The estate tax is a tax paid to the federal and sometimes state government on wealth transferred at the end of a person’s life. Before inheritance is given to the family and loved ones of the deceased, the estate tax must be calculated and paid. To calculate the amount paid, the government totals the fair market value of all property, investments, and other forms of capital. According to the Center on Budget and Policy Priorities, more than five million dollars per person is exempt from the estate tax. This means that, if you are leaving less than several million dollars to your family and loved ones, you do not have to worry about the estate tax at all. Even if you are leaving enough that you do face the estate tax, an experienced lawyer can take advantage of exemptions of deductions to heavily reduce your tax burden.