Coordinated Estate and Tax Strategy for $2M-$5M Inherited Assets

At this level, tax and estate planning must work together. You likely need a coordinated team—CPA, estate attorney, and financial advisor—to implement strategies like Roth conversions, charitable trusts, and systematic gifting that can save substantial taxes over time.

Federal estate tax is not a concern at current exemption levels ($15 million per person in 2026). The exemption was made permanent by the One Big Beautiful Bill Act, so the previously scheduled sunset no longer applies.

What changes at this level:

• State estate taxes may apply, depending on your state. Thresholds range from $1 million (Oregon) to $7.35 million (New York), and most fall between $1 million and $5 million.
• Tax and estate planning need to work together. Your own estate now warrants serious attention -- trusts, updated beneficiary designations, and gifting strategies should all be on the table.
• You may need a team: a CPA for tax planning, an estate attorney for trusts and wills, and possibly a financial advisor. Strategies like charitable remainder trusts, qualified personal residence trusts, and systematic gifting become worthwhile.

The tradeoff: The complexity justifies the cost of a planning team, but finding professionals who coordinate well with each other matters as much as finding good individuals. Ask how they collaborate with outside advisors.