For most people, estate tax is not a concern. Arkansas has none.
The federal estate and inheritance taxes start, in 2022, at $12.06 million of assets. A couple, because of the rules, can have double that. That means that a couples total taxable estate doesn’t begin until $24.12 million. Your total taxable estate includes everything you own, including proceeds form life insurance.
You really want to avoid estate taxes because the estate tax rate is 40%.
You need to be careful, because this is tied very closely to the gift tax. For every $1.00 of gift you give during your lifetime, you lose $1.00 of estate tax exemption. Another reason to watch the gift tax is because of Medicaid.