Estate Tax Calculator
Estimate estate tax above the exemption.
Adjust to current law
Top federal rate 40%
Results update as you type.
This calculator is for general guidance only and is not tax advice. Rules vary by jurisdiction and year; confirm with a qualified professional.
How it works
Estate tax is a tax on the transfer of a large estate at death, and this calculator estimates it based on the estate value, the exemption, and the tax rate. You enter the total estate value, the exemption amount in effect, and the top tax rate, and it returns the taxable estate, the estimated estate tax, and the net amount passing to heirs. The key feature of the estate tax is the exemption: only the value above the exemption threshold is taxed, and that threshold is very high under current federal law, so the vast majority of estates owe no federal estate tax at all. Amounts above the exemption are taxed at rates that reach up to 40 percent federally. This is a simplified estimate using a flat top rate; the actual federal estate tax uses a graduated bracket schedule, and many transfers — notably those to a spouse or to charity — are fully deductible and pass tax-free. Several states levy their own estate or inheritance taxes with lower exemptions, which can apply even when no federal tax is due. Estate planning tools like trusts, gifting, and portability between spouses can substantially reduce the tax. This is an estimate only; consult an estate attorney or tax professional. Enter your estate value, exemption, and rate to estimate the tax.
Taxable estate = estate − exemption; tax = taxable × rate
The taxable estate is the total estate value minus the exemption amount, floored at zero. Multiplying that taxable portion by the estate tax rate gives the estimated tax. Subtracting the tax from the estate value shows the net amount passing to heirs before other costs.
Source:IRS estate tax rules
We review all our tools from time to time to ensure accuracy.
Worked example
How to use this calculator
- 1
Enter your values
Enter total estate value.
- 2
Adjust the options
Adjust exemption amount and estate tax rate if they apply — sensible defaults are already set.
- 3
Read your result
Taxable estate updates instantly as you type — no button to press.
Frequently asked questions
How is estate tax calculated?
Subtract the exemption from the total estate value to find the taxable estate, then apply the estate tax rate. With a $20 million estate, a $13.99 million exemption, and a 40 percent rate, the taxable portion is about $6 million and the tax roughly $2.4 million. Only value above the exemption is taxed.
Do most people owe estate tax?
No. The federal exemption is very high, in the multi-million-dollar range per person, so the large majority of estates owe no federal estate tax. Only estates exceeding the exemption are taxed on the excess. However, some states impose their own estate or inheritance taxes with much lower thresholds, which can apply to more modest estates.
What is the estate tax exemption?
The exemption is the amount that can pass free of estate tax. Only the value above it is taxable. The federal exemption is set by law, is indexed for inflation, and has changed significantly over time, so it is important to use the current figure. This calculator lets you enter the exemption that applies to your situation.
Are transfers to a spouse taxed?
Generally no. The unlimited marital deduction lets you leave any amount to a surviving spouse free of federal estate tax, deferring any tax until the second spouse's death. Transfers to qualified charities are also deductible. Because of these and other provisions, the actual tax is often far lower than a flat calculation on the full estate suggests.
How can estate tax be reduced?
Common strategies include lifetime gifting within annual exclusions, various trusts, charitable giving, and using both spouses' exemptions through portability. These tools can move assets out of the taxable estate or maximize exemptions. Because estate planning is complex and laws change, working with an estate attorney or tax professional is essential to reduce tax legally and effectively.