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Estate Tax Calculator
Use this free estate tax calculator to estimate the federal estate tax on an estate. Enter the gross estate value, debts and expenses, and charitable bequests, and it applies the scheduled 2026 federal exemption to show the taxable estate, the estimated tax, and what remains for heirs.
Everything the person owned at death: real estate, investments, bank accounts, business interests, and personal property.
The scheduled 2026 figure is $15,000,000 per person. Estate tax law changes — verify the current figure before relying on it.
State exemptions and rates vary by state and are generally lower than the federal exemption. State tax is flagged here, not calculated — it is not included in the federal total below.
| Figure | Value |
|---|---|
| Gross estate | $20,000,000.00 |
| Less debts & expenses | −$500,000.00 |
| Less charitable bequests | −$500,000.00 |
| Taxable estate (before exemption) | $19,000,000.00 |
| Federal exemption applied | $15,000,000.00 |
| Amount subject to tax | $4,000,000.00 |
| Federal estate tax at 40% | $1,600,000.00 |
| Effective rate on the estate | 8.42% |
| Net to heirs (before state tax) | $17,400,000.00 |
How it works
Federal estate tax is a tax on the value of what a person leaves behind, and it only touches the largest estates. Most estates owe nothing at all, because the federal exemption shields a large amount from tax entirely. The scheduled exemption for 2026 is $15,000,000 per person — a figure set by law and subject to change, so verify it before relying on the result. The calculation itself has three steps: work out the taxable estate, subtract the exemption, and tax what remains at 40%.
The starting point is the gross estate: everything the person owned at death, including real estate, bank and investment accounts, retirement accounts, business interests, life insurance they owned, and personal property. From that, the estate subtracts debts and mortgages, funeral and administration expenses, and any amounts left to a surviving spouse, which pass tax-free under the marital deduction. Charitable bequests are also deducted in full — money left to a qualifying charity reduces the taxable estate dollar for dollar, which is why charitable giving is one of the most effective ways to reduce estate tax.
The exemption is what keeps most estates out of the tax entirely. In 2026, a single person can pass $15,000,000 free of federal estate tax. A married couple can effectively double that to $30,000,000 through portability: when the first spouse dies, any unused part of their exemption transfers to the surviving spouse. Portability is not automatic — the estate of the first spouse must file a return to claim it, even when no tax is due — so it is a step worth remembering. The calculator applies the exemption you enter, doubled when you select married, so you can see the difference portability makes.
Only the amount above the exemption is taxed, and it is taxed at a flat 40%. That is an important distinction: an estate of $19,000,000 with a $15,000,000 exemption does not pay 40% of $19,000,000. It pays 40% of the $4,000,000 above the exemption, which is $1,600,000 — an effective rate of about 8.4% on the whole estate. The net to heirs is the taxable estate minus the tax, before any state estate tax.
State estate tax is a separate question. Twelve jurisdictions — Connecticut, Hawaii, Illinois, Maine, Massachusetts, Minnesota, New York, Oregon, Rhode Island, Vermont, Washington, and the District of Columbia — charge their own estate tax, each with its own exemption and rates. State exemptions are generally much lower than the federal one, so an estate can owe state tax while owing no federal tax at all. Because state rules vary so widely, this calculator flags the state you select but does not estimate the state amount; check that state's current rules or ask a professional.
Worked example
A single person dies in 2026 leaving a gross estate of $20,000,000, with $500,000 of debts and administration expenses and $500,000 left to charity. The 2026 federal exemption is $15,000,000.
Step 1: The taxable estate before the exemption is $20,000,000 − $500,000 − $500,000 = $19,000,000.
Step 2: Subtract the exemption: $19,000,000 − $15,000,000 = $4,000,000 subject to tax.
Step 3: The federal estate tax is $4,000,000 × 40% = $1,600,000.
Step 4: The net to heirs is $19,000,000 − $1,600,000 = $17,400,000, before any state tax.
The result: an estimated federal estate tax of $1,600,000 and $17,400,000 left for heirs. If the person had been married, portability would have doubled the exemption to $30,000,000 and the federal tax would have been $0 — try it in the calculator.
FAQ
What is the federal estate tax exemption for 2026?
The scheduled federal estate tax exemption for 2026 is $15,000,000 per person. A married couple can combine both exemptions through portability, for $30,000,000 in total. Estate tax law changes often, so verify the current figure before relying on it.
How is federal estate tax calculated?
Start with the gross estate, subtract debts, expenses, and charitable bequests to get the taxable estate, then subtract the exemption. The amount above the exemption is taxed at a flat 40%. On a $19,000,000 taxable estate with a $15,000,000 exemption, the tax is 40% of $4,000,000, or $1,600,000.
Does a married couple get double the exemption?
Yes, through portability. When the first spouse dies, any unused part of their exemption can transfer to the surviving spouse, so the couple effectively has twice the single-person exemption — $30,000,000 in 2026. The estate must file to claim portability, even if no tax is due.
Do charitable bequests reduce estate tax?
Yes. Amounts left to qualifying charities are deducted from the gross estate before the exemption is applied, so they reduce the taxable estate dollar for dollar. A $500,000 charitable bequest on a taxable estate saves $200,000 of federal estate tax at the 40% rate.
Do states charge their own estate tax?
Some do. Connecticut, Hawaii, Illinois, Maine, Massachusetts, Minnesota, New York, Oregon, Rhode Island, Vermont, Washington, and the District of Columbia have a state estate tax, each with its own exemption and rates, which are generally lower than the federal exemption. This calculator estimates federal tax only; state tax varies by state and is not included in the total.