IHT

Inheritance tax can be complex, which is why we’ve created this calculator — to give you a clearer view of some key aspects. It’s built with the best intentions and based on our current understanding of the law.

That said, the results are indicative only, and based entirely on the information you provide. Because inheritance tax rules can be intricate and subject to change, the actual amount due may vary depending on your specific circumstances and you should obtain appropriate advice to determine the actual amount.

The basics
Everyone in the UK can pass on up to £325,000 of their estate without paying inheritance tax. This is known as the nil rate band (NRB). However, this allowance may be reduced if gifts have been made or assets placed into a trust.

An estate typically includes your home (at market value), savings, investments, and other assets.

There’s also an additional allowance called the residence nil rate band (RNRB). This may apply if you leave your home to direct descendants such as children or grandchildren.

Important notes and limitations
This calculator is designed to provide a general guide. It does not account for:

• Gifts made within the last seven years
• Charitable donations included in your will
• Tapering of the RNRB for estates worth more than £2 million—it assumes no RNRB is available beyond this threshold
• Downsizing allowances or more detailed estate planning scenarios

This tool is meant to be a helpful first step in understanding your inheritance tax position. This is not intended as a replacement for, or to provide expert advice. We recommend speaking with a qualified tax adviser.