The Tax Countdown Begins: Keeping the $10 Million Exemption?

Get ready for some big changes coming in 2026 that might affect how much money you can leave to your loved ones without extra taxes. Right now, the government says you can leave up to $10 million without paying extra, but they’re thinking about lowering it to around $6.4 million in 2026. This could mean you have to pay taxes on more of the money and things you leave behind.

Back in 2017, the government increased the limit to $10 million to help the economy. But this might not last, and they might bring it back down to $6.4 million in 2026. This change could affect people who have a lot of money and things.

If they keep the higher limit, it could help rich people, but it might also mean others have to pay more in taxes. On the other hand, the government needs the money from these taxes to pay for different programs, so they might not want to lose that. If Congress wants to keep the higher limit, they have to decide what to do.

In 2017, they increased the limit to help with tax cuts, but it was only supposed to be temporary. Going back to a lower limit could make more people pay taxes, bringing in more money for the government.

As we get closer to 2024, it’s really important to look at your estate plan with people you trust. They can help make sure your plan still works for what you want to do with your money and things. Ensure the safety of your money and protect your legacy, even if the rules undergo possible changes.

Are you hungry for more information? Let us help you make the correct cuts as we help you slice your estate planning pi(e)!