🏛️ Estate Tax Calculator

Estimate federal estate tax using the 2025 exemption, genuine graduated IRC §2001 brackets, spousal portability/DSUE, prior taxable gifts, and an optional illustrative state estate tax comparison. Free, no signup.

🏛️ Estate Details
$
$
$
$
$

Federal estate tax only — no state estate tax will be estimated.

📈 Results
Taxable Estate
Amount Subject to Federal Tax
Federal Estate Tax Due
Effective Rate on Taxable Estate
State Estate Tax (illustrative)
Net Estate to Heirs
Federal Bracket-by-Bracket Breakdown
Bracket (Amount Over Exemption)RateTaxable in BandTax from Band
Net Estate to Heirs vs. Tax Paid
Federal Tax by Bracket
This is an estimate for educational purposes only, not tax or legal advice. Federal exemption amounts and brackets are indexed for inflation and can change through legislation — they are not fixed year to year. State examples are illustrative and simplified, not any specific state's exact current rules. Consult a qualified estate attorney or CPA before making estate planning decisions.
🏛️

Enter Your Estate Details

Fill in the estate value, deductions, and exemption details, then click Calculate.

Guide

What Is the Estate Tax Calculator?

Last updated: July 2026 · Reviewed by the NeftCal editorial team

The estate tax calculator estimates federal estate tax owed on a person's estate at death, using the 2025 federal exemption, a genuine graduated bracket structure under IRC §2001, and support for spousal portability, prior taxable gifts, and an optional illustrative state estate tax comparison. It's built for anyone who wants to understand roughly where their estate stands relative to the exemption, not just a flat percentage guess.

Very few American estates actually owe federal estate tax. Because the federal exemption is so large — $13,990,000 per person for 2025, and effectively closer to double that for a married couple who elects portability — the tax applies to only a small fraction of the wealthiest estates each year. Most people's estates fall entirely below the exemption and owe nothing. Still, understanding the mechanics matters for anyone with significant real estate, business interests, investment portfolios, or life insurance, since asset values can grow substantially between now and the date of death, and because the exemption itself is scheduled to change through future legislation. This calculator walks through the full formula: subtracting debts, expenses, and charitable bequests from the gross estate to reach a taxable estate; comparing that to the exemption remaining after any prior taxable gifts and portability; and then applying the actual graduated bracket table — not a flat rate — to whatever amount exceeds the exemption.

Who Should Use This Calculator

High-net-worth individuals and families with a combined estate approaching or exceeding the federal exemption, married couples deciding whether to elect portability, business owners with significant illiquid business interests, real estate investors with substantial property holdings, and financial advisors or estate attorneys who want a quick, transparent illustration of how the bracket math actually works for a client.

Why It Matters for Financial Planning

Estate tax exposure changes the calculus around lifetime gifting, trust structures, life insurance ownership, and charitable giving. Understanding roughly how much of an estate would be taxable — and at what marginal rate — helps prioritize which planning strategies are worth pursuing well before death, since many of the most effective techniques (irrevocable trusts, structured gifting programs, portability elections) require years of lead time to be fully effective and cannot be implemented retroactively.

Common Scenarios

  • Estimating exposure for a large estate that includes real estate, a closely held business, and investment accounts
  • Modeling whether electing portability after a first spouse's death meaningfully changes a surviving spouse's exposure
  • Checking how prior lifetime gifts reduce the exemption still available at death
  • Comparing a scenario before and after increasing charitable bequests
  • Cross-checking overall wealth with a net worth calculator before running an estate tax estimate
  • Layering an estate tax estimate on top of a broader retirement calculator projection

Tips for Accurate Results

  • Use a realistic current fair-market value for the gross estate, not original purchase prices — asset values, especially real estate and business interests, can differ significantly
  • Only count taxable gifts (those that used lifetime exemption, generally above the annual exclusion) in the Prior Taxable Gifts field, not routine annual-exclusion gifts
  • Only check Portability Elected if a Form 706 was actually filed timely on the deceased spouse's estate — an unmade or missed election means no DSUE is available regardless of what the deceased spouse actually left unused
  • Remember the Federal Exemption field is editable specifically because it changes yearly and through legislation — don't assume the pre-filled 2025 figure will still apply in future years
  • Treat every result as a planning estimate, not a filing-ready number — consult a qualified estate attorney or CPA for anything beyond a rough check
Formula

How Federal Estate Tax Is Calculated

The exact bracket structure and portability/DSUE logic this calculator applies

Taxable Estate
Taxable Estate = Gross Estate Value − Debts & Expenses − Charitable Bequests

Remaining Exemption
Remaining Exemption = Federal Exemption + DSUE (if Married and Portability Elected) − Prior Taxable Gifts

Amount Subject to Federal Tax
Amount Subject to Tax = max(0, Taxable Estate − Remaining Exemption)

Federal Estate Tax — Graduated Brackets (IRC §2001)
18% on the first $10,000 · 20% on $10,000–$20,000 · 22% on $20,000–$40,000 · 24% on $40,000–$60,000 · 26% on $60,000–$80,000 · 28% on $80,000–$100,000 · 30% on $100,000–$150,000 · 32% on $150,000–$250,000 · 34% on $250,000–$500,000 · 37% on $500,000–$750,000 · 39% on $750,000–$1,000,000 · 40% on amounts over $1,000,000 — each applied only to its own slice of the Amount Subject to Tax, summed together

Optional State Estate Tax (Illustrative)
State Taxable Amount = max(0, Taxable Estate − State Exemption); a simplified progressive rate table (roughly 3%–16% or 10%–20% depending on the sample state) is applied the same way, independently of the federal calculation

⚙️ Why This Formula Works

Federal estate tax is genuinely progressive: each slice of the amount subject to tax is taxed only at its own bracket's rate, exactly like income tax brackets, not at a single flat rate applied to the whole amount. Because the federal exemption is so large, the amount actually subject to tax — if any exists at all — is often already well past $1,000,000, which is why the top 40% bracket ends up covering most of the tax owed on very large taxable estates in practice, even though every lower bracket is still computed first.

🎯 When Portability and DSUE Apply

  • Portability — only available to married estates when the deceased spouse's estate filed Form 706 and made a timely election, even if no tax was owed
  • DSUE — the unused portion of the deceased spouse's exemption, added directly to the survivor's own exemption
  • Prior gifts — reduce the exemption at death because gift and estate tax share one unified lifetime exemption

📋 Assumptions

  • Figures use the 2025 federal exemption of $13,990,000 per person by default, editable for other years
  • Gross estate value reflects current fair-market value of all included assets
  • State examples are illustrative and simplified, not any specific state's real, current bracket table
  • No generation-skipping transfer tax, valuation discounts, or trust structuring is modeled

⚠️ Limitations of the Formula

  • Does not model the unlimited marital deduction for transfers to a surviving US-citizen spouse
  • Does not model generation-skipping transfer (GST) tax, trusts, or valuation discounts
  • Assumes the deceased spouse's DSUE and prior gift figures you enter are accurate and already finalized
  • Not a substitute for a licensed estate attorney's or CPA's personalized computation
Walkthrough

Step-by-Step: How to Use the Estate Tax Calculator

From gross estate value to a full federal (and optional state) estimate

Enter your gross estate value

Enter the total value of all assets — real estate, investments, business interests, life insurance proceeds, and anything else the estate owns — before any deductions.

Enter debts, expenses, and charitable bequests

Enter debts and funeral/administrative expenses, plus any charitable bequests — both are subtracted from the gross estate to arrive at the taxable estate.

Select marital status and enter portability, DSUE, and prior gift details

If married and portability was elected on a deceased spouse's estate tax return, check the box and enter the Deceased Spouse's Unused Exemption (DSUE). Enter any prior taxable lifetime gifts, since they reduce the exemption available at death.

Review or adjust the federal exemption, and optionally enable a state comparison

The federal exemption is pre-filled with the 2025 figure but is editable to model a different year. Optionally select an illustrative sample state to see a simplified separate state estate tax estimate alongside the federal figure.

Click Calculate and review your results

Review the taxable estate, amount subject to federal tax, federal estate tax due, effective rate, the full bracket-by-bracket breakdown table, and the net-estate-to-heirs chart.

Example

Worked Example

Using the calculator's own default scenario — an $18,000,000 single-filer estate

Scenario

A single individual dies with a gross estate valued at $18,000,000, including $200,000 in debts and funeral/administrative expenses and a $500,000 charitable bequest. They are not married, so portability and DSUE don't apply, and they made no prior taxable lifetime gifts. They use the default 2025 federal exemption of $13,990,000 and no state estate tax is modeled.

Gross Estate Value$18,000,000
Debts & Expenses$200,000
Charitable Bequests$500,000
Marital StatusSingle
DSUE$0
Prior Taxable Gifts$0
Federal Exemption$13,990,000
Step 1 — Taxable estate: $18,000,000 − $200,000 (debts/expenses) − $500,000 (charitable bequests) = $17,300,000.
Step 2 — Remaining exemption: $13,990,000 (federal exemption) + $0 (no DSUE) − $0 (no prior gifts) = $13,990,000.
Step 3 — Amount subject to federal tax: $17,300,000 − $13,990,000 = $3,310,000.
Step 4 — Bracket-by-bracket tax on $3,310,000: 18% × $10,000 = $1,800; 20% × $10,000 = $2,000; 22% × $20,000 = $4,400; 24% × $20,000 = $4,800; 26% × $20,000 = $5,200; 28% × $20,000 = $5,600; 30% × $50,000 = $15,000; 32% × $100,000 = $32,000; 34% × $250,000 = $85,000; 37% × $250,000 = $92,500; 39% × $250,000 = $97,500; 40% × $2,310,000 (the remainder over $1,000,000) = $924,000. Summing every band: $1,800 + $2,000 + $4,400 + $4,800 + $5,200 + $5,600 + $15,000 + $32,000 + $85,000 + $92,500 + $97,500 + $924,000 = $1,269,800.
Step 5 — Effective rate on the taxable estate: $1,269,800 ÷ $17,300,000 = 7.34% — well under the 40% top marginal rate, because the large exemption shelters most of the $17,300,000 taxable estate before any bracket applies.
Bracket (Amount Over Exemption)RateTaxable in BandTax from Band
$0 – $10,00018%$10,000$1,800
$10,000 – $20,00020%$10,000$2,000
$20,000 – $40,00022%$20,000$4,400
$40,000 – $60,00024%$20,000$4,800
$60,000 – $80,00026%$20,000$5,200
$80,000 – $100,00028%$20,000$5,600
$100,000 – $150,00030%$50,000$15,000
$150,000 – $250,00032%$100,000$32,000
$250,000 – $500,00034%$250,000$85,000
$500,000 – $750,00037%$250,000$92,500
$750,000 – $1,000,00039%$250,000$97,500
Over $1,000,00040%$2,310,000$924,000
Amount Subject to Tax
$3,310,000
Federal Estate Tax Due
$1,269,800
Effective Rate
7.34%

Explanation: Even on a sizeable $18,000,000 estate, the federal exemption shelters the first $13,990,000, leaving only $3,310,000 actually subject to tax. Because that remaining amount is well over $1,000,000, the top 40% bracket applies to the bulk of it ($2,310,000 of the $3,310,000), while the lower brackets — 18% through 39% — apply only to the first $1,000,000 of that amount and contribute a comparatively small $345,800. This is exactly why, in practice, the effective federal estate tax rate on large taxable estates tends to sit well below the 40% top marginal rate once measured against the full taxable estate, not just the amount above the exemption.

Interpretation

Understanding Your Results

What your effective rate on the taxable estate roughly tells you

The effective rate on the taxable estate — federal estate tax due divided by the full taxable estate — is a more useful read than the 40% headline top bracket, since it reflects how much of the estate the exemption already shelters before any bracket applies.

Effective Rate on Taxable EstateGeneral ReadTypical Context
0%No federal estate tax owedTaxable estate is at or below the remaining exemption (federal + DSUE − prior gifts)
Roughly 1% – 20%Modest exposure relative to the full estateAmount subject to tax is a comparatively small share of a large taxable estate
Above roughly 20%, approaching 40%Substantial federal exposureTaxable estate far exceeds the exemption; lifetime gifting, trusts, and the marital deduction may meaningfully reduce exposure

If your amount subject to tax is $0: your taxable estate sits at or below your remaining exemption — no federal estate tax is owed, which is the outcome for the large majority of estates given how high the exemption is.

If a meaningful amount is subject to tax: remember only that excess amount is taxed progressively — the exemption itself is never taxed. Strategies like lifetime gifting, irrevocable trusts, and the unlimited marital deduction (not modeled here) can all reduce the taxable estate or defer tax entirely.

ℹ️

This tool provides an estimate for educational and planning purposes only and is not tax or legal advice. The federal exemption and bracket figures change through inflation indexing and legislation — including a scheduled adjustment after 2025 under current law — so results will shift in future years. Always consult a licensed estate attorney or CPA before making estate planning decisions.

Use Cases

Practical Use Cases for the Estate Tax Calculator

Where a transparent, bracket-accurate estate tax estimate earns its keep

💰

High-net-worth estate checks

Get a quick read on whether an estate approaches or exceeds the federal exemption.

💍

Married couple portability planning

Model whether electing portability meaningfully changes a surviving spouse's exposure.

🏢

Business owner estate exposure

Include significant business interests in the gross estate to see rough federal exposure.

🏘️

Real estate investor planning

Model how substantial property holdings affect an otherwise moderate estate.

🎁

Lifetime gifting impact

See how prior taxable gifts reduce the exemption still available at death.

📜

Advisor and attorney illustrations

Show clients exactly how the graduated bracket math works, bracket by bracket.

❤️

Charitable bequest planning

Compare taxable estate and tax owed before and after increasing a charitable bequest.

🏛️

State comparison awareness

See an illustrative example of how a separate state estate tax could add to federal exposure.

📅

Legislative sensitivity testing

Edit the federal exemption to model a lower or higher figure for a future tax year.

🧮

Full financial picture building

Combine with a net worth calculator and retirement calculator for a complete estate view.

Pros & Cons

Advantages and Limitations

What this estate tax calculator covers well, and what estate planning strategies it doesn't model

✅ Advantages

  • Free, instant, and requires no signup or personal information
  • Runs entirely in your browser — your financial data is never sent to a server
  • Implements genuine progressive bracket math, not a flat-rate approximation
  • Models spousal portability and Deceased Spouse's Unused Exemption (DSUE)
  • Accounts for prior taxable gifts against the unified lifetime exemption
  • Federal exemption is fully editable to model different tax years
  • Optional illustrative state estate tax comparison alongside the federal estimate
  • Full bracket-by-bracket breakdown table for transparency
  • Visual doughnut chart of net estate to heirs vs. tax paid
  • Downloadable plain-text results export

⚠️ Limitations

  • Does not model the unlimited marital deduction between spouses
  • Does not model generation-skipping transfer (GST) tax
  • Does not value illiquid or hard-to-value assets like closely held business interests or art
  • State examples are illustrative only, not any specific real state's exact current table
  • Does not model trusts, life insurance ownership structuring, or other advanced planning techniques
  • Federal exemption and brackets change through legislation, including a scheduled post-2025 adjustment
  • Does not account for state-level marital or charitable deductions
  • Not a substitute for a licensed estate attorney's or CPA's personalized analysis
Reference

Federal Estate Tax Bracket Table (IRC §2001)

The full graduated bracket table this calculator applies to the amount subject to tax

Amount Over ExemptionRate
$0 – $10,00018%
$10,000 – $20,00020%
$20,000 – $40,00022%
$40,000 – $60,00024%
$60,000 – $80,00026%
$80,000 – $100,00028%
$100,000 – $150,00030%
$150,000 – $250,00032%
$250,000 – $500,00034%
$500,000 – $750,00037%
$750,000 – $1,000,00039%
Over $1,000,00040%

Common Mistakes and Expert Tips

❌ Common Mistakes

  • Missing the portability election deadline on Form 706 (generally nine months after death, with some extension and relief options), permanently forfeiting the DSUE
  • Forgetting that prior taxable lifetime gifts reduce the exemption still available at death
  • Assuming the top 40% rate applies to the entire taxable estate rather than only the amount above the exemption
  • Ignoring state estate or inheritance tax exposure just because the federal exemption is high
  • Not accounting for the unlimited marital deduction when estimating a married couple's real exposure
  • Waiting until very late to explore gifting or trust strategies, losing years of potential tax-free growth outside the estate

💡 Expert Tips & Best Practices

  • File Form 706 and elect portability even when no tax is owed, to preserve the DSUE for a surviving spouse
  • Use annual gift tax exclusions to move assets out of the estate gradually without touching the lifetime exemption
  • Consider irrevocable trusts, such as an ILIT for life insurance, to remove assets from the taxable estate
  • Revisit your estate plan whenever the federal exemption or bracket structure changes through new legislation
  • Keep a clear record of prior taxable gifts so the unified exemption calculation stays accurate over time
  • Work with an estate attorney and a CPA together, since estate tax, gift tax, and income tax (step-up in basis) all interact
FAQ

Frequently Asked Questions

Common questions about federal estate tax, portability, and this calculator

What is the federal estate tax exemption, and how much is it in 2025?
The federal estate tax exemption (also called the basic exclusion amount) is the portion of an estate's value that passes free of federal estate tax. For 2025 it is $13,990,000 per person. The IRS indexes this figure for inflation each year, so it typically increases annually, and it can also change through new legislation, including a scheduled reduction under current law after 2025. This calculator pre-fills the 2025 figure but lets you edit it to model a different year.
What happens if my estate is below the federal exemption amount?
If your taxable estate — gross estate minus debts, funeral and administrative expenses, and charitable bequests — is at or below your remaining exemption, no federal estate tax is owed. Because the exemption is so high, the large majority of estates in the United States owe no federal estate tax at all; historically it has applied to only a small fraction of estates each year.
What is portability, and how does the Deceased Spouse's Unused Exemption (DSUE) work?
Portability lets a surviving spouse add any unused portion of their deceased spouse's federal exemption to their own, provided the deceased spouse's estate filed a timely Form 706 electing portability. This calculator models that by adding a Deceased Spouse's Unused Exemption (DSUE) amount directly to the surviving spouse's own federal exemption when Married status is selected and the Portability Elected checkbox is checked.
How do prior taxable gifts affect my remaining estate tax exemption?
The United States applies a single unified exemption to both lifetime gifts and the estate at death. Any taxable gifts you made during your lifetime, above the annual exclusion, use up part of that unified exemption, reducing what's left to shelter your estate. This calculator subtracts prior taxable gifts from the federal exemption, plus any DSUE, before comparing the result to your taxable estate.
What is the unified gift and estate tax exemption?
It's the single lifetime limit that covers both taxable gifts made while you're alive and the value of your estate at death. Every dollar of taxable gifts made during life reduces the exemption available to shelter your estate later, which is why prior taxable gifts are subtracted in this calculator's remaining-exemption formula.
How is the federal estate tax rate structured — is it a flat 40%?
No. Federal estate tax uses a graduated bracket table under IRC §2001, applied only to the amount by which your taxable estate exceeds your available exemption, with rates rising from 18% up to a top marginal rate of 40% on amounts over $1,000,000 above the exemption. Because the exemption is roughly $14 million, the amount actually subject to tax is often well over $1 million once it exists at all, so in practice most of the tax owed by large taxable estates falls in the top 40% bracket — but this calculator still computes every lower bracket for full transparency.
What deductions reduce the taxable estate before the exemption is applied?
This calculator models three common reductions: debts, funeral and administrative expenses, and charitable bequests, all subtracted from the gross estate value to arrive at the taxable estate. In practice, the unlimited marital deduction for transfers to a surviving US-citizen spouse is another major deduction not modeled here, since it can defer or eliminate estate tax entirely at the first spouse's death — consult an estate attorney for the full list of deductions that may apply to your situation.
What's the difference between an estate tax and an inheritance tax?
An estate tax is levied on the estate itself, based on its total value, before assets are distributed to heirs — that's what this calculator estimates at the federal level. An inheritance tax, used by a handful of US states, is instead levied on individual heirs based on what they personally receive and their relationship to the deceased. The federal government has no inheritance tax; only some states levy one, separately from any state-level estate tax.
Do all US states have their own estate tax?
No. Most states have no separate estate tax at all. A minority of states, plus the District of Columbia, impose their own estate tax with exemptions far lower than the federal amount, and a smaller number impose an inheritance tax instead. This calculator's state toggle models illustrative, simplified example brackets only — check your specific state's current rules directly, since they vary widely and change over time.
What is "step-up in basis" and how does it affect heirs?
Step-up in basis adjusts an inherited asset's cost basis to its fair market value on the date of the owner's death, rather than what the original owner paid for it. This can significantly reduce or eliminate capital gains tax if the heir later sells the asset, since any gain is measured from the stepped-up value rather than the original purchase price. This calculator doesn't model capital gains after inheritance — see our Capital Gains Tax Calculator for that.
What is IRS Form 706, and who has to file it?
Form 706, the United States Estate (and Generation-Skipping Transfer) Tax Return, is the form used to report a decedent's estate to the IRS. It's required for estates whose gross estate plus adjusted taxable gifts exceeds the federal exemption, and it's also the form a surviving spouse's estate must file, generally within nine months (extendable, with relief provisions available in some cases), to elect portability of any unused exemption — even if no tax is otherwise owed.
Can married couples effectively double their federal exemption?
Yes, in effect, through portability. If the first spouse to die doesn't use their full federal exemption, a timely portability election on their Form 706 lets the surviving spouse add that unused amount (the DSUE) to their own exemption. Combined with the unlimited marital deduction on transfers between spouses, this can let a married couple shelter close to twice the individual exemption amount from federal estate tax.
Is this calculator's estimate legally binding or exact?
No. This is an educational estimate based on simplified 2025 federal figures and a representative bracket structure. Actual estate tax liability depends on many factors this calculator doesn't model — asset valuation disputes, the marital deduction, generation-skipping transfer tax, trusts, and state-specific rules among them. Always consult a qualified estate attorney or CPA before making estate planning decisions.
Is my financial data safe when I use this calculator?
Yes. All calculations run locally in your browser using JavaScript. The estate values, exemption amounts, and other figures you enter are never transmitted to or stored on a server.
Is this estate tax calculator free to use?
Yes, it's completely free with no signup, login, or payment required.
Learn More

Authoritative Resources on Estate Tax

Official guidance to complement this calculator — not a substitute for licensed legal or tax advice

Related Calculators

Other US estate, tax, and retirement planning tools