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How your estate
is taxed
At your death, your estate's personal representative must
file the federal estate tax return (Form 706) if the value
of your property exceeds your exclusion amount.
Applicable exclusion
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Years
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Amount
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2000 - 2001
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$675,000
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2002 - 2003
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$1,000,000
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2004 - 2005
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$1,500,000
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2006 - 2008
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$2,000,000
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2009
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$3,500,000
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2010
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$0
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2011
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$1,000,000
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What happens
if I don't have a will?
If you die without a will or other testamentary document,
the probate court distributes your estate according to state
laws. About a third of the states have adopted all or part
of the Uniform Probate Code, which provides for the following
structure for distributing property if you die without developing
an estate plan (intestate):
- If there is a surviving spouse and no surviving children
or surviving parent of decedent, all property passes to
the spouse.
- If there is no surviving children but decedent is survived
by a parent or parents, the first $50,000, plus one-half
the balance of the estate passes to the surviving spouse.
The remainder passes to the decedent's parents.
- If there is a surviving spouse and surviving children
of both, the first $50,000 plus one-half the balance of
the estate passes to the surviving spouse. The remainder
passes to the surviving children equally.
- If there is no spouse and no children, the property is
divided evenly between your parents. If no parents are living,
it is evenly divided among the decedents of your parents,
namely your siblings.
- If there is no living relative, the property reverts to
the state.
In addition, the probate process is time consuming and expensive.
Consult your financial professional to learn how to protect
your estate.
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© 1999-2012 Minnesota Life Insurance Company. All rights reserved. F. 54751 6-2002
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