Estate tax is a common source of unnecessary worry — the federal exemption is quite high, meaning most estates owe nothing federally.
What to actually check
- The current federal estate tax exemption (adjusted periodically, and quite high historically)
- Whether your state has its own, often lower, estate or inheritance tax threshold
If your estate is well below both federal and any applicable state threshold, estate tax planning is likely a low priority compared to the other documents covered in this section.
This article is general information, not tax advice. Exemption amounts change — confirm current figures with a tax professional.