Tax Planning
Inheritance Tax Calculator
Estimate your estate's IHT liability
Inheritance tax is charged at 40% on estates above the nil-rate band. This calculator estimates your estate's potential IHT liability and shows how the residence nil-rate band can help.
£800,000
£400,000
For residence nil-rate band
Frequently Asked Questions
What is the nil-rate band?
The nil-rate band is £325,000 — the amount of your estate that's exempt from IHT. If you're leaving your home to direct descendants, an additional residence nil-rate band of up to £175,000 may apply, giving a combined threshold of up to £500,000.
How can I reduce my IHT liability?
Common strategies include making gifts (which fall out of your estate after 7 years), setting up trusts, using Business Relief on qualifying assets, and ensuring both nil-rate bands are fully utilised through proper estate planning.
Want personalised advice?
Calculators provide useful estimates, but your financial plan should be built around your specific circumstances. Book a free consultation to discuss your situation.
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