1.00

Total return (%)		0.01	²		0.01			0.02			0.23			1.78			3.07

Ratios/Supplemental Data (%)

Ratios to average net assets:
Net operating expenses		0.21	^3,4,5		0.29	⁴		0.36	⁴		0.55	^4,6		0.63	⁶		0.63
Gross operating expenses		0.63	^3,5		0.69			0.70			0.73			0.74			0.75
Net investment income (loss)		0.01	³		0.01			0.01			0.20			1.74			3.02
Net assets, end of period ($ x 1,000,000)		2,874			3,139			2,940			2,899			2,446			1,680


	1/1/12–			1/1/11–			1/1/10–			1/1/09–			1/1/08–			1/1/07–
Value Advantage Shares	6/30/12*			12/31/11			12/31/10			12/31/09			12/31/08			12/31/07


Per-Share Data ($)

Net asset value at beginning of period		1.00			1.00			1.00			1.00			1.00			1.00

Income (loss) from investment operations:
Net investment income (loss)		0.00	¹		0.00	¹		0.00	¹		0.00	¹		0.02			0.03
Net realized and unrealized gains (losses)		0.00	¹		0.00	¹		0.00	¹		0.00	¹		—			—

Total from investment operations		0.00	¹		0.00	¹		0.00	¹		0.00	¹		0.02			0.03
Less distributions:
Distributions from net investment income		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.02	)		(0.03	)
Distributions from net realized gains		—			(0.00	)¹		(0.00	)¹		(0.00	)¹		—			—

Total distributions		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.00	)¹		(0.02	)		(0.03	)

Net asset value at end of period		1.00			1.00			1.00			1.00			1.00			1.00

Total return (%)		0.01	²		0.01			0.02			0.33			1.95			3.26

Ratios/Supplemental Data (%)

Ratios to average net assets:
Net operating expenses		0.21	^3,4,5		0.29	⁴		0.36	⁴		0.45	^4,7		0.46	⁷		0.45
Gross operating expenses		0.50	^3,5		0.56			0.57			0.60			0.61			0.63
Net investment income (loss)		0.01	³		0.01			0.01			0.30			1.88			3.19
Net assets, end of period ($ x 1,000,000)		693			791			1,066			1,950			1,901			1,224

* Unaudited.

¹ Per-share amount was less than $0.01.

² Not annualized.

³ Annualized.

⁴ Reflects the effect of a voluntary expense waiver in excess of the contractual expense limitation. (See financial note 5)

⁵ The ratio of gross operating expenses would have been 0.70% for Sweep Shares and 0.57% for Value Advantage Shares, respectively, if the State filing fee reimbursement had not been included. There was no impact on the ratio of net operating expenses. (See financial note 5)

⁶ The ratio of net operating expenses would have been 0.54% for 2009 and 0.62% for 2008, respectively, if certain non-routine expenses (participation fees for the Treasury’s Temporary Guarantee Program for Money Market Funds) had not been incurred.

⁷ The ratio of net operating expenses would have been 0.43% for 2009 and 0.45% for 2008, respectively, if certain non-routine expenses (participation fees for the Treasury’s Temporary Guarantee Program for Money Market Funds) had not been incurred.

58 See financial notes

Schwab AMT Tax-Free Money Fund

Portfolio Holdings as of June 30, 2012 (Unaudited)

This section shows all the securities in the fund’s portfolio and their values as of the report date.

Cost

Value

Holdings by Category

($)

.3%

Fixed-Rate Securities

902,453,871

.8%

Variable-Rate Securities

2,702,914,500

101

.1%

Total Investments

3,605,368,371

.1)%

Other Assets and Liabilities, Net

(37,963,196

)

100

.0%

Net Assets

3,567,405,175

Face

Issuer

Effective

Maturity

Amount

Value

Type of Security, Series

Footnotes

Rate

Maturity

Date

($)

Fixed-Rate Securities 25.3% of net assets

Alabama 0.3%

Huntsville Health Care Auth

CP Notes

0.17%

08/03/12

10,000,000

10,000,000

Alaska 0.1%

North Slope Borough

GO Bonds Series 2010A

3.00%

06/30/12

3,000,000

3,000,000

Arizona 0.6%

Phoenix Civic Improvement Corp

Wastewater System Revenue BAN Series 2009 (LOC: Bank of America, NA)

0.27%

07/17/12

10,000,000

Yuma Municipal Property Corp

Utility System Sr Lien RB Series 2007 (GTY/LIQ: US Bank, NA)

0.38%

12/06/12

10,775,000

20,775,000

California 4.4%

California Health Facilities Financing Auth

RB (Kaiser Permanente) Series 2006E

0.26%

08/06/12

30,000,000

RB (Providence Health & Services) Series 2009B (LIQ: Wells Fargo & Co)

0.27%

11/08/12

14,500,000

California Statewide Communities Development Auth

RB (Kaiser Permanente) Series 2004E

0.23%

09/20/12

5,000,000

RB (Kaiser Permanente) Series 2004K

0.25%

03/14/13

8,200,000

RB (Kaiser Permanente) Series 2009B2

0.26%

02/05/13

45,000,000

RB (Kaiser Permanente) Series 2009B3

0.25%

11/01/12

34,700,000

Carlsbad USD

GO Bonds Series 2009B (LIQ: Wells Fargo & Co)

0.27%

10/18/12

655,000

East Bay Municipal Utility District

Water System Extendible CP

0.22%

08/14/12

03/15/13

11,400,000

See financial notes 59

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
William S. Hart UHSD
GO Bonds Series A (GTY/LIQ: Wells Fargo & Co)	a	0.28%			01/24/13		6,975,000		6,975,000

									156,430,000

Colorado 0.2%
Colorado Health Facilities Auth
RB (Catholic Health Initiatives) Series 2009A		3.00%			07/01/12		785,000		785,000

RB (Catholic Health Initiatives) Series 2009B1		5.00%			11/08/12		2,000,000		2,033,070

Park 70 Metropolitan District
GO Bonds Series 2008 (LOC: US Bank, NA)		0.80%			12/01/12		3,965,000		3,965,000

									6,783,070

Delaware 0.4%
Delaware Health Facilities Auth
RB (Christiana Care Health Services) Series 2003		5.25%			10/01/12		1,300,000		1,315,661

RB (Christiana Care Health Services) Series 2010C		0.19%			07/25/12		12,500,000		12,500,000

									13,815,661

District of Columbia 0.5%
District of Columbia
Income Tax Secured Refunding RB Series 2009C		5.00%			12/01/12		845,000		861,251

Washington Convention & Sports Auth
Sr Lien Dedicated Tax RB (Convention Center Hotel) Series 2010A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.30%			01/24/13		16,460,000		16,460,000

									17,321,251

Florida 2.2%
Escambia Cnty Health Facilities Auth
RB (Ascension Health) Series 2003A		5.25%			11/15/12		150,000		152,691

Florida Dept of Transportation
Right-of-Way Acquisition & Bridge Construction Refunding Bonds Series 2003A		5.00%			07/01/12		320,000		320,000

Right-of-Way Acquisition & Bridge Construction Refunding Bonds Series 2005B		6.38%			07/01/12		1,100,000		1,100,000

Right-of-Way Acquisition & Bridge Construction Refunding Bonds Series 2006A		4.00%			07/01/12		200,000		200,000

Turnpike RB Series 2006A (LIQ: Wells Fargo & Co)	a	0.20%			07/19/12		11,935,000		11,935,000

Highlands Cnty Health Facilities Auth
Hospital RB (Adventist Health /Sunbelt) Series 2002		3.95%			09/01/12		2,125,000		2,137,541

Hillsborough Cnty
CP Series A (LOC: State Street Bank & Trust Company, NA)		0.18%			07/12/12		8,110,000		8,110,000

JEA
Electric System RB Series Three 2008C3 (LIQ: Royal Bank of Canada)		0.18%			09/05/12		25,000,000		25,000,000

Electric System Sub RB Series 2009D		5.00%			10/01/12		500,000		505,802

Electric System Sub RB Series 2010B		3.00%			10/01/12		1,025,000		1,031,644

Orlando Utilities Commission
Utility System RB Series 2007		5.00%			10/01/12		500,000		505,892

Utility System Refunding RB Series 2009B (LIQ: Wells Fargo & Co)	a	0.27%			10/18/12		10,115,000		10,115,000

Utility System Refunding RB Series 2009C		5.00%			10/01/12		1,000,000		1,011,672

Orlando-Orange Cnty Expressway Auth
RB Series 2007A (GTY/LIQ: US Bank, NA)	a	0.38%			12/06/12		14,820,000		14,820,000

									76,945,242

60 See financial notes

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued

Face

Issuer

Effective

Maturity

Amount

Value

Type of Security, Series

Footnotes

Rate

Maturity

Date

($)

Georgia 0.0%

Georgia

GO Bonds Series 2008B

5.00%

07/01/12

200,000

200,000

Hawaii 0.1%

Honolulu

GO Bonds Series 2004B

5.00%

07/01/12

160,000

GO Bonds Series 2009C

4.00%

04/01/13

2,035,000

2,092,000

2,252,000

Illinois 0.3%

Chicago

GO Refunding Bonds Series 2005B

5.00%

01/01/13

840,000

859,141

Sales Tax RB Series 2011A (LIQ: Wells Fargo Bank, NA)

0.27%

10/11/12

3,735,000

Illinois Health Facilities Auth

Refunding RB (Univ of Chicago Hospitals & Health System) Series 2003

5.00%

08/15/12

2,705,000

2,719,840

Illinois Regional Transportation Auth

GO Bonds Series 2000A

6.25%

07/01/12

3,345,000

10,658,981

Kansas 0.2%

Wyandotte Cnty/Kansas City Unified Government

Utility System Refunding RB Series 2004

5.65%

09/01/12

8,930,000

9,008,584

Kentucky 0.8%

Kentucky Higher Ed Student Loan Corp

Student Loan RB Series 2010-1A2 (GTY/LIQ: Wells Fargo Bank, NA)

0.27%

10/11/12

29,995,000

29,995,000

Louisiana 0.1%

St. John the Baptist Parish

RB (Marathon Oil Corp) Series 2007A (GTY/LIQ: Wells Fargo Bank, NA)

0.27%

10/11/12

4,675,000

4,675,000

Maryland 0.8%

Maryland Health & Higher Educational Facilities Auth

CP Revenue Notes (John Hopkins Health) Series E (LOC: Bank of America, NA)

0.22%

07/17/12

10,000,000

CP Revenue Notes (John Hopkins Health) Series E (LOC: Bank of America, NA)

0.21%

07/19/12

8,000,000

CP Revenue Notes (John Hopkins Health) Series F (LOC: Bank of America, NA)

0.21%

07/18/12

10,000,000

28,000,000

Massachusetts 0.0%

Massachusetts

GO Bonds Consolidated Loan Series 2002D

5.25%

08/01/12

445,000

446,829

GO Bonds Consolidated Loan Series 2007C

4.00%

08/01/12

250,000

250,765

697,594

See financial notes 61

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)

Michigan 0.5%
Michigan Housing Development Auth
Rental Housing RB Series 2010A (LIQ: Wells Fargo Bank, NA)	a	0.30%			01/17/13		8,205,000		8,205,000

Michigan State Hospital Finance Auth
Refunding & Project RB (Ascension Health) Series 2010F4		1.35%			04/01/13		175,000		176,372

Sub RB (Ascension Health) Series 2005A4		5.00%			11/01/12		9,690,000		9,838,376

									18,219,748

Nevada 0.3%
Clark Cnty
Airport Passenger Facility Charge RB Series 2007A2 (GTY/LIQ: US Bank, NA)	a	0.38%			01/17/13		4,795,000		4,795,000

Las Vegas Valley Water District
GO Limited Tax Water CP Series 2004A (LIQ: JPMorgan Chase Bank, NA)		0.20%			08/08/12		3,000,000		3,000,000

Nevada System of Higher Education
Univ RB Series 2011A		3.00%			07/01/12		4,225,000		4,225,000

									12,020,000

New Jersey 0.4%
Burlington Cnty Bridge Commission
Solid Waste Project Notes Series 2011		2.00%			10/10/12		4,400,000		4,418,482

Cherry Hill Township
General & Sewer Capital BAN Series 2011		1.50%			10/17/12		6,850,000		6,871,930

Stafford Township
BAN 2012		1.50%			05/21/13		2,426,500		2,451,166

									13,741,578

New York 3.2%
Baldwinsville Central SD
BAN 2011		1.25%			07/26/12		8,750,000		8,755,015

Grand Island
BAN 2011		1.25%			10/17/12		7,380,000		7,397,775

Metropolitan Transportation Auth
Transportation RB Series 2008B1		2.00%			11/15/12		10,000,000		10,057,795

Transportation RB Series 2011D		2.50%			11/15/12		8,430,000		8,496,307

Transportation Revenue BAN Series CP2B (LOC: Barclays Bank Plc)		0.20%			08/10/12		4,760,000		4,760,000

New York City
GO Bonds Fiscal 2003 Series B		5.50%			08/01/12		1,000,000		1,004,454

GO Bonds Fiscal 2003 Series C		5.50%			08/01/12		100,000		100,429

GO Bonds Fiscal 2004 Series A		5.00%			08/01/12		205,000		205,803

GO Bonds Fiscal 2004 Series G		5.00%			08/01/12		755,000		757,872

GO Bonds Fiscal 2005 Series H		5.00%			08/01/12		250,000		250,984

GO Bonds Fiscal 2007 Series C1		5.00%			01/01/13		100,000		102,294

GO Bonds Fiscal 2007 Series D		5.00%			02/01/13		370,000		380,172

GO Bonds Fiscal 2008 Series A1		5.00%			08/01/12		300,000		301,181

GO Bonds Fiscal 2008 Series C1		5.00%			10/01/12		285,000		288,283

GO Bonds Fiscal 2008 Series C1 (ESCROW)		5.00%			10/01/12		15,000		15,173

GO Bonds Fiscal 2008 Series E		5.00%			08/01/12		640,000		642,521

GO Bonds Fiscal 2008 Series G		5.00%			08/01/12		500,000		501,915

GO Bonds Fiscal 2008 Series I1		4.00%			02/01/13		100,000		102,018

62 See financial notes

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


							Face
Issuer			Effective		Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity		Date		($)		($)
GO Bonds Fiscal 2011 Series B		4.00%				08/01/12		1,475,000		1,479,511

New York City Municipal Water Finance Auth
CP Series 6		0.20%				08/03/12		10,000,000		10,000,000

Extendible CP Series 7		0.24%				08/22/12		10,000,000		10,000,000

New York Liberty Development Corp
Liberty Refunding RB (World Trade Center Towers 3&4) Series 2011A (ESCROW)		0.28%				11/08/12		20,000,000		20,000,000

New York State Dormitory Auth
Mental Health Services Facilities RB Series 1996B		6.00%				08/15/12		200,000		201,337

New York State Thruway Auth
General Revenue BAN Series 2011A		2.00%				07/12/12		15,000,000		15,007,409

New York State Urban Development Corp
Service Contract Refunding RB Series 2010B		5.00%				01/01/13		450,000		460,507

State Personal Income Tax RB Series 2011A		5.00%				03/15/13		160,000		165,170

North Tonawanda SD
BAN 2011		1.25%				09/20/12		4,964,000		4,973,485

Triborough Bridge & Tunnel Auth
General RB (MTA Bridges & Tunnels) Series 2009A1		4.00%				11/15/12		500,000		506,623

Warwick Valley CSD
BAN 2011		1.25%				07/20/12		7,000,000		7,002,566

										113,916,599

Ohio 1.0%
Cuyahoga Cnty
RB (Cleveland Clinic) Series 2004B2 (LIQ: JPMorgan Chase Bank, NA)		0.19%				08/08/12		12,165,000		12,165,000

Ohio
BAN Series 2012A		0.35%				05/30/13		15,000,000		15,000,000

Port of Greater Cincinnati Development Auth
Special Obligation Development RB (Springdale Public Infrastructure) Series 2006 (LOC: US Bank, NA)		0.65%				02/01/13		8,575,000		8,575,000

										35,740,000

Pennsylvania 0.3%
Univ of Pittsburgh
PITT Asset Notes Series 2012		2.00%				07/02/13		5,000,000		5,089,599

Washington Cnty Hospital Auth
Hospital RB (Washington Hospital) Series 2007A (LOC: Wells Fargo Bank, NA)		0.47%		07/01/12		07/01/13		4,350,000		4,350,000

										9,439,599

South Carolina 0.3%
South Carolina Public Service Auth
Refunding Revenue Obligations Series 2009D		5.00%				01/01/13		1,155,000		1,181,665

Refunding Revenue Obligations Series 2010B		5.00%				01/01/13		1,900,000		1,944,885

Refunding Revenue Obligations Series 2002D		5.25%				01/01/13		980,000		1,004,100

Revenue Obligations Refunding Series 2002A (ESCROW)		5.50%				07/01/12		3,190,000		3,221,900

Revenue Obligations Series 2009E		3.00%				01/01/13		600,000		608,039

Revenue Obligations Series 2009E		5.00%				01/01/13		1,900,000		1,944,445

Revenue Refunding Obligations Series 2007B		5.00%				01/01/13		100,000		102,291

										10,007,325

See financial notes 63

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)

Tennessee 0.4%
Metro Government of Nashville & Davidson Cnty
Water & Sewer Revenue CP Series A (LIQ: US Bank, NA)		0.20%			08/07/12		15,000,000		15,000,000

Texas 7.7%
Austin
Water & Wastewater System Refunding RB Series 2009A (LIQ: Wells Fargo & Co)	a,d	0.27%			11/29/12		20,115,000		20,115,000

Cypress-Fairbanks ISD
Unlimited Tax GO Bonds Series 2005A (GTY: Texas Permanent School Fund)		5.00%			02/15/13		475,000		488,560

Dallas
GO CP Notes Series 2010A (LIQ: JPMorgan Chase Bank, NA)		0.25%			08/08/12		5,000,000		5,000,000

GO CP Notes Series 2010B (LIQ: US Bank, NA)		0.25%			08/08/12		5,000,000		5,000,000

GO CP Notes Series 2010C (LIQ: Wells Fargo Bank, NA)		0.25%			08/08/12		1,000,000		1,000,000

Waterworks & Sewer System CP Series D (LIQ: State Street Bank & Trust Company, NA; California State Teachers Retirement Systems)		0.21%			07/27/12		16,645,000		16,645,000

Dallas ISD
Unlimited Tax Refunding Bonds Series 2010 (GTY: Texas Permanent School Fund)		4.00%			02/15/13		275,000		281,152

Dallas-Fort Worth International Airport
Joint Revenue Improvement Bonds Series 2010A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.27%			10/11/12		24,830,000		24,830,000

Dickinson ISD
Unlimited Tax GO Bonds Series 2008A (GTY: Texas Permanent School Fund /LIQ: JPMorgan Chase Bank, NA)		0.50%			08/01/12		6,200,000		6,199,994

Harris Cnty
Toll Road Sr Lien Refunding RB Series 2011A		2.00%			08/15/12		6,000,000		6,012,585

Toll Road Sub Lien Unlimited Tax Refunding RB Series 2007C (LIQ: Wells Fargo & Co)	a	0.20%			07/19/12		12,910,000		12,910,000

Unlimited Tax Road Refunding Bonds Series 2011A		2.00%			10/01/12		1,000,000		1,004,425

Harris Cnty Cultural Education Facilities Finance Corp
Refunding RB (Methodist Hospital) Series 2009C1		0.28%			07/10/12		20,000,000		20,000,000

Refunding RB (Methodist Hospital) Series 2009C1		0.20%			10/03/12		12,000,000		12,000,000

Refunding RB (Methodist Hospital) Series 2009C2		0.28%			08/06/12		7,000,000		7,000,000

Refunding RB (Methodist Hospital) Series 2009C2		0.22%			11/08/12		6,480,000		6,480,000

Houston
GO CP Series E1 (LIQ: JPMorgan Chase Bank, NA)		0.20%			08/08/12		10,000,000		10,000,000

Houston Combined Utility System
CP Series B1 (LOC: JPMorgan Chase Bank, NA)		0.25%			07/19/12		10,000,000		10,000,000

Houston ISD
Limited Tax GO Bonds Series 2008 (GTY: Texas Permanent School Fund)		5.00%			02/15/13		475,000		488,811

Jefferson Cnty Industrial Development Corp
RB (Jefferson Refinery) Series 2010 (LOC: Branch Banking & Trust Co)		0.45%			09/27/12		38,700,000		38,700,000

Lower Colorado River Auth
CP Notes Series A (LIQ: JPMorgan Chase Bank, NA)		0.19%			07/11/12		11,375,000		11,375,000

San Antonio
Electric & Gas Systems RB New Series 2006A		5.00%			02/01/13		250,000		256,708

Electric & Gas Systems Refunding RB New Series 2003		5.25%			02/01/13		720,000		740,448

Electric & Gas Systems Refunding RB New Series 2008A		5.50%			02/01/13		1,050,000		1,081,794

64 See financial notes

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Tax & Revenue Certificates of Obligation Series 2006 (LIQ: Wells Fargo & Co)	a	0.20%			07/19/12		9,038,000		9,038,000

Water System Refunding RB Series 2011A		3.00%			05/15/13		650,000		665,274

Tarrant Cnty Cultural Education Facilities Finance Corp
RB (Texas Health Resources) Series 2010 (LIQ: Wells Fargo Bank, NA)	a	0.27%			10/11/12		17,555,000		17,555,000

Texas
TRAN Series 2011A		2.50%			08/30/12		1,700,000		1,706,044

Texas Municipal Power Agency
CP Notes Series 2005 (LOC: Bank of America, NA; JPMorgan Chase Bank, NA)		0.20%			08/03/12		21,000,000		21,000,000

Texas Public Finance Auth
Revenue CP Notes Series 2003 (LIQ: Barclays Bank Plc)		0.19%			08/08/12		1,000,000		1,000,000

Revenue CP Notes Series 2003 (LIQ: Barclays Bank Plc)		0.20%			08/21/12		6,360,000		6,360,000

United ISD
Unlimited Tax Refunding Bonds Series 2012 (GTY: Texas Permanent School Fund)		2.00%			08/15/12		575,000		576,192

									275,509,987

Washington 0.2%
Energy Northwest
Electric Refunding RB (Columbia Generating Station) Series 2003A		5.50%			07/01/12		950,000		950,000

Electric Refunding RB (Columbia Generating Station) Series 2008D		5.00%			07/01/12		310,000		310,000

Electric Refunding RB (Project No. 1) Series 2006A		5.00%			07/01/12		395,000		395,000

Electric Refunding RB (Project No. 1) Series 2010A		3.00%			07/01/12		100,000		100,000

Electric Refunding RB (Project No. 2) Series 1992A		6.30%			07/01/12		350,000		350,000

Electric Refunding RB (Project No. 3) Series 2003A		5.50%			07/01/12		970,000		970,000

Electric Refunding RB (Project No. 3) Series 2008D		5.00%			07/01/12		1,025,000		1,025,000

Port of Seattle
Refunding RB Series 2011A		2.00%			09/01/12		1,680,000		1,684,812

Washington
GO Bonds Series 2005A		5.00%			07/01/12		785,000		785,000

GO Bonds Series 2005D		5.00%			01/01/13		200,000		204,597

GO Bonds Series 2008C		4.25%			01/01/13		270,000		275,198

GO Refunding Bonds Series R2006A		5.00%			07/01/12		1,000,000		1,000,000

Motor Vehicle Fuel Tax GO Bonds Series 2009B		5.00%			07/01/12		150,000		150,000

Motor Vehicle Fuel Tax GO Refunding Bonds Series R2004D		4.50%			01/01/13		100,000		102,045

									8,301,652

Total Fixed-Rate Securities
(Cost $902,453,871)									902,453,871




Variable-Rate Securities 75.8% of net assets

Alabama 5.9%
Alabama
GO Bonds Series 2007A (LIQ: Wells Fargo & Co)	a	0.20%			07/06/12		6,503,000		6,503,000

Alabama Municipal Funding Corp
Municipal Funding Notes Series 2006 (LOC: US Bank, NA)		0.17%			07/06/12		11,515,000		11,515,000

Municipal Funding Notes Series 2008A, 2009B&2010A (LOC: US Bank, NA)	d	0.17%			07/06/12		39,210,000		39,210,000

See financial notes 65

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Alabama Public School & College Auth
Capital Improvement Bonds Series 2007 (GTY/LIQ: State Street Bank & Trust Company, NA)	a	0.21%			07/06/12		28,655,000		28,655,000

Alabama Special Care Facility Financing Auth
RB (Ascension Health) Series 2006C2 (LIQ: Bank of America, NA)	a	0.30%			07/06/12		6,180,000		6,180,000

Mobile Cnty IDA
Gulf Opportunity Zone RB (SSAB Alabama) Series 2011 (LOC: Svenska Handelsbanken AB)		0.26%			07/06/12		30,000,000		30,000,000

Tuscaloosa Cnty IDA
Gulf Opportunity Zone Bonds (Hunt Refining) Series 2008A (LOC: JPMorgan Chase Bank, NA)		0.25%			07/06/12		10,000,000		10,000,000

Gulf Opportunity Zone Bonds (Hunt Refining) Series 2008C (LOC: JPMorgan Chase Bank, NA)		0.25%			07/06/12		10,000,000		10,000,000

Gulf Opportunity Zone Bonds (Hunt Refining) Series 2011A (LOC: JPMorgan Chase Bank, NA)	d	0.25%			07/06/12		30,000,000		30,000,000

Gulf Opportunity Zone Bonds (Hunt Refining) Series 2011H (LOC: Bank of Nova Scotia)	d	0.20%			07/06/12		25,000,000		25,000,000

Gulf Opportunity Zone Bonds (Hunt Refining) Series 2011I (LOC: Bank of Nova Scotia)		0.20%			07/06/12		12,000,000		12,000,000

									209,063,000

Arizona 1.2%
Apache Cnty IDA
IDRB (Tucson Electric Power) Series 1983A (LOC: US Bank, NA)		0.17%			07/06/12		11,800,000		11,800,000

Arizona School Facilities Board
State School Improvement Refunding RB Series 2005 (LIQ: Barclays Bank Plc)	a	0.20%			07/06/12		9,900,000		9,900,000

Arizona Transportation Board
Highway Sub RB Series 2011A (LIQ: Deutsche Bank AG)	a	0.25%			07/06/12		6,695,000		6,695,000

Chandler IDA
RB (Tri-City Baptist Church) Series 2010 (LOC: Comerica Bank)		0.23%			07/06/12		4,800,000		4,800,000

Maricopa Cnty IDA
Sr Living Facilities Refunding RB (Christian Care Retirements Apts) Series 2005A (LOC: Fannie Mae)		0.17%			07/06/12		10,735,000		10,735,000

									43,930,000

Arkansas 0.2%
Fort Smith
Bonds (Mitsubishi Power Systems Americas) Series 2010 (LOC: Bank of Tokyo Mitsubishi UFJ, Ltd)		0.20%			07/06/12		8,000,000		8,000,000

California 3.9%
Bay Area Toll Auth
Toll Bridge RB Series 2009F1 (LIQ: Bank of America, NA)	a	0.26%			07/06/12		8,870,000		8,870,000

California Health Facilities Financing Auth
RB (St. Joseph Health) Series 2011A (LOC: Union Bank, NA)		0.16%			07/06/12		10,600,000		10,600,000

California Infrastructure & Economic Development Bank
RB (Casa Loma College) Series 2009 (LOC: Comerica Bank)		0.24%			07/06/12		3,600,000		3,600,000

California Pollution Control Financing Auth
RB (Hilmar Cheese) Series 2010 (LOC: CoBank, ACB)		0.20%			07/06/12		5,285,000		5,285,000

Solid Waste Disposal RB (BLT Enterprises of Fremont) Series 2010 (LOC: Union Bank, NA)		0.21%			07/06/12		11,915,000		11,915,000

California Statewide Communities Development Auth
RB (Sea Crest School) Series 2008 (LOC: Comerica Bank)		0.28%			07/06/12		4,365,000		4,365,000

66 See financial notes

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Refunding RB (Los Angeles Cnty Museum of Art) Series 2008A (LOC: Union Bank, NA)		0.14%			07/06/12		3,330,000		3,330,000

Coast Community College District
GO Bonds Series 2006C (LIQ: Wells Fargo & Co)	a	0.16%			07/06/12		17,675,000		17,675,000

Los Angeles Cnty Metropolitan Transportation Auth
Second Sr Sales Tax RB Series 2004A (LIQ: Citibank, NA)	a	0.20%			07/02/12		1,400,000		1,400,000

Los Angeles Community College District
GO Bonds Series 2007A (LIQ: Citibank, NA)	a	0.21%			07/06/12		8,700,000		8,700,000

Los Angeles USD
GO Bonds Series 2009D&2009I (LIQ: Citibank, NA)	a	0.21%			07/06/12		13,005,000		13,005,000

GO Refunding Bonds Series 2007A2 (LIQ: Wells Fargo & Co)	a	0.17%			07/06/12		5,000,000		5,000,000

Los Angeles Wastewater System
Wastewater System Refunding RB Series 2005A (LIQ: Citibank, NA)	a	0.20%			07/06/12		8,185,000		8,185,000

Oxnard Financing Auth
Lease RB Series 2006 (LOC: Union Bank, NA)		0.17%			07/06/12		10,720,000		10,720,000

Wastewater RB Series 2004B (LOC: Union Bank, NA)		0.17%			07/06/12		10,290,000		10,290,000

Peralta Community College District
GO Bonds Series 2009C (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		14,500,000		14,500,000

Sequoia UHSD
GO Bonds Series 2005B (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		2,025,000		2,025,000

Univ of California
General RB Series 2007J (LIQ: Citibank, NA)	a	0.20%			07/02/12		800,000		800,000

									140,265,000

Colorado 2.8%
Aspen Valley Hospital District
RB Series 2003 (LOC: Federal Home Loan Bank)		0.18%			07/06/12		10,335,000		10,335,000

Buffalo Ridge Metropolitan District
GO Refunding Bonds Series 2009 (LOC: US Bank, NA)		0.19%			07/06/12		9,210,000		9,210,000

Colorado Educational & Cultural Facilities Auth
RB (Northwestern College) Series 2008A (LOC: BMO Harris Bank NA)		0.19%			07/06/12		6,000,000		6,000,000

Refunding RB (Nature Conservancy) Series 2012		0.18%			07/06/12		11,600,000		11,600,000

Colorado Health Facilities Auth
RB (Catholic Health Initiatives) Series 2006C3 (LIQ: Citibank, NA)	a,c	0.21%			07/06/12		13,015,000		13,015,000

Colorado Springs
Hospital (Memorial Health) Refunding RB Series 2009 (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		5,340,000		5,340,000

Commerce City Northern Infrastructure General Improvement District
GO Bonds Series 2006 (LOC: US Bank, NA)		0.19%			07/06/12		1,250,000		1,250,000

GO Bonds Series 2008 (LOC: US Bank, NA)		0.19%			07/06/12		8,625,000		8,625,000

Lafayette
M/F Housing RB (The Traditions At Lafayette) Series 2011A (LOC: Wells Fargo Bank, NA)		0.21%			07/06/12		6,700,000		6,700,000

Meridian Ranch Metropolitan District
GO Limited Tax Refunding Bonds Series 2009 (LOC: US Bank, NA)		0.19%			07/06/12		3,110,000		3,110,000

Parker Automotive Metropolitan District
GO Bonds Series 2005 (LOC: US Bank, NA)		0.19%			07/06/12		900,000		900,000

Sheridan Redevelopment Agency
Tax Increment Refunding RB (South Santa Fe Dr) Series 2011A1 (LOC: JPMorgan Chase Bank, NA)		0.22%			07/06/12		10,000,000		10,000,000

Univ of Colorado
Univ Enterprise RB Series 2011A (LIQ: Citibank, NA)	a	0.20%			07/06/12		8,000,000		8,000,000

See financial notes 67

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Univ Enterprise Refunding RB Series 2005A (LIQ: US Bank, NA)	a	0.16%			07/06/12		6,150,000		6,150,000

									100,235,000

Connecticut 0.1%
Connecticut
GO Bonds Series 2005D (LIQ: JPMorgan Chase Bank, NA)	a	0.20%			07/06/12		3,590,000		3,590,000

Connecticut HFA
Housing Mortgage Finance Program Series 2009A2 (LIQ: JPMorgan Chase Bank, NA)		0.19%			07/02/12		1,715,000		1,715,000

									5,305,000

District of Columbia 1.4%
District of Columbia
GO Bonds Series 2007C (LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		8,337,000		8,337,000

GO Bonds Series 2008E (GTY: Berkshire Hathaway Assurance Corp /LIQ: Bank of America, NA)	a	0.30%			07/06/12		3,305,000		3,305,000

District of Columbia Water & Sewer Auth
Public Utility RB Series 1998 (LIQ: Citibank, NA)	a	0.21%			07/06/12		18,590,000		18,590,000

Public Utility Sub Lien Refunding RB Series 2008A (LIQ: Citibank, NA)	a	0.21%			07/06/12		9,360,000		9,360,000

Washington Convention Center Auth
Sr Lien Dedicated Tax Refunding RB Series 2007A (GTY/LIQ: US Bank, NA)	a	0.17%			07/06/12		10,890,000		10,890,000

									50,482,000

Florida 5.9%
Collier Cnty Educational Facilities Auth
Limited Obligation RB (Ave Maria Univ) Series 2006 (LOC: Comerica Bank)		0.19%			07/02/12		8,750,000		8,750,000

Florida Housing Finance Corp
M/F Mortgage RB (Autumn Place Apts) Series 2008K1 (LOC: Federal Home Loan Bank)		0.20%			07/06/12		6,335,000		6,335,000

Florida State Board of Education
Public Education Capital Outlay Bonds Series 2006B (LIQ: US Bank, NA)	a	0.16%			07/06/12		9,990,000		9,990,000

Highlands Cnty Health Facilities Auth
Hospital RB (Adventist Health/Sunbelt) Series 2006C&G (LIQ: Citibank, NA)	a	0.20%			07/06/12		3,375,000		3,375,000

Jacksonville
Transportation Refunding RB Series 2012A (GTY/LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		5,380,000		5,380,000

Jacksonville Economic Development Commission
Educational Facilities RB (Episcopal HS) Series 2002 (LOC: Bank of America, NA)		0.39%			07/06/12		4,945,000		4,945,000

JEA
Electric System RB Series Three 2006A (LIQ: JPMorgan Chase Bank, NA)	a	0.20%			07/06/12		6,220,000		6,220,000

Water & Sewer System Sub RB Series 2008B1 (LIQ: State Street Bank & Trust Company, NA)	c	0.16%			07/06/12		17,285,000		17,285,000

Miami-Dade Cnty
Water & Sewer System RB Series 2010 (LIQ: Citibank, NA)	a	0.21%			07/06/12		13,000,000		13,000,000

Miami-Dade Cnty IDA
RB (United Way) Series 2008 (LOC: Federal Home Loan Bank)		0.19%			07/06/12		10,715,000		10,715,000

RB (Univ of Miami Life Science & Technology Park) Series 2010 (LOC: Manufacturers & Traders Trust Co)		0.23%			07/06/12		20,000,000		20,000,000

68 See financial notes

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Orlando Utilities Commission
Utility System RB Series 2009A (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		13,840,000		13,840,000

Utility System Refunding RB Series 2009B (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		14,790,000		14,790,000

Utility System Refunding RB Series 2011A	b	0.29%			01/25/13		5,000,000		5,000,000

Orlando-Orange Cnty Expressway Auth
RB Series 2007A (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.19%			07/06/12		5,000,000		5,000,000

Palm Beach Cnty
RB (Norton Gallery & School of Art) Series 1995 (LOC: Northern Trust Co)		0.25%			07/06/12		3,385,000		3,385,000

Refunding RB (Pine Crest Preparatory School) Series 2008 (LOC: Bank of America, NA)		0.33%			07/06/12		17,400,000		17,400,000

Polk Cnty
Utility System RB Series 2004A (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.19%			07/06/12		14,305,000		14,305,000

South Florida Water Management District
COP Series 2006 (LIQ: JPMorgan Chase Bank, NA)	a	0.20%			07/06/12		4,000,000		4,000,000

South Miami Health Facilities Auth
Hospital RB (Baptist Health South Florida) Series 2007 (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		21,995,000		21,995,000

Univ of South Florida Research Foundation
RB Series 2004A (LOC: Bank of America, NA)		0.37%			07/06/12		5,000,000		5,000,000

									210,710,000

Georgia 0.9%
Barstow Cnty Development Auth
Pollution Control RB (Georgia Power Plant Bowen) First Series 2009		0.25%			07/06/12		25,000,000		25,000,000

Georgia
GO Bonds Series 2007E (LIQ: Wells Fargo & Co)	a	0.20%			07/06/12		4,623,000		4,623,000

GO Refunding Bonds Series 2005B (LIQ: Barclays Bank Plc)	a	0.20%			07/06/12		1,420,000		1,420,000

Georgia Ports Auth
RB (Garden City Terminal) Series 2007 (LOC: Branch Banking & Trust Co)		0.19%			07/06/12		1,610,000		1,610,000

									32,653,000

Hawaii 0.4%
Hawaii
RB (Hawaiian Electric) Series 2009 (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		6,200,000		6,200,000

Hawaii State Housing Finance & Development Corp
M/F Housing RB (Ko’oloa ’ula Apts) Series 2012B (LOC: Federal Home Loan Bank)		0.18%			07/06/12		4,900,000		4,900,000

Honolulu
GO Bonds Series 2005AC&D (LIQ: Citibank, NA)	a	0.20%			07/06/12		2,320,000		2,320,000

									13,420,000

Idaho 0.3%
Shoshone Cnty Industrial Development Corp
Recovery Zone Facility RB (Essential Metals Corp) Series 2010A (LOC: Bank of Montreal)		0.23%			07/06/12		11,600,000		11,600,000

Illinois 7.1%
Bloomington
GO Bonds Series 2004 (LIQ: JPMorgan Chase Bank, NA)		0.24%			07/06/12		9,050,000		9,050,000

See financial notes 69

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Bloomington-Normal Airport Auth
GO Bonds (Central Illinois Regional Airport) Series 2012 (LOC: Northern Trust Co)		0.24%			07/06/12		5,000,000		5,000,000

Bolingbrook
Tax Increment Jr Lien RB Series 2005 (LOC: Sumitomo Mitsui Banking Corp)		0.43%			07/06/12		7,425,000		7,425,000

Chicago
General Airport (O’Hare) Third Lien RB Series 2005D (LOC: Barclays Bank Plc)		0.17%			07/06/12		4,500,000		4,500,000

GO Bonds (City Colleges of Chicago) Series 1999 (LIQ: Deutsche Bank AG)	a	0.24%			07/06/12		5,060,000		5,060,000

GO Project & Refunding Bonds Series 2006A (LIQ: JPMorgan Chase Bank, NA)	a	0.28%			07/06/12		215,000		215,000

GO Project & Refunding Bonds Series 2007A (LIQ: Barclays Bank Plc)	a	0.21%			07/06/12		15,000,000		15,000,000

GO Refunding Bonds Series 2009A (LIQ: JPMorgan Chase Bank, NA)	a	0.28%			07/06/12		5,000,000		5,000,000

Chicago Board of Education
Unlimited Tax GO Refunding Bonds Series 2009A2 (LOC: Northern Trust Co)		0.16%			07/06/12		5,900,000		5,900,000

Unlimited Tax GO Refunding Bonds Series 2010F (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		15,355,000		15,355,000

Cook Cnty
RB (Catholic Theological Union) Series 2005 (LOC: BMO Harris Bank NA)		0.21%			07/06/12		1,490,000		1,490,000

Harris Cnty Health Facilities Development Corp
Hospital RB (Memorial Hermann Healthcare) Series 2008A1 (GTY/LIQ: Royal Bank of Canada)	a	0.18%			07/06/12		13,795,000		13,795,000

Hopedale
RB (Hopedale Medical Foundation) Series 2009 (LOC: Federal Home Loan Bank)		0.23%			07/06/12		3,975,000		3,975,000

Illinois Finance Auth
IDRB (Radiological Society of North America) Series 1997 (LOC: JPMorgan Chase Bank, NA)		0.28%			07/06/12		975,000		975,000

RB (Advocate Health Care) Series 2011B	b	0.30%			01/25/13		11,900,000		11,900,000

RB (Chicago Symphony Orchestra) Series 1994 (LOC: Northern Trust Co)	c	0.17%			07/06/12		18,300,000		18,300,000

RB (Elim Christian Services) Series 2007 (LOC: JPMorgan Chase Bank, NA)		0.23%			07/06/12		14,400,000		14,400,000

RB (Fenwick High School) Series 2007 (LOC: PNC Bank NA)		0.22%			07/06/12		15,635,000		15,635,000

RB (Kohl Children’s Museum) Series 2004 (LOC: Northern Trust Co)		0.19%			07/06/12		1,395,000		1,395,000

RB (Lake Forest College) Series 2008 (LOC: Northern Trust Co)		0.19%			07/06/12		2,500,000		2,500,000

RB (Lake Forest Country Day School) Series 2005 (LOC: Northern Trust Co)		0.19%			07/06/12		3,000,000		3,000,000

RB (Loyola Academy) Series 2007 (LOC: JPMorgan Chase Bank, NA)		0.19%			07/06/12		11,500,000		11,500,000

RB (Perspectives Charter School) Series 2003 (LOC: BMO Harris Bank NA)		0.24%			07/06/12		4,700,000		4,700,000

RB (Regency Park at Lincolnwood) Series 1991B (ESCROW/LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		1,160,000		1,160,000

RB (St. Pauls House) Series 1995 (LOC: Bank of America, NA)		0.43%			07/06/12		4,095,000		4,095,000

RB (Univ of Chicago Medical Center) Series 2011C (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		9,560,000		9,560,000

RB (Univ of Chicago) Series 2012A (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		2,185,000		2,185,000

70 See financial notes

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Illinois Housing Development Auth
M/F Housing RB (Brookhaven Apts) Series 2008 (LOC: Freddie Mac)		0.27%			07/06/12		8,605,000		8,605,000

Illinois Regional Transportation Auth
GO Bonds Series 2000A (LIQ: Bank of America, NA)	a	0.33%			07/06/12		6,665,000		6,665,000

GO Bonds Series 2003A (LIQ: Citibank, NA)	a	0.19%			07/06/12		8,330,000		8,330,000

GO Refunding Bonds Series 1999 (LIQ: Citibank, NA)	a	0.20%			07/06/12		9,900,000		9,900,000

Will Cnty Community High School District No. 210
GO School Bonds (Lincoln-Way) Series 2006 (LIQ: Deutsche Bank AG)	a,c	0.25%			07/06/12		16,655,000		16,655,000

Will Cnty SD No. 365-U
GO Bonds (Valley View) Series 2005 (GTY/LIQ: Wells Fargo & Co)	a	0.18%			07/06/12		11,705,000		11,705,000

									254,930,000

Indiana 2.9%
Indiana Finance Auth
Economic Development RB (AC Grain) Series 2012 (LOC: CoBank, ACB)		0.19%			07/06/12		28,500,000		28,500,000

Health System RB (Sisters of St. Francis) Series 2009A (LIQ: Bank of America, NA)	a	0.26%			07/06/12		10,000,000		10,000,000

Midwestern Disaster Relief RB (Ohio Valley Electric Corp) Series 2012C (LOC: Bank of Nova Scotia)		0.16%			07/06/12		10,000,000		10,000,000

RB (Ascension Health) Series 2008E4		0.16%			07/06/12		2,425,000		2,425,000

RB (Indiana Univ Health) Series 2011L&M (GTY/LIQ: Royal Bank of Canada)	a	0.18%			07/06/12		8,500,000		8,500,000

Indiana Health Facility Financing Auth
RB (Memorial Hospital) Series 2004A (LOC: PNC Bank NA)		0.20%			07/06/12		15,180,000		15,180,000

Sr Living RB (Greencroft) Series 2000 (LOC: Bank of America, NA)		0.29%			07/06/12		11,130,000		11,130,000

Rockport
Pollution Control Refunding RB (American Electric Power) Series 1995A (LOC: Bank of Tokyo Mitsubishi UFJ, Ltd)	c	0.17%			07/06/12		9,000,000		9,000,000

Pollution Control Refunding RB (American Electric Power) Series 1995B (LOC: Bank of Tokyo Mitsubishi UFJ, Ltd)	c	0.17%			07/06/12		9,000,000		9,000,000

									103,735,000

Iowa 2.0%
Iowa Finance Auth
Health Facility RB (Kahl Home) Series 2011 (LOC: JPMorgan Chase Bank, NA)		0.20%			07/06/12		24,750,000		24,750,000

Midwestern Disaster Area RB (Archer Daniels Midland) Series 2011		0.19%			07/06/12		16,000,000		16,000,000

Midwestern Disaster Area RB (Cargill) Series 2009B		0.23%			07/06/12		19,000,000		19,000,000

Midwestern Disaster Area RB (Farmers Cooperative) Series 2010 (LOC: CoBank, ACB)		0.20%			07/06/12		10,000,000		10,000,000

									69,750,000

Kansas 0.2%
Shawnee
M/F Housing Refunding RB (Pinegate West Apts) Series 2008A (LOC: BMO Harris Bank NA)		0.18%			07/06/12		5,375,000		5,375,000

Kentucky 0.4%
Kentucky Economic Development Finance Auth
RB (Catholic Health Initiatives) Series 2011B3	b	0.28%			01/25/13		14,300,000		14,300,000

See financial notes 71

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)

Louisiana 1.3%
Ascension Parish IDB
RB (BASF SE) Series 2009	d	0.31%			07/06/12		15,000,000		15,000,000

Louisiana Local Government Environmental Facilities & Community Development Auth
RB (Louise S. McGehee School) Series 2010 (LOC: Federal Home Loan Bank)		0.24%			07/06/12		6,562,500		6,562,500

Louisiana Public Facilities Auth
RB (Dynamic Fuels) Series 2008 (LOC: JPMorgan Chase Bank, NA)		0.18%			07/02/12		5,505,000		5,505,000

RB (Tiger Athletic Foundation) Series 1999 (LOC: Federal Home Loan Bank)		0.18%			07/06/12		10,000,000		10,000,000

St. Tammany Parish Development District
RB (BCS Development) Series 2008 (LOC: Federal Home Loan Bank)		0.24%			07/06/12		3,525,000		3,525,000

RB (Main St Holdings of Tammany) Series 2006A (LOC: Federal Home Loan Bank)		0.24%			07/06/12		5,320,000		5,320,000

									45,912,500

Maine 0.3%
Maine Finance Auth
RB (Jackson Laboratory) Series 2002 (LOC: Bank of America, NA)	c	0.47%			07/06/12		12,100,000		12,100,000

Maryland 1.2%
Maryland Health & Higher Educational Facilities Auth
RB (Ascension Health) Series 2012B (LIQ: Royal Bank of Canada)	a	0.18%			07/06/12		5,000,000		5,000,000

Maryland Industrial Development Financing Auth
RB (McDonogh School) Series 2005 (LOC: Manufacturers & Traders Trust Co)		0.18%			07/06/12		9,760,000		9,760,000

Montgomery Cnty
Economic Development RB (Riderwood Village) Series 2004 (LOC: Manufacturers & Traders Trust Co)		0.18%			07/06/12		4,555,000		4,555,000

RB (George Meany Center For Labor Studies) Series 2004 (LOC: Bank of America, NA)		0.37%			07/06/12		5,300,000		5,300,000

Refunding RB (Trinity Health) Series 2011MD (LIQ: Citibank, NA)	a	0.19%			07/06/12		6,665,000		6,665,000

Washington Cnty
RB (LSN\TLS) Series 2003E (LOC: PNC Bank NA)		0.17%			07/06/12		9,965,000		9,965,000

									41,245,000

Massachusetts 0.5%
Massachusetts
GO Refunding Bonds Series 2004A (LIQ: JPMorgan Chase Bank, NA)	a	0.19%			07/06/12		4,880,000		4,880,000

Massachusetts Bay Transportation Auth
Sr Sales Tax Bonds Series 2010A	b	0.27%			01/25/13		4,235,000		4,235,000

Massachusetts Development Finance Agency
RB (Eaglebrook School) Series 2007 (LOC: Bank of America, NA)		0.34%			07/06/12		2,600,000		2,600,000

RB (Jewish Rehabilitation Centers for Living) Series 2011B (LOC: Manufacturers & Traders Trust Co)		0.23%			07/06/12		4,965,000		4,965,000

Massachusetts School Building Auth
Dedicated Sales Tax Bonds Series 2007A (LIQ: JPMorgan Chase Bank, NA)	a	0.19%			07/06/12		785,000		785,000

									17,465,000

72 See financial notes

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)

Michigan 3.1%
Grand Rapids
Sanitary Sewer System RB Series 2004 (LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		9,140,000		9,140,000

Michigan Finance Auth
Unemployment Obligation Assessment RB Series 2012A (LIQ: Citibank, NA)	a	0.18%			07/06/12		13,335,000		13,335,000

Michigan Higher Education Facilities Auth
Limited Obligation RB (Spring Arbor Univ) Series 2010 (LOC: Comerica Bank)		0.19%			07/06/12		4,000,000		4,000,000

Michigan Housing Development Auth
Rental Housing RB Series 2009A (LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		5,635,000		5,635,000

Michigan State Hospital Finance Auth
RB (Ascension Health) Series 2005A3 (LIQ: Citibank, NA)	a	0.19%			07/06/12		2,540,000		2,540,000

RB (Ascension Health) Series 2010	b	0.27%			01/25/13		11,200,000		11,200,000

Refunding RB (Crittenton Hospital Medical Center) Series 2003A (LOC: Comerica Bank)		0.19%			07/02/12		15,385,000		15,385,000

Refunding RB (Trinity Health) Series 2008C (LIQ: Royal Bank of Canada)	a	0.18%			07/06/12		5,000,000		5,000,000

Michigan State Strategic Fund
Limited Obligation RB (Kroger) Series 2010 (LOC: Bank of Tokyo Mitsubishi UFJ, Ltd)		0.18%			07/06/12		9,500,000		9,500,000

Limited Obligation RB (Legal Aid & Defender Assoc) Series 2007 (LOC: JPMorgan Chase Bank, NA)		0.20%			07/06/12		11,570,000		11,570,000

Michigan State Univ
General RB Series 2003A (LIQ: Northern Trust Co)		0.16%			07/06/12		12,000,000		12,000,000

Sanilac Cnty Economic Development Corp
Limited Obligation RB (Marlette Community Hospital) Series 2001 (LOC: Comerica Bank)		0.22%			07/06/12		9,500,000		9,500,000

									108,805,000

Minnesota 0.2%
Bloomington
M/F Housing Refunding RB (Bristol Village Apts) Series 2002A1 (LOC: Fannie Mae)		0.19%			07/06/12		3,200,000		3,200,000

Roseville
Private School Facility RB (Northwestern College) Series 2002 (LOC: BMO Harris Bank NA)		0.19%			07/06/12		4,390,000		4,390,000

									7,590,000

Mississippi 0.8%
Mississippi Business Finance Corp
RB (200 Renaissance) Series 2008 (LOC: Federal Home Loan Bank)		0.19%			07/06/12		11,760,000		11,760,000

RB (PSL North America) Series 2007A (LOC: Wells Fargo Bank, NA)		0.19%			07/06/12		18,000,000		18,000,000

									29,760,000

Missouri 1.5%
Kansas City IDA
M/F Housing Refunding RB (Ethans Apts) Series 2004 (LOC: Citibank, NA)		0.20%			07/06/12		29,560,000		29,560,000

Missouri Highway & Transportation Commission
State Road Bonds Third Lien Series 2005B (LOC: State Street Bank & Trust Company, NA)		0.18%			07/06/12		15,865,000		15,865,000

See financial notes 73

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued

Face

Issuer

Effective

Maturity

Amount

Value

Type of Security, Series

Footnotes

Rate

Maturity

Date

($)

St. Charles Cnty IDA

IDRB (Patriot Machine) Series 2007 (LOC: Federal Home Loan Bank)

0.21%

07/06/12

6,815,000

52,240,000

Nebraska 1.4%

Custer Cnty

Midwestern Disaster RB (The Andersons) Series 2011 (LOC: US Bank, NA)

0.18%

07/06/12

21,000,000

South Sioux City

IDRB (NATURES BioReserve) Series 2010 (LOC: Bank of America, NA)

0.30%

07/06/12

25,000,000

Washington Cnty

IDRB (Cargill) Series 2010

0.23%

07/06/12

5,000,000

51,000,000

Nevada 0.8%

Clark Cnty SD

Limited Tax GO Bonds Series 2006B (LIQ: Deutsche Bank AG)

0.25%

07/06/12

6,675,000

Limited Tax GO Bonds Series 2006B (LIQ: State Street Bank & Trust Company, NA)

0.23%

07/06/12

10,000,000

Truckee Meadows Water Auth

Water Refunding RB Series 2007 (LIQ: Wells Fargo & Co)

0.20%

07/06/12

11,795,000

28,470,000

New Hampshire 0.5%

New Hampshire Business Finance Auth

Limited Obligation RB (Canam Steel Corp) Series 2010 (LOC: Comerica Bank)

0.26%

07/06/12

9,750,000

New Hampshire Health & Education Facilities Auth

RB (St. Anselm College) Series 2008 (LOC: Federal Home Loan Bank)

0.17%

07/06/12

9,790,000

19,540,000

New Jersey 0.4%

Garden State Preservation Trust

Open Space & Farmland Preservation Bonds Series 2005A (LIQ: JPMorgan Chase Bank, NA)

0.18%

07/06/12

100,000

New Jersey Economic Development Auth

Transportation System Bonds Series 2005B&2006A & School Facilities Construction Refunding Bonds Series 2005K (GTY/LIQ: State Street Bank & Trust Company, NA)

0.18%

07/06/12

8,520,000

New Jersey Transportation Trust Fund Auth

Transportation System Bonds Series 2009A (GTY/LIQ: Wells Fargo & Co)

0.19%

07/06/12

6,160,000

14,780,000

New Mexico 1.0%

New Mexico Educational Assistance Foundation

Education Loan Bonds Series 2010-1A3 (GTY/LIQ: Wells Fargo Bank, NA)

0.19%

07/06/12

12,000,000

Education Loan Bonds Series 2010-2A2 (GTY/LIQ: Wells Fargo Bank, NA)

a,d

0.19%

07/06/12

24,605,000

36,605,000

74 See financial notes

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)

New York 4.6%
Nassau Cnty Interim Finance Auth
Sales Tax Secured Bonds Series 2008A (LIQ: JPMorgan Chase Bank, NA)		0.15%			07/06/12		28,100,000		28,100,000

New York City
GO Bonds Fiscal 1995 Series B7 (LIQ: JPMorgan Chase Bank, NA)		0.21%			07/02/12		5,000,000		5,000,000

GO Bonds Fiscal 2009 Series J1 (LIQ: Citibank, NA)	a	0.20%			07/06/12		11,325,000		11,325,000

New York City Housing Development Corp
M/F Housing RB Series 2009C1 (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		3,620,000		3,620,000

New York City Municipal Water Finance Auth
Water & Sewer System RB Fiscal 2001 Series F2 (LIQ: JPMorgan Chase Bank, NA)		0.18%			07/06/12		6,275,000		6,275,000

Water & Sewer System RB Fiscal 2009 Series DD (LIQ: Citibank, NA)	a	0.21%			07/06/12		1,280,000		1,280,000

Water & Sewer System RB Fiscal 2012 Series CC (LIQ: Royal Bank of Canada)	a	0.16%			07/06/12		9,830,000		9,830,000

New York City Transitional Finance Auth
Building Aid RB Fiscal 2007 Series S1 (LIQ: Citibank, NA)	a	0.19%			07/06/12		2,990,000		2,990,000

Building Aid RB Fiscal 2007 Series S2 (LIQ: Citibank, NA)	a	0.22%			07/06/12		12,300,000		12,300,000

Building Aid RB Fiscal 2007 Series S2 (LIQ: JPMorgan Chase Bank, NA)	a	0.19%			07/06/12		1,000,000		1,000,000

Future Tax Secured Sub Bonds Fiscal 2012 Series D1 (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		3,850,000		3,850,000

New York Liberty Development Corp
Liberty RB (1 World Trade Center) Series 2011 (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		26,455,000		26,455,000

New York State Power Auth
RB Series 2007A (LIQ: Citibank, NA)	a	0.22%			07/06/12		3,625,000		3,625,000

New York State Urban Development Corp
State & Personal Income Tax RB Series 2007C (LIQ: Deutsche Bank AG)	a	0.25%			07/06/12		12,725,000		12,725,000

State Personal Income Tax RB Series 2004A3C (LIQ: JPMorgan Chase Bank, NA)		0.14%			07/06/12		19,490,000		19,490,000

Port Auth of New York & New Jersey
Consolidated Bonds 144th Series (LIQ: Citibank, NA)	a	0.19%			07/06/12		525,000		525,000

Consolidated Bonds 148th Series (LIQ: Citibank, NA)	a	0.19%			07/06/12		4,900,000		4,900,000

Ramapo Housing Auth
RB (Fountainview at College Road) Series 1998 (LOC: Manufacturers & Traders Trust Co)		0.28%			07/06/12		6,145,000		6,145,000

Sales Tax Asset Receivable Corp
RB Fiscal 2005 Series A (LIQ: JPMorgan Chase Bank, NA)	a	0.19%			07/06/12		3,580,000		3,580,000

									163,015,000

North Carolina 1.5%
Mecklenburg Cnty
GO Refunding Bonds Series 2009D	b	0.28%			01/25/13		9,490,000		9,490,000

North Carolina Capital Facilities Finance Agency
Educational Facilities RB (Charlotte Country Day School) Series 2008 (LOC: Bank of America, NA)		0.36%			07/06/12		9,220,000		9,220,000

North Carolina Medical Care Commission
Health Care Facilities RB (Novant Health) Series 2006 (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.19%			07/06/12		19,100,000		19,100,000

See financial notes 75

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Health Care Facilities Refunding RB (Univ Health Systems of Eastern Carolina) Series 2008B2 (LOC: Branch Banking & Trust Co)		0.18%			07/06/12		4,795,000		4,795,000

Hospital Refunding RB (Cone Health) Series 2011B	b	0.30%			01/25/13		5,000,000		5,000,000

Hospital Refunding RB (Wayne Memorial Hospital) Series 2009 (LOC: Branch Banking & Trust Co)		0.18%			07/06/12		5,000,000		5,000,000

									52,605,000

North Dakota 0.2%
Richland Cnty
RB (Minn-Dak Farmers Coop) Series 2010B (LOC: CoBank, ACB)		0.19%			07/06/12		7,000,000		7,000,000

Ohio 1.8%
Allen Cnty
Hospital Facilities RB (Catholic Health Partners) Series 2012B		0.16%			07/06/12		15,000,000		15,000,000

Bellefontaine
Refunding RB (Mary Rutan Hospital) Series 2005 (LOC: PNC Bank NA)		0.20%			07/06/12		9,125,000		9,125,000

Franklin Cnty
Health Care Facilities RB (Traditions Healthcare) Series 2005 (LOC: US Bank, NA)		0.17%			07/06/12		8,420,000		8,420,000

RB (Children’s Hospital) Series 1992B (LIQ: JPMorgan Chase Bank, NA)		0.28%			07/06/12		2,500,000		2,500,000

Hocking Technical College District
COP Series 2008 (LOC: JPMorgan Chase Bank, NA)		0.18%			07/06/12		8,310,000		8,310,000

Ohio
Hospital RB (Cleveland Clinic Health System) Series 2012A (LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		5,625,000		5,625,000

Rickenbacker Port Auth
Economic Development RB (YMCA of Central Ohio) Series 2002 (LOC: JPMorgan Chase Bank, NA)		0.20%			07/06/12		9,590,000		9,590,000

Wood Cnty
Refunding RB (Wood Cnty Hospital) Series 2008 (LOC: JPMorgan Chase Bank, NA)		0.20%			07/06/12		4,695,000		4,695,000

									63,265,000

Oregon 0.6%
Astoria Hospital Facilities Auth
Hospital RB (Columbia Memorial) Series 2007 (LOC: US Bank, NA)		0.20%			07/06/12		17,005,000		17,005,000

Oregon
Business Development RB (Sage Hollow Ranch) Series 223 (LOC: CoBank, ACB)		0.19%			07/06/12		3,000,000		3,000,000

									20,005,000

Pennsylvania 2.1%
Allegheny Cnty Hospital Development Auth
RB (Univ of Pittsburgh Medical Center) Series 2010C (LIQ: Royal Bank of Canada)	a	0.18%			07/06/12		7,000,000		7,000,000

Cumberland Cnty Municipal Auth
RB (Presbyterian Homes) Series 1993A (LOC: Manufacturers & Traders Trust Co)		0.20%			07/06/12		4,000,000		4,000,000

Geisinger Auth
Health System RB (Geisinger Health) Series 2011A1 (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		5,000,000		5,000,000

76 See financial notes

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Lancaster Cnty Hospital Auth
RB (Landis Homes Retirement Community) Series 2009 (LOC: Manufacturers & Traders Trust Co)		0.23%			07/06/12		6,935,000		6,935,000

Montgomery Cnty IDA
RB (Waverly Heights) Series 2009 (LOC: Manufacturers & Traders Trust Co)		0.19%			07/06/12		8,350,000		8,350,000

Owen J. Roberts SD
GO Notes Series 2006 (LIQ: JPMorgan Chase Bank, NA)	a	0.19%			07/06/12		1,625,000		1,625,000

Pennsylvania
GO Bonds First Series 2011 (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		7,990,000		7,990,000

Pennsylvania HFA
S/F Mortgage RB Series 2009-105C (LIQ: Bank of America, NA)	a	0.30%			07/06/12		3,000,000		3,000,000

Pennsylvania State Turnpike Commission
Motor License Fund Turnpike Sub Special RB Series 2011B (LIQ: Citibank, NA)	a	0.22%			07/06/12		3,350,000		3,350,000

Registration Fee Refunding RB Series 2005A (GTY: Berkshire Hathaway Assurance Corp /LIQ: Citibank, NA)	a	0.19%			07/06/12		6,905,000		6,905,000

Sub Special RB Series 2011B (LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		200,000		200,000

Philadelphia IDA
Healthcare RB (Greater Philadelphia Health Action) Series 2008 (LOC: Bank of America, NA)		0.37%			07/06/12		6,000,000		6,000,000

Philadelphia SD
GO Refunding Bonds Series 2010F (LOC: Barclays Bank Plc)		0.16%			07/06/12		2,490,000		2,490,000

St. Mary Hospital Auth
RB (Catholic Health Initiatives) Series 2004C		0.17%			07/06/12		2,400,000		2,400,000

Univ of Pittsburgh
Capital Project Bonds Series 2005A (LIQ: Barclays Bank Plc)	a	0.20%			07/06/12		6,665,000		6,665,000

Capital Project Bonds Series 2009B (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		290,000		290,000

Washington Cnty Hospital Auth
Hospital RB (Monongahela Valley) Series 2011A (LOC: PNC Bank NA)		0.17%			07/06/12		1,700,000		1,700,000

									73,900,000

Puerto Rico 0.4%
Puerto Rico Sales Tax Financing Corp
Sales Tax RB Series 2007A (LIQ: Deutsche Bank AG)	a	0.25%			07/06/12		610,000		610,000

Sales Tax RB Series 2009A (LIQ: Citibank, NA)	a	0.21%			07/06/12		13,095,000		13,095,000

									13,705,000

South Carolina 0.4%
Cherokee Cnty
IDRB (Newark Electronics Division of D-A Lubricant) Series 1985 (LOC: Bank of America, NA)		0.67%			07/06/12		6,500,000		6,500,000

South Carolina Jobs Economic Development Auth
RB (Ashley Hall) Series 2007 (LOC: Bank of America, NA)		0.37%			07/06/12		2,000,000		2,000,000

South Carolina Public Service Auth
Revenue Obligations Series 2007A (LIQ: Citibank, NA)	a	0.19%			07/06/12		6,780,000		6,780,000

									15,280,000

Tennessee 2.1%
Chattanooga
Electric System RB Series 2008A (LIQ: Branch Banking & Trust Co)	a	0.18%			07/06/12		1,200,000		1,200,000

See financial notes 77

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Chattanooga IDB
Lease Rental Refunding RB Series 2007 (LIQ: JPMorgan Chase Bank, NA)	a	0.20%			07/06/12		11,305,000		11,305,000

Clarksville Public Building Auth
Pooled Financing RB (TN Municipal Bond Fund) Series 1995 (LOC: Bank of America, NA)		0.55%			07/06/12		7,430,000		7,430,000

Loudon IDB
Pollution Control Refunding RB (A.E. Staley Manufacturing) Series 1991 (LOC: Citibank, NA)		0.28%			07/06/12		16,200,000		16,200,000

Metro Government of Nashville & Davidson Cnty IDB
IDRB (YMCA) Series 1998 (LOC: Bank of America, NA)		0.57%			07/06/12		11,285,000		11,285,000

Montgomery Cnty Public Building Auth
Pooled Financing RB (TN Cnty Loan Pool) Series 1995 (LOC: Bank of America, NA)	a	0.55%			07/06/12		3,935,000		3,935,000

Pooled Financing RB (TN Cnty Loan Pool) Series 1997 (LOC: Bank of America, NA)		0.55%			07/06/12		3,200,000		3,200,000

Wilson Cnty Sports Auth
Infrastructure RB Series 1999 (LOC: PNC Bank NA)	d	0.16%			07/06/12		20,300,000		20,300,000

									74,855,000

Texas 7.6%
Austin
Water & Wastewater System Refunding RB Series 2008 (LOC: Bank of Tokyo Mitsubishi UFJ, Ltd; Sumitomo Mitsui Banking Corp)		0.16%			07/06/12		10,655,000		10,655,000

Beaumont ISD
Unlimited Tax GO Bonds Series 2008 (GTY: Texas Permanent School Fund /LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		3,350,000		3,350,000

Dallas Area Rapid Transit
Sr Lien Sales Tax RB Series 2008 (LIQ: Citibank, NA)	a	0.21%			07/06/12		7,600,000		7,600,000

Sr Lien Sales Tax Refunding RB Series 2007 (LIQ: JPMorgan Chase Bank, NA)	a	0.20%			07/06/12		4,465,000		4,465,000

Del Valle ISD
Unlimited GO Bonds Series 2007 (GTY: Texas Permanent School Fund /LIQ: JPMorgan Chase Bank, NA)	a	0.21%			07/06/12		20,075,000		20,075,000

El Paso Cnty Hospital District
Combination Tax & Revenue Certificates of Obligation Series 2005 (LIQ: Deutsche Bank AG)	a	0.29%			07/06/12		9,570,000		9,570,000

Harris Cnty Cultural Education Facilities Finance Corp
Hospital Refunding RB (Memorial Hermann Healthcare) Series 2010B (GTY/LIQ: Royal Bank of Canada)	a	0.18%			07/06/12		6,000,000		6,000,000

Harris Cnty Flood Control District
Contract Tax Bonds Series 2010A (LIQ: Bank of America, NA)	a	0.30%			07/06/12		5,500,000		5,500,000

Harris Cnty Metropolitan Transit Auth
Sales & Use Tax Bonds Series 2011A (LIQ: Deutsche Bank AG)	a	0.25%			07/06/12		7,745,000		7,745,000

Sales & Use Tax Bonds Series 2011A (LIQ: Royal Bank of Canada)	a	0.18%			07/06/12		4,500,000		4,500,000

Houston Combined Utility System
First Lien RB Series 2011D (LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		3,750,000		3,750,000

Houston Community College System
Maintenance Tax Notes Series 2008 (LIQ: Deutsche Bank AG)	a	0.25%			07/06/12		4,100,000		4,100,000

Houston ISD
Limited Tax GO Bonds Series 2008 (GTY: Texas Permanent School Fund /LIQ: Citibank, NA)	a	0.21%			07/06/12		9,900,000		9,900,000

Lake Travis ISD
Unlimited Tax GO Bonds Series 2012 (GTY: Texas Permanent School Fund /LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		7,495,000		7,495,000

78 See financial notes

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Lower Colorado River Auth
Transmission Contract Refunding RB Series 2009 (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		14,620,000		14,620,000

Matagorda Cnty Navigation District No. 1
Pollution Control Refunding RB (CP&L) Series 2001A (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		7,500,000		7,500,000

Metropolitan Higher Education Auth
Higher Education RB (Univ of Dallas) Series 2008 (LOC: JPMorgan Chase Bank, NA)		0.20%			07/06/12		1,200,000		1,200,000

Northside ISD
Unlimited Tax GO Bonds Series 2003 (GTY: Texas Permanent School Fund /LIQ: JPMorgan Chase Bank, NA)	a	0.18%			07/06/12		6,325,000		6,325,000

Unlimited Tax GO Bonds Series 2007B (GTY: Texas Permanent School Fund /LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		5,270,000		5,270,000

Northwest ISD
Unlimited Tax Refunding Bonds Series 2005 (GTY: Texas Permanent School Fund /LIQ: US Bank, NA)	a	0.16%			07/06/12		19,480,000		19,480,000

Panhandle-Plains Higher Education Auth
Student Loan RB Series 2010-1A4 (GTY/LIQ: Wells Fargo Bank, NA)	a,d	0.19%			07/06/12		41,215,000		41,215,000

Plano ISD
Unlimited Tax GO Bonds Series 2012 (GTY: Texas Permanent School Fund /LIQ: Wells Fargo Bank, NA)	a	0.19%			07/06/12		3,625,000		3,625,000

San Antonio
Electric & Gas System RB New Series 2005 (LIQ: Bank of America, NA)	a	0.26%			07/06/12		10,270,000		10,270,000

Tarrant Cnty Cultural Education Facilities Finance Corp
Hospital RB (Baylor Health Care) Series 2011B	b	0.31%			01/25/13		2,500,000		2,500,000

Hospital RB (Baylor Health Care) Series 2011C (LOC: Northern Trust Co)		0.16%			07/06/12		900,000		900,000

RB (Texas Health Resources) Series 2007B (LIQ: Bank of America, NA)	a	0.30%			07/06/12		5,625,000		5,625,000

Refunding RB (Texas Health Resources) Series 2007A (LIQ: Bank of America, NA)	a	0.26%			07/06/12		5,790,000		5,790,000

Texas
Veterans Bonds Series 2012 (LIQ: State Street Bank & Trust Company, NA)		0.16%			07/06/12		8,330,000		8,330,000

Texas A&M Univ
Revenue Financing System Bonds Series 2010B (LIQ: Barclays Bank Plc)	a	0.20%			07/06/12		1,500,000		1,500,000

Texas Transportation Commission
GO Mobility Fund Bonds Series 2005B (LIQ: Royal Bank of Canada)		0.18%			07/06/12		14,320,000		14,320,000

GO Mobility Fund Bonds Series 2006B (LIQ: State Street Bank & Trust Company, NA; California Public Employees’ Retirement System)		0.16%			07/06/12		1,000,000		1,000,000

State Highway Fund First Tier RB Series 2007 (LIQ: Bank of America, NA)	a	0.26%			07/06/12		11,745,000		11,745,000

Univ of Houston
Consolidated Refunding RB Series 2008 (LIQ: Bank of America, NA)	a	0.30%			07/06/12		5,540,000		5,540,000

									271,460,000

Utah 1.1%
Intermountain Power Agency
Power Supply Refunding RB Series 2003A (LIQ: Bank of America, NA)	a	0.30%			07/06/12		6,450,000		6,450,000

See financial notes 79

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued


						Face
Issuer			Effective	Maturity		Amount		Value
Type of Security, Series	Footnotes	Rate	Maturity	Date		($)		($)
Utah Cnty
Hospital RB (IHC Health Services) Series 2002B (LIQ: US Bank, NA)		0.18%			07/06/12		18,350,000		18,350,000

Utah Housing Corp
M/F Housing RB (Timbergate Apts) Series 2009A (LOC: Freddie Mac)		0.23%			07/06/12		6,250,000		6,250,000

Utah Transit Auth
Sales Tax RB Series 2008A (LIQ: Citibank, NA)	a	0.21%			07/06/12		7,230,000		7,230,000

									38,280,000

Virginia 1.0%
Fairfax Cnty IDA
Health Care RB (Inova Health) Series 2010A1	b	0.30%			01/25/13		6,000,000		6,000,000

Henrico Economic Development Auth
Residential Care Facility RB (Westminster-Canterbury) Series 2008 (LOC: Branch Banking & Trust Co)		0.22%			07/06/12		11,310,000		11,310,000

Norfolk Economic Development Auth
Hospital Facilities RB (Sentara Healthcare) Series 2010C	b	0.30%			01/25/13		9,250,000		9,250,000

Virginia College Building Auth
Educational Facilities RB Series 2006A (LIQ: Wells Fargo & Co)	a	0.20%			07/06/12		4,354,000		4,354,000

Virginia Univ Health System Auth
General RB Series 2008C (LOC: Branch Banking & Trust Co)		0.17%			07/02/12		5,275,000		5,275,000

									36,189,000

Washington 1.7%
Central Puget Sound Regional Transit Auth
Sales Tax Bonds Series 2007A (LIQ: Branch Banking & Trust Co)	a	0.16%			07/06/12		6,135,000		6,135,000

Pierce Cnty Economic Development Corp
IDRB (Frederico Enterprises I) Series 2010 (LOC: Rabobank Nederland)		0.23%			07/06/12		4,940,000		4,940,000

Univ of Washington
General Refunding RB Series 2012A (LIQ: Barclays Bank Plc)	a	0.20%			07/06/12		5,600,000		5,600,000

Washington
GO Refunding Bonds Series R2010B (LIQ: Bank of America, NA)	a	0.26%			07/06/12		6,065,000		6,065,000

Motor Vehicle Fuel Tax GO Bonds Series 2005C (LIQ: Deutsche Bank AG)	a	0.23%			07/06/12		2,990,000		2,990,000

Motor Vehicle Fuel Tax GO Bonds Series 2006E (LIQ: Bank of America, NA)	a	0.26%			07/06/12		11,925,000		11,925,000

Washington Health Care Facilities Auth
RB (Fred Hutchinson Cancer Research Center) Series 2009A (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		14,995,000		14,995,000

RB (Swedish Health Services) Series 2009B (LOC: US Bank, NA)		0.15%			07/06/12		6,350,000		6,350,000

									59,000,000

West Virginia 0.4%
West Virginia Hospital Finance Auth
Refunding & RB (Charleston Area Medical Center) Series 2009A (GTY/LIQ: Wells Fargo & Co)	a	0.19%			07/06/12		15,530,000		15,530,000

Wisconsin 1.7%
Milwaukee Redevelopment Auth
Redevelopment Lease RB (Univ of Wisconsin) Series 2005 (LOC: US Bank, NA)		0.18%			07/06/12		4,370,000		4,370,000

Refunding RB (YMCA of Metropolitan Milwaukee) Series 2010 (LOC: BMO Harris Bank NA)		0.18%			07/06/12		18,835,000		18,835,000

80 See financial notes

Schwab AMT Tax-Free Money Fund

Portfolio Holdings (Unaudited) continued

Face

Issuer

Effective

Maturity

Amount

Value

Type of Security, Series

Footnotes

Rate

Maturity

Date

($)

Wisconsin

General Fund Annual Appropriation Bonds Series 2009A (LIQ: Barclays Bank Plc)

0.20%

07/06/12

12,500,000

GO Bonds Series 2011A (LIQ: Wells Fargo Bank, NA)

0.19%

07/06/12

1,545,000

Wisconsin Health & Educational Facilities Auth

RB (Newcastle Place) Series 2001B (LOC: Bank of America, NA)

0.29%

07/06/12

3,510,000

RB (St. Norbert College) Series 2008 (LOC: JPMorgan Chase Bank, NA)

0.19%

07/06/12

5,960,000

Refunding RB (Concordia Univ) Series 2009 (LOC: JPMorgan Chase Bank, NA)

0.19%

07/06/12

2,260,000

Refunding RB (Lawrence Univ) Series 2009 (LOC: JPMorgan Chase Bank, NA)

0.19%

07/06/12

1,910,000

Wisconsin Housing & Economic Development Auth

Housing RB Series 2012C (LOC: PNC Bank NA)

0.17%

07/06/12

8,670,000

59,560,000

Total Variable-Rate Securities

(Cost $2,702,914,500)

2,702,914,500

End of Investments.

At 06/30/12, the tax basis cost of the fund’s investments was $3,605,368,371.


a		Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registrations, normally to qualified institutional buyers. At the period end, the value of these amounted to $1,374,690,000 or 38.5% of net assets.
b		Illiquid security. At the period end, the value of these amounted to $78,875,000 or 2.2% of net assets.
c		Delayed-delivery security.
d		All or a portion of this security is designated as collateral for delayed-delivery securities.


BAN —		Bond anticipation note
COP —		Certificate of participation
CP —		Commercial paper
CSD —		Central school district
GO —		General obligation
GTY —		Guaranty agreement
HFA —		Housing finance agency/authority
HRA —		Housing & redevelopment authority
IDA —		Industrial development agency/authority
IDB —		Industrial development board
IDRB —		Industrial development revenue bond
ISD —		Independent school district
LIQ —		Liquidity agreement
LOC —		Letter of credit
M/F —		Multi-family
RAN —		Revenue anticipation note
RB —		Revenue bond
SD —		School district
S/F —		Single-family
TAN —		Tax anticipation note
TRAN —		Tax and revenue anticipation note
UFSD —		Union free school district
UHSD —		Union high school district
USD —		Unified school district

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

See financial notes 81

Schwab AMT Tax-Free Money Fund

Statements of

Changes in Net Assets

For the current and prior report periods
Figures for the current period are unaudited



Operations


1/1/12-6/30/12				1/1/11-12/31/11
Net investment income		$187,229			$389,169
Net realized gains	+	43,163			363,086

Increase in net assets from operations		230,392			752,255

Distributions to Shareholders

Distributions from net investment income
Sweep Shares		(149,954	)		(297,555	)
Value Advantage Shares	+	(37,275	)		(91,614	)

Total distributions from net investment income		(187,229	)		(389,169	)


Distributions from net realized gains
Sweep Shares		—			(125,555	)
Value Advantage Shares	+	—			(31,630	)

Total distributions from net realized gains		—			(157,185	)

Total distributions		(187,229	)		(546,354	)

Transactions in Fund Shares*

Shares Sold
Sweep Shares		4,906,209,736			11,059,217,028
Value Advantage Shares	+	57,112,793			209,169,095

Total shares sold		4,963,322,529			11,268,386,123


Shares Reinvested
Sweep Shares		132,491			411,951
Value Advantage Shares	+	26,319			113,819

Total shares reinvested		158,810			525,770


Shares Redeemed
Sweep Shares		(5,171,937,312	)		(10,860,092,371	)
Value Advantage Shares	+	(154,577,738	)		(484,244,107	)

Total shares redeemed		(5,326,515,050	)		(11,344,336,478	)

Net transactions in fund shares		(363,033,711	)		(75,424,585	)

Net Assets

Beginning of period		3,930,395,723			4,005,614,407
Total decrease	+	(362,990,548	)		(75,218,684	)

End of period		$3,567,405,175			$3,930,395,723


*		Transactions took place at $1.00 per share; figures for share quantities are the same as for dollars.

84 See financial notes

Schwab Municipal Money Fund and Schwab AMT Tax-Free Money Fund

Financial Notes, unaudited

1. Business Structure of the Funds:



The Charles Schwab Family of Funds (organized October 20, 1989)		Schwab Investor Money Fund
Schwab Money Market Fund		Schwab Municipal Money Fund
Schwab Government Money Fund		Schwab AMT Tax-Free Money Fund
Schwab U.S. Treasury Money Fund (closed to new investors)		Schwab California Municipal Money Fund
Schwab Treasury Obligations Money Fund		Schwab California AMT Tax-Free Money Fund
Schwab Value Advantage Money Fund		Schwab New York AMT Tax-Free Money Fund
Schwab Advisor Cash Reserves		Schwab New Jersey AMT Tax-Free Money Fund
Schwab Cash Reserves		Schwab Pennsylvania Municipal Money Fund
Schwab Retirement Advantage Money Fund		Schwab Massachusetts AMT Tax-Free Money Fund

Schwab Municipal Money Fund offers four share classes: Sweep Shares, Value Advantage Shares, Select Shares and Institutional Shares. Schwab AMT Tax-Free Money Fund offers two share classes: Sweep Shares and Value Advantage Shares. Shares of each class represent interest in the same portfolio, but each class has different expenses and investment minimums.

2. Significant Accounting Policies:

(a) Security Valuation:

Schwab Municipal Money Fund and Schwab AMT Tax-Free Money Fund

Financial Notes, unaudited (continued)

2. Significant Accounting Policies (continued):

The three levels of the fair value hierarchy are as follows:


	•	Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. The funds do not adjust the quoted prices for such investments, even in situations where the funds hold a large position and a sale could reasonably impact the quoted price.

	•	Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information. Securities held by money funds operating under Rule 2a-7 of the 1940 Act are valued at amortized cost which approximates current market value and are considered to be valued using Level 2 inputs.

	•	Level 3 — significant unobservable inputs (including the funds’ own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the funds use one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the funds in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the funds in the absence of market information. Assumptions used by the funds due to the lack of observable inputs may significantly impact the resulting fair value and therefore the funds’ results of operations.

The funds’ policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year.

The levels associated with valuing the funds’ investments for the period ended June 30, 2012 are disclosed in the Portfolio Holdings.

(b) Accounting Policies for certain Portfolio Investments (if held):

(c) Security Transactions:

(d) Investment Income:

Schwab Municipal Money Fund and Schwab AMT Tax-Free Money Fund

Financial Notes, unaudited (continued)

2. Significant Accounting Policies (continued):

(e) Expenses:

(f) Distributions to Shareholders:

(g) Custody Credit:

(h) Accounting Estimates:

(i) Federal Income Taxes:

(j) Indemnification:

3. Credit and Liquidity Enhancements:


	Schwab	Schwab
	Municipal	AMT Tax-Free
	Money Fund	Money Fund

% of investments in securities with credit enhancements or liquidity enhancements	83%	83%
Largest % of investments in securities with credit enhancements or liquidity enhancements from a single institution	13% (Wells Fargo Group)	14% (Wells Fargo Group)

Schwab Municipal Money Fund and Schwab AMT Tax-Free Money Fund

Financial Notes, unaudited (continued)

4. Risk Factors:

State and regional factors could affect a fund’s performance. To the extent that a fund invests in securities from a given state or geographic region, its share price and performance could be affected by local, state and regional factors, including erosion of the tax base and changes in the economic climate. National governmental actions, such as elimination of tax-exempt status, also could affect performance. In addition, a municipality or municipal project that relies directly or indirectly on national governmental funding mechanisms may be negatively affected by the national government’s current budgetary constraints.

Schwab Municipal Money Fund and Schwab AMT Tax-Free Money Fund

Financial Notes, unaudited (continued)

4. Risk Factors (continued):

Please refer to the funds’ prospectus for a more complete description of the principal risks of investing in the funds.

5. Affiliates and Affiliated Transactions:


Average Daily Net Assets

First $1 billion			0.35%
More than $1 billion but not exceeding $10 billion			0.32%
More than $10 billion but not exceeding $20 billion			0.30%
More than $20 billion but not exceeding $40 billion			0.27%
Over $40 billion			0.25%

The Board of Trustees has adopted a Shareholder Servicing and Sweep Administration Plan (the “Plan”) on behalf of the funds. The Plan enables each fund to bear expenses relating to the provision by service providers, including Charles Schwab & Co., Inc. (a broker-dealer affiliate of CSIM, “Schwab”), of certain account maintenance, customer liaison and shareholder services to the current shareholders of the funds. Schwab serves as the funds’ paying agent under the Plan for making payments of the shareholder service fee due to the service providers (other than Schwab) under the Plan. All shareholder service fees paid by the funds to Schwab in its capacity as the funds’ paying agent will be passed through to the service providers, and Schwab will not retain any portion of such fees. The Plan also enables the funds to pay Schwab for certain sweep administration services, such as processing of automatic purchases and redemptions it provides to fund shareholders invested in the funds.

Pursuant to the Plan, each fund’s shares are subject to an annual shareholder servicing fee and an annual sweep administration fee up to the amount set forth in the table below. The shareholder servicing fee paid to a particular service provider is made pursuant to its written agreement with Schwab (or, in the case of payments made to Schwab, pursuant to Schwab’s written agreement with the funds), and the funds will pay no more than the amounts listed in the table below of the average annual daily net asset value of the fund shares owned by shareholders holding shares through such service providers. The sweep administration fee paid to Schwab is based on the average daily net asset value of the fund shares owned by shareholders holding shares through Schwab. Payments under the Plan are made as described above regardless of Schwab’s or the service provider’s actual cost of providing the services. If the cost of providing the services under the Plan is less than the payments received, the unexpended portion of the fees may be retained as profit by Schwab or the service provider.


	Shareholder Service Fees		Sweep Administration Fees

Sweep Shares		0.25%		0.10%
Value Advantage Shares		0.22%		n/a
Select Shares		0.22%		n/a
Institutional Shares		0.22%		n/a

Schwab Municipal Money Fund and Schwab AMT Tax-Free Money Fund

Financial Notes, unaudited (continued)

5. Affiliates and Affiliated Transactions (continued):

Contractual Expense Limitation

Although these agreements specify certain fees for these services, CSIM and Schwab have made an additional agreement (“expense limitation”) with each fund to limit the total annual fund operating expenses, excluding interest, taxes, and certain non-routine expenses, as follows:


	Schwab		Schwab
	Municipal		AMT Tax-Free
	Money Fund		Money Fund

Sweep Shares*		0.62%		0.62%
Value Advantage Shares*		0.45%		0.45%
Select Shares**		0.35%		n/a
Institutional Shares**		0.24%		n/a


*		CSIM and Schwab have agreed to limit this share class’s expenses as described above for so long as CSIM serves as the investment adviser to the fund, which may only be amended or terminated with the approval of the fund’s Board of Trustees.
**		Select Shares and Institutional Shares are only offered by Schwab Municipal Money Fund. CSIM and Schwab have agreed to limit this share class’s expenses as described above through April 29, 2014.

In addition, effective January 1, 2012 through December 31, 2012, CSIM and Schwab agreed to waive an additional amount of the Schwab Municipal Money Fund’s Select Shares, Value Advantage Shares and Sweep Shares expenses and the Schwab AMT Tax-Free Fund’s Value Advantage Shares and Sweep Shares expenses equal to 0.005% of each fund’s or share class’s average daily net assets.

Voluntary Expense Waiver/Reimbursement


	Expiration Date
	December 31, 2012		December 31, 2013		December 31, 2014		December 31, 2015		Total

Schwab Municipal Money Fund
Sweep Shares		$8,083,384		$23,843,079		$29,080,911		$18,010,169		$79,017,543
Value Advantage Shares		363,533		1,515,232		1,512,755		958,001		4,349,521
Select Shares		115		13,581		303,574		290,200		607,470
Institutional Shares		—		—		62,390		162,669		225,059
Schwab AMT Tax-Free Money Fund
Sweep Shares		$2,367,174		$7,285,013		$9,765,098		$6,004,338		$25,421,623
Value Advantage Shares		283,913		1,270,414		1,400,113		861,694		3,816,134


Schwab Municipal Money Fund			$3,976,742,000
Schwab AMT Tax-Free Money Fund			389,535,000

Schwab Municipal Money Fund and Schwab AMT Tax-Free Money Fund

Financial Notes, unaudited (continued)

5. Affiliates and Affiliated Transactions (continued):

During the period, the Schwab Municipal Money Fund and the Schwab AMT Tax-Free Money Fund received a payment of $62,281 and $1,280,641, respectively, related to state filing fees resulting from revised fee calculation methodologies being applied on sales of the fund’s shares in prior periods. This payment is presented in the fund’s Statement of Operations as “State filing fee reimbursement”.

6. Transfer Agent Services:

Boston Financial Data Services, Inc. (“BFDS”) provides transfer agent services for each fund.

7. Board of Trustees:

8. Borrowing from Banks:

9. Federal Income Taxes:

Capital loss carryforwards may be used to offset future realized capital gains for federal income tax purposes. As of December 31, 2011, the funds had no capital loss carryforwards.

Schwab Municipal Money Fund and Schwab AMT Tax-Free Money Fund

Financial Notes, unaudited (continued)

9. Federal Income Taxes (continued):

Certain of the enacted provisions include:

Post-enactment capital losses may now be carried forward indefinitely, but must retain the character of the original loss. Under pre-enactment law, capital losses could be carried forward for eight years, and carried forward as short-term capital, irrespective of the character of the original loss. The Act contains simplification provisions, which are aimed at preventing disqualification of a RIC for “inadvertent” failures of the asset diversification and/or qualifying income tests. Additionally, the Act exempts RICs from the preferential dividend rule, and repeals the 60-day designation requirement for certain types of pay-through income and gains.

10. Subsequent Events:

Investment Advisory Agreement Approval

The Board of Trustees (the “Board” or the “Trustees”, as appropriate) calls and holds one or more meetings each year that are dedicated, in whole or in part, to considering whether to renew the investment advisory agreement between The Charles Schwab Family of Funds (the “Trust”) and Charles Schwab Investment Management, Inc. (“CSIM”) (the “Agreement”) with respect to the existing funds in the Trust, including the Schwab Municipal Money Fund and Schwab AMT Tax-Free Money Fund (the “Funds”), and to review certain other agreements pursuant to which CSIM provides investment advisory services to certain other registered investment companies. In preparation for the meeting(s), the Board requests and reviews a wide variety of materials provided by CSIM, including information about CSIM’s affiliates, personnel and operations. The Board also receives extensive data provided by third parties. This information is in addition to the detailed information about the Funds that the Board reviews during the course of each year, including information that relates to Fund operations and Fund performance. The Independent Trustees receive advice from independent counsel to the Independent Trustees, including a memorandum regarding the responsibilities of trustees for the approval of investment advisory agreements. In addition, the Independent Trustees meet in executive session outside the presence of Fund management and participate in question and answer sessions with representatives of CSIM.


1.	the nature, extent and quality of the services provided to the Funds under the Agreement, including the resources of CSIM and its affiliates dedicated to the Funds;

2.	each Fund’s investment performance and how it compared to that of certain other comparable mutual funds;

3.	each Fund’s expenses and how those expenses compared to those of certain other comparable mutual funds;

4.	the profitability of CSIM and its affiliates, including Charles Schwab & Co., Inc. (“Schwab”), with respect to each Fund, including both direct and indirect benefits accruing to CSIM and its affiliates; and

5.	the extent to which economies of scale would be realized as the Funds grow and whether fee levels in the Agreement reflect those economies of scale for the benefit of Fund investors.

Trustees and Officers

Independent Trustees


Name, Year of Birth,		Number of
and Position(s) with		Portfolios in
the trust; (Terms of		Fund Complex
office, and length of	Principal Occupations	Overseen by
Time Served¹)	During the Past Five Years	the Trustee	Other Directorships

Mariann Byerwalter 1960 Trustee (Trustee of The Charles Schwab Family of Funds since 2000.)	Chairman of JDN Corporate Advisory LLC.	75	Director, Redwood Trust, Inc. (1998 – present) Director, PMI Group Inc. (2001 – 2009)


John F. Cogan 1947 Trustee (Trustee of The Charles Schwab Family of Funds since 2008.)	Senior Fellow, The Hoover Institution at Stanford University (Oct. 1979 – present); Senior Fellow, Stanford Institute for Economic Policy Research; Professor of Public Policy, Stanford University (Sept. 1994 – present).	75	Director, Gilead Sciences, Inc. (2005 – present) Director, Monaco Coach Corporation (2005 – 2009)


William A. Hasler 1941 Trustee (Trustee of The Charles Schwab Family of Funds since 2000.)	Dean Emeritus, Haas School of Business, University of California, Berkeley (July 1998 – present).	75	Director, TOUSA (1998 – present) Director, Mission West Properties (1998 – present) Director, Globalstar, Inc. (2009 – present) Director, Aviat Networks (2001 – present) Director, Ditech Networks Corporation (1997 – Jan. 2012) Director, Aphton Corp. (1991 – 2007) Director, Solectron Corporation (1998 – 2007) Director, Genitope Corporation (2000 – 2009)


David L. Mahoney 1954 Trustee (Trustee of The Charles Schwab Family of Funds since 2011.)	Private Investor.	75	Director, Symantec Corporation (2003 – present) Director, Corcept Therapeutics Incorporated (2004 – present) Director, Tercica Inc. (2004 – 2008)


Kiran M. Patel 1948 Trustee (Trustee of The Charles Schwab Family of Funds since 2011.)	Executive Vice President and General Manager of Small Business Group, Intuit, Inc. (financial software and services for consumers and small businesses) (Dec. 2008 – present); Senior Vice President and General Manager of Consumer Group, Intuit, Inc. (June 2007 – Dec. 2008); Senior Vice President and Chief Financial Officer, Intuit, Inc. (Sept. 2005 – Jan. 2008).	75	Director, KLA-Tencor Corporation (2008 – present) Director, BEA Systems, Inc. (2007 – 2008) Director, Eaton Corp. (2003 – 2006)

Independent Trustees (continued)


Name, Year of Birth,		Number of
and Position(s) with		Portfolios in
the trust; (Terms of		Fund Complex
office, and length of	Principal Occupations	Overseen by
Time Served¹)	During the Past Five Years	the Trustee	Other Directorships

Gerald B. Smith 1950 Trustee (Trustee of The Charles Schwab Family of Funds since 2000.)	Chairman, Chief Executive Officer and Founder of Smith Graham & Co. (investment advisors) (1990 – present).	75	Lead Independent Director, Board of Cooper Industries (2002 – present) Director and Chairman of the Audit Committee, Oneok Partners LP (2003 – present) Director, Oneok, Inc (2009 – present)


Joseph H. Wender 1944 Trustee (Trustee of The Charles Schwab Family of Funds since 2008.)	Senior Consultant, Goldman Sachs & Co., Inc. (Jan. 2008- present); Partner, Colgin Partners, LLC (vineyards) (February 1998 – present); Senior Director, Chairman of the Finance Committee, GSC Group (July 2005 – Dec. 2007); General Partner, Goldman Sachs & Co., Inc. (Oct. 1982 – June 2005).	75	Board Member and Chairman of the Audit Committee, Isis Pharmaceuticals (1994 – present)

Interested Trustees


Name, Year of Birth,		Number of
and Position(s) with		Portfolios in
the trust; (Terms of		Fund Complex
office, and length of	Principal Occupations	Overseen by
Time Served )	During the Past Five Years	the Trustee	Other Directorships

Charles R. Schwab²1937 Chairman and Trustee (Chairman and Trustee of The Charles Schwab Family of Funds since 1995.)	Chairman and Director, The Charles Schwab Corporation, Charles Schwab & Co., Inc., Charles Schwab Investment Management, Inc., Charles Schwab Bank, N. A.; Chairman and Chief Executive Officer, Schwab (SIS) Holdings Inc. I, Schwab International Holdings, Inc.; Chief Executive Officer, Schwab Holdings, Inc.; Through June 2007, Director, U.S. Trust Company, N. A., U.S. Trust Corporation, United States Trust Company of New York. Until October 2008, Chief Executive Officer, The Charles Schwab Corporation, Charles Schwab & Co., Inc.	75	None


Walter W. Bettinger II²1960 Trustee (Trustee of The Charles Schwab Family of Funds since 2008.)	As of October 2008, President and Chief Executive Officer, Charles Schwab & Co., Inc. and The Charles Schwab Corporation. Since October 2008, Director, The Charles Schwab Corporation. Since May 2008, Director, Charles Schwab & Co., Inc. and Schwab Holdings, Inc. Since 2006, Director, Charles Schwab Bank. From 2004 through 2007, Executive Vice President and President, Schwab Investor Services. From 2004 through 2005, Executive Vice President and Chief Operating Officer, Individual Investor Enterprise, and from 2002 through 2004, Executive Vice President, Corporate Services. Until October 2008, President and Chief Operating Officer, Charles Schwab & Co., Inc. and The Charles Schwab Corporation.	92	None

Officers of the Trust


Name, Year of Birth, and Position(s)
with the trust; (Terms of office, and
length of Time Served³)		Principal Occupations During the Past Five Years

Marie Chandoha 1961 President and Chief Executive Officer (Officer of The Charles Schwab Family of Funds since 2010.)		Executive Vice President, Charles Schwab & Co., Inc. (Sept. 2010 – present); Director, President and Chief Executive Officer (Dec. 2010 – present), Chief Investment Officer (Sept. 2010 – Oct. 2011), Charles Schwab Investment Management, Inc.; President and Chief Executive Officer (Dec. 2010 – present) and Chief Investment Officer (Dec. 2010 – Oct. 2011), Schwab Funds, Laudus Funds and Schwab ETFs; Global Head of Fixed Income Business Division, BlackRock, Inc. (formerly Barclays Global Investors) (March 2007 – August 2010); Co-Head and Senior Portfolio Manager, Wells Capital Management (June 1999 – March 2007).


George Pereira 1964 Treasurer and Principal Financial Officer (Officer of The Charles Schwab Family of Funds since 2004.)		Senior Vice President and Chief Financial Officer (Nov. 2004 – present); Chief Operating Officer (Jan. 2011 – present), Charles Schwab Investment Management, Inc.; Treasurer and Chief Financial Officer, Laudus Funds (June 2006 – present); Treasurer and Principal Financial Officer, Schwab Funds (Nov. 2004 – present) and Schwab ETFs (Oct. 2009 – present); Director, Charles Schwab Worldwide Fund, PLC and Charles Schwab Asset Management (Ireland) Limited (April 2005 – present); Treasurer, Chief Financial Officer and Chief Accounting Officer, Excelsior Funds Inc., Excelsior Tax-Exempt Funds, Inc., and Excelsior Funds Trust (June 2006 – June 2007).


Omar Aguilar 1970 Senior Vice President and Chief Investment Officer – Equities (Officer of The Charles Schwab Family of Funds since 2011.)		Senior Vice President and Chief Investment Officer – Equities, Charles Schwab Investment Management, Inc. (April 2011 – present); Senior Vice President and Chief Investment Officer – Equities, Schwab Funds and Laudus Funds (June 2011 – present); Head of the Portfolio Management Group and Vice President of Portfolio Management, Financial Engines, Inc. (May 2009 – April 2011); Head of Quantitative Equity, ING Investment Management (July 2004 – Jan. 2009).


Brett Wander 1961 Senior Vice President and Chief Investment Officer – Fixed Income (Officer of The Charles Schwab Family of Funds since 2011.)		Senior Vice President and Chief Investment Officer – Fixed Income, Charles Schwab Investment Management, Inc. (April 2011 – present); Senior Vice President and Chief Investment Officer – Fixed Income, Schwab Funds and Laudus Funds (June 2011 – present); Senior Managing Director, Global Head of Active Fixed-Income Strategies, State Street Global Advisors (Jan. 2008 – Oct. 2010); Director of Alpha Strategies, Loomis, Sayles & Company (April 2006 – Jan. 2008); Managing Director, Head of Market-Based Strategies, State Street Research (August 2003 – Jan. 2005).


David Lekich 1964 Secretary and Chief Legal Officer (Officer of The Charles Schwab Family of Funds since 2011.)		Senior Vice President, Charles Schwab & Co., Inc., (Sept. 2011 – present); Senior Vice President, Chief Counsel, Charles Schwab Investment Management Inc. (Sept. 2011 – present); Vice President, Charles Schwab & Co., Inc., (March 2004 – Sept. 2011) and Charles Schwab Investment Management, Inc. (Jan 2011 – Sept. 2011); Secretary, Schwab Funds (April 2011 – present); Vice President and Assistant Clerk, Laudus Funds (April 2011 – present); Secretary (May 2011 – present) and Chief Legal Officer (Nov. 2011 – present), Schwab ETFs.


Catherine MacGregor 1964 Vice President (Officer of The Charles Schwab Family of Funds since 2005.)		Vice President, Charles Schwab & Co., Inc., Charles Schwab Investment Management, Inc. (July 2005 – present); Vice President (Dec. 2005 – present), Chief Legal Officer and Clerk (March 2007 – present), Laudus Funds; Vice President (Nov. 2005 – present) and Assistant Secretary (June 2007 – present), Schwab Funds; Vice President and Assistant Secretary, Schwab ETFs (Oct. 2009 – present).


¹		Trustees remain in office until they resign, retire or are removed by shareholder vote. The Schwab Funds^® retirement policy requires that independent trustees elected after January 1, 2000 retire at age 72 or after twenty years as a trustee, whichever comes first. In addition, the Schwab Funds retirement policy also requires any independent trustee of the Schwab Funds who also serves as an independent trustee of the Laudus Funds to retire from the Boards of the Schwab Funds upon their required retirement date from either the Boards of Trustees of the Schwab Funds or the Laudus Funds, whichever comes first.
²		Mr. Schwab and Mr. Bettinger are Interested Trustees because they are employees of Schwab and/or the investment adviser. In addition to their employment with Schwab and/or the investment adviser, Messrs. Schwab and Bettinger also own stock of The Charles Schwab Corporation, the parent company of Schwab and the investment adviser.
³		The President, Treasurer and Secretary hold office until their respective successors are chosen and qualified or until he or she sooner dies, resigns, is removed or becomes disqualified. Each of the other officers serves at the pleasure of the Board.