Estate Planning Series* (5 of 7): Be Aware of your State’s Estate Tax Laws

Estate planning often helps to minimize estate and inheritance taxes. (But most 

people won’t pay those taxes)

LARGE ESTATES-At the federal level, only very large estates are subject to estate taxes. So what constitutes a “large estate?” 

The federal estate tax ranges from rates of 18% to 40% and generally only apply to assets over $13.61 million (in 2024).  If you have an estate that surpasses that amount, you may want to consider a Grantor Retained Annuity Trust (GRAT). This is a type of irrevocable trust that can help reduce the amount of taxes your heirs pay.

SOME STATES HAVE ESTATE TAXES-Check with your state estate tax laws

SOME STATES HAVE INHERITANCE TAXES-This means that the people who inherit your money might need to pay taxes on what they inherited. (Check with your state’s estate tax laws)

*PLEASE NOTE: 

This article is meant to provide background information and should not be considered legal guidance.

For more about our Estate Planning Team nd Services, reach out to us today:

(916) 572-1117 or Mickie.Giacomini@gmail.com