As you think about the future, you likely want to picture a financially secure foundation for your loved ones so that they can enjoy economic security even after you are gone. While it may not ever feel like the “right time” to sit down and talk about a future in which you are no longer here to enjoy time with your family, neglecting to put an estate plan in place leaves you and your loved ones more vulnerable to life’s unpredictabilities. In fact, those who take the time to create an estate plan often find the process to be anything but depressing or unpleasant. Knowing that there are solid and effective legal protections in place to safeguard your legacy can be empowering and give you the peace of mind you need to face the future with greater optimism and security. As you begin to explore your estate planning options in the greater Spokane area, it’s worth taking the time to find a knowledgeable attorney who understands your specific estate planning needs and goals. Together, you and your estate planning lawyer can articulate your unique goals and concerts so that you can establish a customized plan that addresses and protects these needs.
Many estate planning clients in Washington state will need to consider how state and federal estate tax obligations could affect their vision and legacy. With sufficient foresight and planning, you can minimize your estate tax obligations and ensure that your assets remain protected and in the hands of those you love. Let’s take a closer look at how the Washington estate tax could affect your estate planning efforts and how implementing some estate planning tax strategies can help you enjoy a bright and secure future.
Understanding the Estate Tax Exemption in Washington State
Washington state has one of the lowest estate tax exemption thresholds in the country. This means that any estate whose worth exceeds $2.193 million will likely be subject to estate taxes. Unfortunately, not understanding the implications of the estate tax threshold or estate tax rates can lead to unpleasant surprises later on. For instance, the death of a loved one who did not take the time to put any estate planning tax strategies in place can lead to a significant reduction in the estate’s assets that are eligible for dispersal among the beneficiaries. In other words, the considerable estate tax will reduce the amount of inheritance that each beneficiary receives once the probate process concludes. However, by reducing the size of your taxable estate, you can minimize (or even eliminate) the amount of Washington estate taxes your estate will be subject to when the time comes.
Key Strategies for Minimizing Estate Taxes in Washington State
As you start to explore your options for reducing the size of your taxable estate, it’s worth enlisting the customized legal guidance of an experienced and trusted Spokane estate planning attorney to ensure that you select the right protections for your unique needs and goals. Below are just a few of the top strategies and estate planning tools that you may want to consider as you seek to preserve your estate and minimize your estate tax obligations.
Consider Establishing a Trust
One of the most popular estate planning tools is setting up a trust. Essentially, trusts hold the title of your assets (i.e., bank accounts, real estate, etc.) and shelter them from tax obligations. When you pass away, the individual you have named as your trustee will be able to pay any outstanding bills and distribute the remaining assets among the designated beneficiaries without having to go through a cumbersome legal process known as probate. There are several types of trusts, and a credit shelter trust or an irrevocable trust can be especially useful to reduce estate taxes. Other trusts include revocable trusts, special needs or supplemental needs trusts, irrevocable trusts, and others. To learn more about topics like irrevocable trust benefits or whether a special needs trust can help you provide for a vulnerable loved one, reach out to Kristina Mattson Law for the reliable legal guidance you need to make informed decisions with greater confidence.
Gifting Strategies to Reduce Your Taxable Estate
Another estate tax planning strategy is to incorporate annual gifts to your loved ones to reduce the size of your taxable estate over time. As of 2025, the annual excursion for gifts is $19,000 for each calendar year. In other words, you can make a tax-free gift of this amount to each of your loved ones, which can keep your estate’s assets below the Washington state estate tax exemption threshold.
Incorporating Charitable Giving Into Your Estate Plan
Those who support charitable organizations can set up a charitable giving estate planning strategy that allocates assets to a nonprofit organization while minimizing estate tax obligations. If you are interested in learning more about how you can incorporate charitable giving into your estate plan, the dedicated team of estate planning professionals at Kristina Mattson Law is ready to assist you.
Recognizing the Role of Federal Estate Tax
Individuals with considerable assets and high-net-worth families may also benefit from implementing strategies to minimize federal estate tax obligations. In 2025, the estates of those who pass away that are worth more than $13.99 million will be subject to a federal estate tax. If your estate is near the state or federal estate tax threshold, it’s worth working with a knowledgeable estate planning lawyer to identify and implement effective strategies for preserving your assets and reducing your estate tax obligations.
FAQs About Washington Estate Tax Planning
While the prospect of creating an estate plan can initially seem daunting, working with a highly qualified and caring estate planning attorney is a great way to move through this process with greater understanding and confidence. Here are some common questions that may arise during the estate tax planning process in Washington state.
What is Washington’s Estate Tax Exemption for 2025?
The estate tax exemption threshold in Washington state has remained at $2.193 million since 2018. Estates with assets exceeding this threshold will be subject to an estate tax when the individual passes away.
How Can I Reduce My Estate Tax Obligations?
Working with a qualified and experienced Spokane estate planning lawyer is the best way to minimize your estate tax burden and preserve more of your assets. Get started today.
Located in the heart of Spokane, Washington, Kristina Mattson Law is committed to providing clients with excellent legal services at every opportunity. If you are interested in learning more about your estate planning options in Washington state, please contact our office today at (509) 998-6629 to get started with an experienced and caring estate planning lawyer.
