The major difference between your net worth when you are alive and your net worth when you die is the amount of the proceeds from life insurance you own. Since life insurance does not get paid until you die, you need to add the total proceeds from your life insurance to your net worth to determine what your estate is worth.
Place your Net Worth amount here (see calculation below).
If you included life insurance cash value in your net worth amount, enter this number here (with some exceptions for Universal Life insurance).
Subtract line 2 from line 1.
Add up proceeds you will receive from all of your life insurance:*
(a) Company-provided group life insurance
(b) Term life insurance outside of work
(c) All other life insurance
Total: add lines 4(a), 4(b) and 4(c).
What's Your Estate Worth? Add lines 3 and 5.
* Payable to your estate or in which you possess ownership benefits (e.g., the right to name beneficiaries of the policies).
Write the number from line 6 here:
If this number is less than the applicable exclusion amount ($11.58 million in 2020 and $11.4 million in 2019), you may not be subject to the Estate Tax.
If this number is greater than the applicable exclusion amount ($11.58 million in 2020 and $11.4 million in 2019), you may be subject to the Estate Tax and should read the appropriate sections above for important tax savings planning techniques and consult with an estate planning professional.
Net Worth Calculation
Add up everything you own and subtract everything you owe. The amount left is your Net Worth.
Enter all the things you own
Enter all the money you owe to others
Subtract line 2 from line 1. This is your Net Worth.
FINRA SIPC Securities and insurance products are offered through INFINEX INVESTMENTS INC. and its affiliates, member FINRA/SIPC. Infinex Investments Inc. and Exchange Investment Services, Inc. are independent entities.
Not FDIC Insured | Not Bank Guaranteed | May Lose Value | Not Guaranteed by any Government Agency | Not a Bank Deposit
This site is designed for U.S. residents only. The services offered within this site are available exclusively through our U.S. registered representatives. Infinex Investments Inc. registered representatives may only conduct business with residents of the states for which they are properly registered. Please note that not all the investments and services mentioned are available in every state.