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Tax

Inheritance Tax Calculator

Enter the estate value and exemption thresholds to estimate federal and state estate taxes owed.

Updated June 2026 · Editorial standards

Estate Details

$
$
%
$
%
Total Estate Tax
$0
Net Estate to Heirs
$5,000,000
Federal Tax
$0
Effective Rate
0.00%

This estate of $5,000,000 is below both the federal ($13.61M) and state exemption thresholds — no estate tax is owed.Federal exemption may drop to ~$7M after 2025 if Congress doesn't act. Consult an estate attorney about trusts and gifting strategies to reduce exposure.

By the KalkWise Editorial Team Reviewed for accuracy Updated June 2026

What is the inheritance tax calculator — estate & inheritance tax estimate?

In short

The federal estate tax applies to estates above $13.61 million per person (2024), taxing the excess at up to 40%. Only about 0.1% of estates owe federal estate tax. Many states have lower thresholds ($1–5M) with rates of 10–20%. Assets passing to spouses are generally tax-free via the marital deduction.

Estimates federal estate tax and state estate/inheritance tax on an estate, showing taxable portions above each exemption threshold and total tax owed.

How to use this calculator

  1. 1Enter the total estate value (all assets minus debts).
  2. 2Federal exemption defaults to $13.61 million (2024) — adjust if the exemption changes.
  3. 3Enter state exemption (varies by state; $0 in no-estate-tax states).
  4. 4Enter federal rate (40% default) and state rate.

The formula

federal tax=estate−exemption1×federal rate
total tax=federal tax+state tax
Federal Tax = max(0, E − F_ex) × r_f; State Tax = max(0, E − S_ex) × r_s; Total = Federal + State
E
— Estate value
F_ex
— Federal exemption
S_ex
— State exemption
r_f
— Federal rate
r_s
— State rate

Worked example

The scenario

$20M estate, $13.61M federal exemption at 40%, $2M state exemption at 16%.

gives

The result

Federal taxable estate = $6.39M. Federal tax = $2.556M. State taxable = $18M. State tax = $2.88M. Total = $5.436M.

Common use cases

  • Estate planning to minimize tax burden.
  • Understand whether gifts, trusts, or charitable donations should be used.
  • Evaluate life insurance needs to cover estate taxes.
  • Compare tax burden in different states for residency planning.

Limitations & assumptions

  • The federal exemption sunsets to ~$7M (inflation-adjusted) after 2025 unless Congress acts.
  • Many assets have special rules: IRAs, business interests, farmland, and life insurance have different treatments.
  • The marital deduction allows unlimited tax-free transfers to a US-citizen spouse.
  • Estate planning tools (irrevocable trusts, GRATs, charitable giving) can reduce exposure significantly — consult an estate attorney.

Frequently asked questions

12 states + DC have estate taxes: Connecticut, Hawaii, Illinois, Maine, Maryland, Massachusetts, Minnesota, New York, Oregon, Rhode Island, Vermont, Washington. 6 states have inheritance taxes (paid by heirs): Iowa, Kentucky, Maryland, Nebraska, New Jersey, Pennsylvania. Maryland has both.

Disclaimer: KalkWise calculators are provided for general informational and educational purposes only and do not constitute financial, investment, tax, or legal advice. Results are estimates based on the figures you enter and the assumptions described above. Actual outcomes will vary. Consult a qualified professional before making financial decisions.