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Estate Tax Calculator
Estimate federal and state estate tax liability based on your net worth and applicable exemptions. We're building this calculator now — check back soon.
Estimate federal and state estate tax liability based on your net worth and applicable exemptions. We're building this calculator now — check back soon.
The federal estate tax applies to wealth transfers at death when the taxable estate exceeds the lifetime exemption. This calculator estimates your potential federal estate tax liability based on total estate value, applicable deductions, and the current exemption amount. It also projects exposure under different scenarios — including the 2025 sunset of the elevated TCJA exemption — so you can plan with both current and post-sunset numbers.
Taxable Estate = Gross Estate − Deductions (marital, charitable, debts)
Estate Tax = (Taxable Estate − Exemption) × 40%
The federal estate tax rate is a flat 40% on the taxable estate above the exemption. In 2024, the exemption is $13.61 million per individual ($27.22 million for married couples using portability). The TCJA's doubled exemption sunsets after December 31, 2025, reverting to approximately $7 million per person (inflation-adjusted) unless Congress acts.
Portability allows a surviving spouse to use the deceased spouse's unused exemption (DSUE). If a husband dies using $5 million of his $13.61 million exemption, his wife can elect to add the remaining $8.61 million DSUE to her own. Portability must be elected on a timely filed estate tax return (Form 706) even if no tax is due.
Assets included in a taxable estate receive a stepped-up cost basis at death — heirs inherit at fair market value on the date of death, eliminating capital gains tax on appreciation during the decedent's lifetime. A home bought for $100,000 worth $800,000 at death passes to heirs with an $800,000 basis.
You can give up to $18,000 per recipient per year (2024) without using any lifetime exemption. A married couple can jointly give $36,000 per recipient. This reduces the taxable estate over time with no gift tax consequences.
Yes. Federal estate tax is paid by the estate before assets are distributed. Inheritance tax is paid by individual heirs on what they receive. The US has no federal inheritance tax, but 6 states (Iowa, Kentucky, Maryland, Nebraska, New Jersey, and Pennsylvania) have state inheritance taxes. Maryland has both.
Yes — the unlimited marital deduction allows unlimited asset transfers between US citizen spouses free of estate and gift tax. However, this only defers the tax. When the surviving spouse dies, the combined estate is subject to estate tax above their available exemption. Non-citizen spouses do not qualify for the unlimited marital deduction.
Yes — traditional IRAs, 401(k)s, and other pre-tax retirement accounts are included in the gross estate. Heirs also pay ordinary income tax on withdrawals — this "double taxation" makes retirement assets among the worst to leave in taxable estate scenarios. Consider Roth conversions or charitable bequests as strategies.
Form 706 must be filed within 9 months of death (with a 6-month extension available) if the gross estate exceeds $13.61 million in 2024. Even if no tax is due, filing may be advisable to elect portability of the DSUE for the surviving spouse.
The Capital Gains Tax Calculator helps you understand the step-up in basis benefit for appreciated assets. For Roth conversion planning (better assets to leave to heirs), use the Tax Calculator. The Net Worth Calculator gives a complete picture of your current estate value.