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Feb 2015
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February 01, 2015

Estate Planning Tip: 2015 IRS Annual Tax Threshold Adjustments


The IRS and State of Michigan have completed their annual adjustments to important thresholds in the estate planning and elder law world.  Here is a quick reference guide to the current numbers.  

Estate and Gift Tax  
Estate, Gift and GST Tax Exemption Equivalent: $5,430,000
Gift Tax Annual Exclusion: $     14,000
Annual Exclusion for Noncitizen Spouse: $   147,000
Maximum Estate and Gift Tax Rate: 40%
   
Medicaid Asset and Income Thresholds  
Maximum Community Spouse Asset Allowance: $   119,220
Minimum Community Spouse Asset Allowance: $     23,844
Maximum Community Spouse Income Allowance (monthly): $       2,981
Monthly Income Cap for Home and Community Based Waiver: $       2,199
Average Monthly Cost of Nursing Home Care (Divestment Penalty Divisor): $       8,084
Maximum Home Equity Value: $   552,000
   
Estates and Trust Code  
Intestate Share of Surviving Spouse with Children with Decedent: $   221,000
Intestate Share of Surviving Spouse with no Children with Decedent: $   148,000
Homestead Allowance (spouse/minor’s shelter during estate administration): $     22,000
Exempt Property (spouse/children’s right to household and personal property): $     15,000
Family Allowance (to support spouse/minors during estate administration): $     27,000
Small Estates (qualifies for summary procedure): $     22,000
Small Trusts (May be terminated as too small to justify administration expenses): $     74,000

 
 

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