2026 figures

Estate tax estimator

Estimate federal and state estate tax for 2026 using the $15,000,000 federal exemption made permanent by the One Big Beautiful Bill Act. Covers portability, every state that levies an estate or inheritance tax, and the three places where the arithmetic stops being simple.

$15M
Federal exemption per person in 2026
40%
Effective flat rate on the excess
12 + DC
States with an estate tax
5
States with an inheritance tax

Estimate the tax

Adjust the inputs and the estimate updates as you type. Nothing is submitted or stored — the calculation runs entirely in your browser.

The estate

$18M
$0$60M
$

All assets at fair market value, including retirement accounts, life insurance you own, and assets held in a revocable trust.

Marital status

Determines which state estate or inheritance tax applies.

Other states with real or tangible property

State estate taxes reach in-state real and tangible property even for nonresidents. Only states that levy a tax are listed.

Washington’s exclusion and top rate both change on July 1, 2026, so the date of death changes the result there.

$

Gifts above the annual exclusion that used up unified exemption. The $19,000 per-recipient annual exclusion for 2026 does not count here.

$

Deducted in full under the unlimited marital deduction, unless the spouse is not a U.S. citizen.

$

Deducted in full under the unlimited charitable deduction.

A revocable trust avoids probate but does not remove assets from the taxable estate.

Estimated total transfer tax

$4,080,000

About 22.7% of the gross estate of $18M.

  • Exempt / deducted$15,000,000
  • Taxable$3,000,000
Federal estate tax
$1,200,000
State estate tax
$2,880,000
State inheritance tax
$0
Combined
$4,080,000

This estate is over the New York cliff

Because the estate exceeds 105% of New York's exemption (about $7,717,500 for 2026), New York taxes the entire estate rather than only the amount above the exemption. Just past the cliff the marginal cost of an additional dollar is extreme. This is a well-known planning trap and a situation where professional advice matters most.

What was applied

  • 2026 federal basic exclusion$15,000,000

    Set permanently at $15,000,000 by OBBBA §70411 and confirmed in Rev. Proc. 2025-32. Indexed for inflation beginning in 2027.

State estate tax detail

  • New Yorkcliff triggered$2,880,000

    Exemption $7,350,000. Estate exceeds 105% of the exemption, so New York taxes the entire estate, not just the excess.

    New York applies a cliff: once the estate exceeds 105% of the exemption (about $7,717,500 for 2026), the entire estate is taxed, not just the excess. Gifts within 3 years are added back and there is no portability. Source: New York State Department of Taxation and Finance.

How estate tax actually works in 2026

Estate tax is charged on the transfer of property at death. The federal government taxes the estate itself, and a small number of states add a tax of their own — either an estate tax on the estate, or an inheritance tax paid by each heir based on how they were related to the person who died. Most people will never owe federal estate tax. The federal exemption for deaths in 2026 is $15,000,000 per person, and fewer than 0.1% of estates pay anything at all.

State thresholds are a different matter. Oregon taxes estates above $1,000,000 and Massachusetts above $2,000,000 — levels an ordinary home, a retirement account, and a life insurance policy can reach together. For most households that are exposed to any death tax, the exposure is at the state level, which is why the calculator above asks where you live and where you own property before it asks anything else.

The federal calculation, step by step

  1. Start with the gross estate

    Every asset at fair market value: real property, investments, business interests, retirement accounts, and life insurance you owned. Assets in a revocable living trust are included here, even though they will avoid probate.

  2. Subtract the deductions

    Amounts passing outright to a surviving U.S.-citizen spouse are deducted in full under the unlimited marital deduction. Amounts passing to qualified charities are deducted in full as well. Debts and administration expenses also reduce the estate.

  3. Apply the exemption

    The 2026 basic exclusion amount is $15,000,000. Lifetime taxable gifts you already made reduce it dollar for dollar, because the gift and estate exemptions are unified. If a prior spouse's unused exclusion was ported to you on a timely Form 706, it is added on top.

  4. Tax the excess at 40%

    The rate schedule runs from 18% to 40%, but the exemption is applied as a credit — $5,945,800 for 2026, exactly the tax on $15,000,000 — which absorbs every lower bracket. The practical result is a flat 40% on everything above the exemption.

States with an estate tax in 2026

Twelve states plus the District of Columbia levy an estate tax. Exemptions run from $1,000,000 in Oregon to $15,000,000 in Connecticut, which tracks the federal figure.

State2026 exemptionTop rateNotable
Connecticut$15,000,00012%Tracks the federal exemption since 2023. Connecticut is the only state with its own gift tax, and combined estate-and-gift liability is capped at $15,000,000.
Hawaii$5,490,00020%The exclusion is reduced by federal adjusted taxable gifts. Portable between spouses via Form M-6.
Illinois$4,000,00016%Illinois uses a credit-offset method that spikes the effective rate just above the $4,000,000 threshold. The exemption is flat and is not indexed for inflation.
Maine$7,160,00012%Inflation-indexed; up from $7,000,000 in 2025. Graduated 8% / 10% / 12% on the amount above the exemption.
Maryland$5,000,00016%Flat $5,000,000 exemption since 2019. Maryland is the only state with both an estate tax and an inheritance tax. Portable via Form MET-1.
Massachusetts$2,000,00016%Massachusetts computes tax on the full estate and then applies a $99,600 credit, rather than exempting the first $2,000,000 outright.
Minnesota$3,000,00016%Flat $3,000,000 exemption plus a qualified farm or small-business subtraction of up to $2,000,000. Gifts made within 3 years of death are added back.
New York$7,350,00016%New York applies a cliff: once the estate exceeds 105% of the exemption (about $7,717,500 for 2026), the entire estate is taxed, not just the excess. Gifts within 3 years are added back and there is no portability.
Oregon$1,000,00016%The lowest exemption in the nation, flat at $1,000,000 since 2012.
Rhode Island$1,838,05616%CPI-U indexed; up from $1,802,431 in 2025. Implemented as an $87,940 credit.
Vermont$5,000,00016%Flat 16% on the amount above a flat $5,000,000 exemption. Gifts made within 2 years of death are added back.
Washington$3.08M / $3.00M35% / 20%Washington's treatment changes mid-2026. The exemption is not portable between spouses and is effectively frozen because it references a defunct Seattle-area CPI.
District of Columbia$4,988,40016%Inflation-indexed; up from $4,873,200 in 2025.

States with an inheritance tax in 2026

Five states levy an inheritance tax, which is paid by the person who inherits rather than by the estate, and the rate depends on the relationship. Close family is usually exempt; distant relatives and unrelated beneficiaries pay the most. Maryland is the only state with both taxes. Iowa repealed its inheritance tax for deaths on or after January 1, 2025.

Kentucky

Class A heirs (spouse, parent, child, grandchild, sibling, half-sibling) are fully exempt. Class B rates run 4%–16% with the first $1,000 exempt; Class C rates run 6%–16% with the first $500 exempt.

Maryland

Spouse, children and other lineal descendants, parents, grandparents, a child's spouse, and full siblings are exempt. Everyone else pays a flat 10% with the first $1,000 per person exempt.

Nebraska

Spouses are fully exempt, as is any beneficiary under age 22. Immediate relatives pay 1% above a $100,000 exemption, remote relatives 11% above $40,000, and all others 15% above $25,000.

New Jersey

Class A (spouse, domestic partner, parents, children, grandchildren, stepchildren) is exempt. Class C (siblings, children-in-law) pays 11%–16% after a $25,000 exemption. Class D pays 15%–16% with no exemption.

Pennsylvania

Spouses, charities, and transfers from a parent to a child aged 21 or under are exempt. Lineal heirs pay 4.5%, siblings 12%, and everyone else 15%. There is no general dollar exemption.

Three places the arithmetic stops being simple

Washington splits the year in half

For deaths from January 1 through June 30, 2026, Washington applies a $3,076,000 exclusion and a 35% top rate — the highest in the country. For deaths on or after July 1, 2026, ESB 6347 resets the exclusion to $3,000,000 and drops the top rate to 20%. The same estate produces a materially different bill on either side of that date, so the calculator branches on the date of death rather than using one set of figures.

New York taxes everything once you cross the line

New York's exemption is $7,350,000, but it phases out. Once the estate exceeds 105% of that — about $7,717,500 — New York taxes the entire estate rather than only the excess. An estate a dollar over the cliff can owe more than twenty times what an estate a dollar under owes. The calculator implements this as real branching logic and warns you when you are inside or above the band.

Illinois spikes just above its threshold

Illinois computes tax from the pre-2005 federal state death tax credit table rather than as a flat rate on the excess, with a cap so the tax never exceeds the amount over $4,000,000. In roughly the first $280,000 above the threshold, the estate keeps almost none of the excess before the effective rate decays. The calculator models the mechanism rather than approximating it.

Where these figures come from

One Big Beautiful Bill Act (P.L. 119-21), §70411
Amended IRC §2010(c)(3) to set the basic exclusion amount at $15,000,000 for deaths and gifts after December 31, 2025, removed the TCJA sunset, and indexes the amount for inflation beginning in 2027.
IRS Revenue Procedure 2025-32
Confirms the 2026 basic exclusion amount of $15,000,000 (up $1,010,000 from $13,990,000 in 2025) and the $19,000 gift tax annual exclusion.
Washington ESB 6347
Splits Washington's 2026 treatment at July 1: deaths January 1 – June 30, 2026 use a $3,076,000 exclusion and a 35% top rate; deaths on or after July 1, 2026 use a $3,000,000 exclusion and a 20% top rate.
Tax Foundation state death tax compilation (January 1, 2026)
Cross-check for the list of 12 states plus the District of Columbia levying an estate tax and the 5 states levying an inheritance tax.

Questions about estate tax

How the exemption works, what portability requires, and where the state rules get complicated.

For deaths in calendar year 2026 the basic exclusion amount is $15,000,000 per individual, up from $13,990,000 in 2025 — an increase of $1,010,000. A married couple can shield $30,000,000 combined if portability is properly elected. The figure was set by Section 70411 of the One Big Beautiful Bill Act (P.L. 119-21), signed July 4, 2025, and is confirmed in IRS Revenue Procedure 2025-32. The widely reported 'sunset' back to roughly $7,000,000 did not happen: OBBBA amended IRC §2010(c)(3) to set the amount permanently and struck the TCJA expiration.
In practice, yes, for almost every estate that owes anything. The federal rate schedule under IRC §2001(c) is technically graduated from 18% up to 40%, but the exemption is applied as a credit — the applicable credit amount is $5,945,800 for 2026, which is exactly the tax on $15,000,000. That credit absorbs all of the lower brackets, so every dollar above the exemption is effectively taxed at 40%. A $17,000,000 taxable estate owes roughly 40% of the $2,000,000 excess, or about $800,000. This calculator uses that flat-40%-on-excess logic.
Fewer than 0.1% of estates pay any federal estate tax. Because the tax applies only to value above the exemption, even the estates that do pay owe far less than the 40% top marginal rate suggests — taxable estates will owe about 14.1% of their value on average in 2026, according to the Center on Budget and Policy Priorities. For most households the relevant exposure is a state estate or inheritance tax, where thresholds are often far lower than the federal one.
Portability lets a surviving spouse add the Deceased Spousal Unused Exclusion (DSUE) — the part of the first spouse's exemption that went unused — to their own. It is not automatic. The executor of the first spouse's estate must file a complete and timely Form 706 and affirmatively make the election, even when that estate owes no tax and is below the filing threshold. Form 706 is generally due 9 months after death, extendable by 6 months to 15 months total with Form 4768. Estates not otherwise required to file may use a simplified late election within 5 years of death under Rev. Proc. 2022-32. Missing this is one of the most expensive avoidable errors in estate planning.
Twelve states plus the District of Columbia levy an estate tax: Connecticut, Hawaii, Illinois, Maine, Maryland, Massachusetts, Minnesota, New York, Oregon, Rhode Island, Vermont, Washington, and DC. Five states levy an inheritance tax, which is paid by the heir rather than the estate: Kentucky, Maryland, Nebraska, New Jersey, and Pennsylvania. Maryland is the only state with both. Iowa fully repealed its inheritance tax for deaths on or after January 1, 2025 and is no longer an inheritance-tax state. Thirty-three states plus California have neither, and no Sun Belt state — Florida, Texas, Arizona, Nevada, the Carolinas — has either.
Because Washington's law changes in the middle of 2026. For deaths from January 1 through June 30, 2026, the exclusion is $3,076,000 and the top rate is 35%, the highest in the nation. For deaths on or after July 1, 2026, ESB 6347 resets the exclusion to exactly $3,000,000 and rolls the top rate back to 20%. The same estate can produce materially different tax depending on which side of July 1 the death falls. Washington's exclusion is also not portable between spouses, and it is effectively frozen because it references a defunct Seattle-area CPI.
New York phases out its exemption rather than exempting a fixed amount. The 2026 exemption is $7,350,000, but once an estate exceeds 105% of that figure — about $7,717,500 — New York taxes the entire estate, not just the amount above the exemption. Just below the cliff an estate might owe tens of thousands; just above it, the same estate can owe well over a million. In that narrow band the marginal rate on an additional dollar is extraordinary. New York also adds back gifts made within 3 years of death and offers no portability. This calculator implements the cliff as real branching logic and warns you when your inputs land in or above the band.
Illinois has a flat $4,000,000 exemption that is not indexed for inflation, but it does not simply tax the excess at a flat rate. It computes tax from the pre-2005 federal state death tax credit table, with the result capped so the tax never exceeds the amount by which the estate exceeds $4,000,000. The practical effect is that in roughly the first $280,000 above the threshold, the estate keeps almost none of the excess — an effective marginal rate near 100% — before the effective rate decays as the estate grows. This calculator models that mechanism rather than approximating it with a flat rate.
No. This is one of the most common misconceptions in estate planning. Assets in a revocable living trust are still fully included in your taxable estate, because you retained control over them during life. What a revocable trust does is avoid probate — the court process that the probate cost estimator measures — which is a real and often substantial saving, but a separate one. Only certain irrevocable structures actually move value out of the taxable estate, and those involve giving up control permanently. The two questions are genuinely different and are easy to conflate.
Yes. State estate taxes generally reach real and tangible personal property located in the state even when the owner was a resident somewhere else. A Florida resident who owns a vacation home in Oregon — which has the lowest exemption in the nation at $1,000,000 — can create an Oregon filing obligation despite Florida having no estate tax at all. Property in several states can also trigger ancillary probate in each of them. This calculator lets you add other states where you hold property, but it adds each state independently and does not model the credits or apportionment that real multi-state filings often involve.
The gift and estate tax exemptions are unified, so lifetime taxable gifts reduce the exemption available at death dollar for dollar. What does not count against it is the annual exclusion, which is $19,000 per recipient for 2026 — unchanged from 2025 — and $38,000 per recipient for a married couple using gift-splitting, which requires filing Form 709. Direct payments of tuition to an institution and medical expenses to a provider are unlimited and entirely excluded under IRC §2503(e). The annual exclusion for gifts to a non-U.S.-citizen spouse rises to $194,000 in 2026.
The unlimited marital deduction is not available for transfers to a spouse who is not a U.S. citizen. Instead, the assets generally must pass through a Qualified Domestic Trust (QDOT) to defer the tax, and the rules around funding and administering a QDOT are technical. This calculator still subtracts whatever you enter as passing to a spouse, so if you flag a non-citizen spouse it will warn you that the real exposure may be substantially higher than the figure shown. This is a situation that genuinely requires an estate attorney.
It has no scheduled expiration, which is what 'permanent' means in this context — OBBBA removed the TCJA sunset rather than extending it. But permanence here is political, not literal: a future Congress can change the figure at any time, and past legislative proposals have floated reductions to as low as $3,500,000. The amount is also indexed for inflation beginning in 2027, using 2025 as the base year and the chained CPI-U; there is no adjustment for 2026 because $15,000,000 is the statutory baseline. Plans that depend on the current figure, particularly older wills and trusts containing formula clauses that key off the exemption amount, deserve periodic review.
No, and that is a deliberate limitation. The GST tax applies to transfers to grandchildren and other skip persons, and it has its own $15,000,000 exemption that — unlike the estate tax exemption — is not portable between spouses. GST planning interacts with trusts and allocation elections in ways a short form cannot model. If meaningful value is passing to a generation below your children, the calculator will flag it, but you should treat GST exposure as a question for a professional rather than something to estimate here.

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