Today marks a significant update to Washington’s estate tax framework: as of July 1, 2025, the individual estate tax exemption has increased from $2.193 million to $3 million.

Today marks a significant update to Washington’s estate tax framework: as of July 1, 2025, the individual estate tax exemption has increased from $2.193 million to $3 million, and this threshold will now be adjusted annually for inflation beginning in January 2026. While this provides relief for many families, the changes come with steeper tax rates — now ranging from 10% up to 35% on amounts exceeding the exemption (previously capped at 20%). For example, estates over $9 million will face the highest bracket, a sharp rise that could substantially increase the tax liability for high-net-worth decedents. In essence, fewer estates will owe tax, but those that do may pay significantly more — making it essential for Washington residents to review their estate planning strategies — such as spousal deductions, Trusts, or lifetime gifts — to manage the impact under this new law.

If you have questions about Washington’s new estate tax laws, or any other aspect of estate planning, give us a call at 253.858.5434 to make an appointment today.