Why is there such a thing as a National Estate Planning Awareness Week? Estate planning is more important than you might think! If you die intestate – without a plan in place – the state you live in will decide how your assets are distributed, and your heirs may be in for a real hassle. As the U.S. House of Representatives noted when they designated the third week of October as National Estate Planning Awareness Week, “…careful planning can prevent family members or other beneficiaries from being subjected to complex legal and administrative processes requiring significant expenditure of time, and greatly reduce confusion or even animosity among family members or other heirs upon the death of a loved one.”

The House also noted that “careful estate planning can greatly assist Americans in preserving assets built over a lifetime for the benefit of family, heirs, or charities.” In addition to those considerations, we believe a good estate plan can help ensure the individuals doing the planning have financial security during their lifetime while ensuring that their legacy continues as they desire after their death. Over the past year, estate planning has become a hot topic due to the potential expiration of the Tax Cuts and Jobs Act (TCJA) at the end of 2025. If that happens, we could see a significant reduction in the federal estate exemption amount. The current exemption – the amount you can leave to heirs without paying estate tax – is $13.61 million or just over $27 million per married couple. However, this would revert to an inflation-adjusted amount of roughly $7 million or about $14 million per married couple if Congress does not act by January 1, 2026.

Among other things, this means that a much greater percentage of estates will be subject to taxes. In 2017, before the implementation of the TCJA, there were 5,500 taxable estate returns, according to a report published by the Tax Policy Center.[1] That number dropped to 1,900 following the implementation of the TCJA in 2018 and increased to 4,000 in 2023, perhaps due in part to strong market returns during that time.

For those likely to have a taxable estate, removing assets from your estate now, while the higher exemption amount is still in effect, is a good way to potentially reduce your taxable estate. Earlier this year, we published a blog post discussing some of these techniques given the possible expiration of TCJA. The most straightforward of these are outright gifts made during your lifetime and gifts given to charity made by your estate. The post also covers a few techniques that allow you to give gifts during your lifetime but retain some of the benefits of the assets. If you haven’t read it already or need a refresher, you can find the post here.

The Fulcrum team can help determine whether you might have a taxable estate and run through various scenarios to reduce the taxable amount. A plan is only as good as your ability to execute it, and we can help coordinate an experienced team of tax and legal advisors to both draft and implement your plan. Estate planners are expecting the last half of 2025 to be an incredibly busy time as people try to get planning and gifting done before the TCJA exemption levels expire at year-end. The important thing is to get started soon, so you and your advisors have time to determine the best option(s) for your situation.