Estate Planning Calculator

Estimate estate tax exposure and the net amount passing to beneficiaries.

About Estate Planning Calculator

Tax applies only above the threshold, so the effective rate on the whole estate is well below the headline rate. Charitable gifts reduce the taxable estate and in some jurisdictions also reduce the rate applied. Thresholds, reliefs and rates differ enormously between jurisdictions, and lifetime gifting rules often affect the outcome more than the threshold itself.

Formula

Estate Planning

Tax = (net estate − charitable gifts − threshold) × rate

threshold: The nil-rate band or exemption below which no tax is charged
charitable relief: Gifts to charity are generally deducted before tax is computed

Worked example

With the default values below, Estate Planning Calculator returns Net Amount to Beneficiaries of $832,000.00. Change any input above and every figure here is recalculated in your browser.

Inputs used

Gross estate valueminimum 0: 1,400,000
Debts and liabilitiesminimum 0: 180,000
Tax-free thresholdminimum 0: 325,000
Estate tax rate above the thresholdaccepts 0–60 %: 40 %
Charitable giftsminimum 0: 50,000
Number of beneficiariesminimum 1: 3

Results

Net Amount to Beneficiaries: $832,000.00
Taxable Estate: $845,000.00
Estate Tax Due: $338,000.00
Amount per Beneficiary: $277,333.33
Effective Tax Rate on the Estate: 28.89%

Step by step

1Values used
2Estate Planning
3Net Amount to Beneficiaries= 832,000.00
4Taxable Estate= 845,000.00
5Estate Tax Due= 338,000.00
6Amount per Beneficiary= 277,333.33
7Effective Tax Rate on the Estate= 28.89

Assumptions and limits

The result is derived only from the 6 inputs listed above. Anything not among them is not part of the calculation.
In particular, this calculator does not take inflation, fees or charges or compounding frequency into account.
Figures are rounded for display to 2 decimal places, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.
This is a general illustrative estimate and is not legal advice. Laws, formulas and guidelines vary substantially by jurisdiction and change over time, and courts retain discretion. Consult a qualified lawyer in your jurisdiction before relying on any figure here.

How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.

This is a general illustrative estimate and is not legal advice. Laws, formulas and guidelines vary substantially by jurisdiction and change over time, and courts retain discretion. Consult a qualified lawyer in your jurisdiction before relying on any figure here.

Frequently Asked Questions

How is Estate Planning calculated?

Tax = (net estate − charitable gifts − threshold) × rate Tax applies only above the threshold, so the effective rate on the whole estate is well below the headline rate. Charitable gifts reduce the taxable estate and in some jurisdictions also reduce the rate applied.

Why does Estate Planning matter?

Thresholds, reliefs and rates differ enormously between jurisdictions, and lifetime gifting rules often affect the outcome more than the threshold itself.

What values do I need to enter?

This calculator takes 6 inputs: Gross estate value, Debts and liabilities, Tax-free threshold, Estate tax rate above the threshold, Charitable gifts, Number of beneficiaries. The pre-filled defaults are a realistic starting point — replace them with figures from your own environment for a result you can act on.