About the Estate Tax Calculator
Estate Tax Calculator helps estimate the key numbers involved in tax & salary decisions. It is designed for quick scenario comparison: enter a realistic set of values, calculate the result, then change one assumption at a time to see what has the greatest effect. Unlike a static table, the result responds to your inputs and keeps the calculation in your browser. Amounts are displayed in U.S. dollars for consistency, but the mathematical formulas can be used with another currency when every monetary input uses that same currency.
How to use this calculator
Enter values that match your situation and select Calculate result. Review the main result and its supporting figures, then change one input at a time to compare scenarios. Results are rounded for readability while the calculation retains additional precision internally.
Information you will need
- Gross income
- Filing status
- Deductions
- State
How the calculation works
US federal and state income tax estimate using 2024 brackets. Read the primary result together with the supporting values rather than focusing on one number alone. A useful estimate should make its assumptions visible. If the answer looks surprising, verify the unit, rate, time period, and whether the entered value is gross or net. Run a conservative and an optimistic scenario to understand the range of possible outcomes.
Formula or method
Progressive bracket calculation for federal, flat rate for state.
Worked example
$75,000 single, $14,600 standard deduction.
The example is illustrative rather than a recommendation. Use your own verified values and keep all monetary or measurement units consistent. When comparing alternatives, save or note each result so the assumptions do not become mixed.
How to interpret the result
The primary output answers the main question posed by the estate tax calculator, while the additional cards provide context. A result with many decimal places is not necessarily more certain. The displayed precision makes comparison easier, but uncertainty in the inputs can be larger than the rounding difference.
Compare the result with a second scenario using a less favorable rate, return, cost, or time period. This sensitivity check often provides more useful planning information than one best-case projection.
Limitations and important notes
The estate tax calculator is a planning tool, not a quote, filing calculation, lending decision, or promise of future performance. It does not automatically retrieve live market rates or apply every fee, tax bracket, program rule, product limit, or state law. Rules for products such as FHA, VA, Social Security, retirement accounts, and taxes can change. Confirm time-sensitive values with the lender, plan administrator, IRS, SSA, or another relevant authority before acting.
Frequently asked questions
What is the federal estate tax and who actually pays it?
The federal estate tax is a tax on the transfer of your assets at death, paid by the estate before heirs receive the assets. It only applies to estates above the exemption—roughly $15 million per person for the current tax year, or about $30 million for a married couple using portability. Because the exemption is so high, fewer than 1% of estates pay any federal estate tax. The taxable portion is charged at a top rate of 40%. Some states also levy their own estate or inheritance taxes with much lower thresholds.
What is the estate tax exemption for the current tax year?
The federal basic exclusion amount—a lifetime exemption shared with gift taxes—is roughly $15 million per individual for the current tax year, and about $30 million combined for married couples who elect portability. Amounts are indexed for inflation and have shifted over time ($13.61M in 2024, $13.99M in 2025), so always verify the current figure on IRS.gov. Estates valued below the exemption owe no federal estate tax, but estates that exceed it must file Form 706, and tax applies only to the amount above the exemption.
Do I have to file an estate tax return even if no tax is due?
Sometimes, yes. Form 706 must generally be filed when the gross estate plus adjusted taxable gifts exceeds the exemption amount—around $15 million for the current tax year. Executors may also file to elect portability of a deceased spouse's unused exemption, which is optional but important: without a timely filed return, the surviving spouse can permanently lose the unused amount. The return is due nine months after the date of death, with a six-month extension available. An estate that earns income from investments may also need to file a separate income tax return.
Do beneficiaries have to pay income tax on inherited money or property?
Generally no. Inheritances—cash, property, and stock—are not taxable income to the recipient. Inherited assets receive a stepped-up basis, meaning their cost basis becomes the fair market value on the date of death, so if you later sell, you are taxed only on gains above that stepped-up value, often little or none. However, withdrawals from inherited traditional IRAs and 401(k)s are taxed as ordinary income, while inherited Roth IRA withdrawals are tax-free if qualified. Estate taxes, if any, are paid by the estate, not the beneficiary.
What is portability and how does it protect married couples?
Portability lets a surviving spouse inherit any unused portion of the deceased spouse's estate tax exemption, effectively doubling a couple's protection. If one spouse dies having used none of their roughly $15 million exemption, the surviving spouse can carry over that unused amount—shielding about $30 million combined. To claim it, the executor must file Form 706 by the deadline, even when no tax is due. Without that timely election, the unused exemption is permanently lost, which can expose more of the survivor's estate to federal estate tax later.
What's the difference between estate tax and inheritance tax?
An estate tax is levied on the total value of a deceased person's estate before assets are distributed—the executor files and the estate pays. An inheritance tax is charged to individual heirs based on what they receive, with rates that often depend on your relationship to the deceased. The federal government has only an estate tax (top rate 40%, exemption around $15 million for the current year). Six states levy inheritance taxes (Iowa, Kentucky, Maryland, Nebraska, New Jersey, and Pennsylvania), while several other states impose their own estate taxes with lower thresholds.
What counts as part of my gross estate for estate tax purposes?
Your gross estate includes essentially everything you own or control at death: real estate, bank and brokerage accounts, stocks and bonds, retirement accounts, business interests, personal property, and life insurance proceeds you own or control. It also generally includes assets in revocable living trusts. Assets passing directly to a spouse through the unlimited marital deduction, or to charity, are excluded. The executor totals these assets and subtracts debts, administrative expenses, and the exemption to compute any taxable estate. Gifts made within three years of death may also be pulled back in.