Estate Planning: The State Taxation of High Estates
Do you remember the saying, “Nothing is guaranteed but death and taxes”? When it comes to estate planning, many people may think they don’t have enough money to worry about estate planning or how to best leave behind an inheritance for their loved ones. What many don’t consider is the tax implications of those inheritances. This can be particularly important in states with high estate taxes—like Hawaii and Washington—where the top rate of taxation on estates is 20%. While not every state has an Inheritance or Estate tax, around 16 states do. And in some states taxation begins on every dollar above $1,000,000. Life insurance can help you smartly plan for this expense.
