Summertime has a way of bringing people together. Whether it’s a family vacation, a 4th of July barbecue, or a trip to the beach, the warmer weather and longer days create space for reconnecting, recharging, and deeper conversations. And, while it’s not always a lighthearted topic, estate planning can actually fit naturally into this season of togetherness. With all your loved ones in the same place, it may be the perfect time to revisit (or begin) discussing your family’s legacy.
In some ways, these conversations are more important than ever as key portions of the current tax laws are set to expire at the end of the year, including the historically high federal estate and gift tax exemption. Right now, the estate and gift tax exemption is $13.99 million, but when the Tax Cuts and Jobs Act (TCJA) expires on January 1, 2026, the exemption will revert to pre-TCJA levels of around $5 million, adjusted for inflation.1
The recent House-proposed tax legislation dubbed the “Big Beautiful Bill” would extend or make the TCJA policies and exemptions permanent.2 The proposed legislation is meeting resistance in the Senate signaling there’s a long way to go before we see a final bill.3 The reality is no one knows what the final tax landscape will look like, and the window to take advantage of the current laws is closing. Strategies like making lifetime gifts or leveraging irrevocable trusts can take time to implement, so it’s wise to begin before year-end planning season ramps up.
But estate planning is about more than taxes and wealth. At its core, it’s about clarity, communication, and preparing the people you love for the future. For some families, that might mean discussing how to divide assets or securing proper advance directives for elderly relatives. For others, it could involve preparing the next generation to take the reins of the family business. Whatever the circumstances, having everyone in the same place is an opportunity to have these conversations and align as a group.
It is best to approach these conversations with sincerity and support. A simple conversation starter could be, “I’ve been trying to get more organized with my own plans and it made me wonder, do you feel good about how everything is set up for the future?” Or, bring up a recent news story about a celebrity estate dispute to open the door. Keep the tone open and collaborative, especially when discussing things like inheritance or who will make financial decisions.
Summer never lasts forever, and neither will the tax laws as we know them. Using this season to connect with your family about a topic that truly matters can make an impact that will last beyond your lifetime. If you’re ready to start that conversation or take the next step in your estate plan, the team at Prime Capital Financial is here to help you navigate what’s next for you and your family.
Sources:
- https://about.bgov.com/insights/elections/2025-tax-policy-crossroads-what-will-happen-when-the-tcja-expires/#which-tcja-individual-tax-provisions-are-set-to-expire
- https://www.kiplinger.com/taxes/whats-the-new-estate-tax-exemption
- https://www.kiplinger.com/taxes/big-gop-tax-bill-could-change-your-estate-planning
