What is an estate tax?

An estate tax is a tax on the total value of everything you own when you die, paid by the estate before assets pass to your heirs. The good news is that the federal exemption is now 15 million dollars per person, or 30 million for a married couple, so the vast majority of estates owe nothing. A handful of states have their own estate tax with lower thresholds. For most families, federal estate tax simply isn't a concern.