From Fortune Magazine:

The U.S. federal estate tax exemption now stands at $13.61 million due to the 2017 Tax Cuts and Jobs Act, allowing wealthy individuals to pass on more wealth to heirs. Trusts are more common, and distributions are being pushed to later in life to ensure longevity.

The approaching $84 trillion “great wealth transfer” will be impacted by these changes. More billionaires inherit their wealth, live in countries without inheritance tax, and are more likely to attach strings to what they give away. Wealthy individuals are more likely to give away assets while still alive.

The current wealth tax exemption may sunset in 2025, reverting back to $2 million. Some wealthy individuals are trying to pass on wealth before the higher exemption ends. The upcoming changes are causing people to work with advisors to consider their options.



Read more: Mom and dad are giving away $84 trillion in the ‘great wealth transfer.’ And they have some thoughts on how to spend it