So Strong; yet so calm: Mary's Choice.

Thursday, March 6, 2014

The worst U.S. states to die in - Yahoo Finance

The worst U.S. states to die in - Yahoo Finance: With the current relatively generous federal estate tax exemption of $5.25 million for 2013 and $5.34 million for 2014, you surely don’t have any estate tax worries. Right? Not necessarily! It turns out that 19 states and the District of Columbia impose their own estate and/or inheritance taxes, and most of them have exemptions well below the federal amount. If you live in one of these places, your estate might be exempt from the federal estate tax but still exposed to a significant state death tax hit. Yikes! Here’s what you need to know.

Estate Taxes

Inheritance Taxes 
The rest of the states have no death taxes

The 31 states that aren't listed in the preceding tables have no estate or inheritance taxes.

The bottom line

When it comes to death taxes, some states are better places to die than others. That may not be a reason to move, but it’s something to think about if you’re dedicated to leaving more to your heirs and less to tax collectors. If you don’t want to move, I suggest huddling with an experienced estate planning pro to see if there are some ways to reduce your exposure to death taxes.

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