Inheritance Tax Calculator
Inheritance Tax Calculator
UK Inheritance Tax Calculator
IHT estimate based on current rules
Most of it is avoidable.
This calculator gives you an indicative estimate of your UK inheritance tax position — including the impact of the April 2027 pension changes that most people don't yet know about.
It takes under 3 minutes. You will need an idea of your property value, savings, investments and pension pots.
Once completed, you can send your results directly to a Metis adviser who will walk you through what the numbers mean and what can be done.
Used to calculate how much of your spouse's nil-rate band is consumed, reducing the amount transferable to you.
Include UK and overseas bank accounts and cash deposits — excluding pensions and investments.
Include investment portfolios, offshore bonds, ISAs, and unit trusts — excluding pensions.
Some pension funds are currently exempt from IHT. From April 2027, most pension funds will be included in your taxable estate. We will show your estimated post-2027 exposure in your results.
This amount will be included in your taxable estate.
Thank you. A Metis adviser will review your results and be in touch shortly.
FAQ
Q: Will my pension be subject to inheritance tax?
Under current rules, defined contribution pension pots are generally exempt from inheritance tax. However, from April 2027, the government has proposed that most pension funds will be brought into the taxable estate. This is a significant change that could add tens of thousands, or more, to many people’s IHT liabilities. Our calculator shows you your estimated exposure both under current rules and under the proposed 2027 rules, so you can plan accordingly.
Q: Does living abroad affect my UK inheritance tax position?
It can, but it depends on your circumstances. Historically, domicile status determined your IHT liability. Under new rules, long-term UK residents, broadly, those who have lived in the UK for at least ten of the last twenty tax years, are treated as having UK-connected status for IHT purposes even after moving abroad. If you have recently left the UK or have significant UK assets, you should take professional advice. A Metis adviser can assess your specific position.
Q: What is the nil-rate band and the residence nil-rate band?
The nil-rate band (NRB) is the amount each person can pass on free of IHT, currently £325,000 and frozen until 2030. The residence nil-rate band (RNRB) is an additional allowance of up to £175,000 that applies when you leave your home to direct descendants such as children or grandchildren. The RNRB starts to reduce for estates over £2m and is completely tapered away for estates above £2.35m.
Unused nil-rate bands can be transferred between spouses, meaning a surviving spouse may benefit from a combined NRB of up to £650,000 and a combined RNRB of up to £350,000.
Q: How can I reduce my inheritance tax bill?
There are a number of legitimate planning strategies that can reduce an IHT liability, including making use of annual gift exemptions, setting up trusts, taking out life insurance written in trust to cover the liability, reviewing pension nominations, and structuring assets tax-efficiently. The right approach depends on your personal circumstances. This calculator is an estimator; a Metis adviser can work through the details with you and identify the most appropriate planning steps.
Q: Is this calculator suitable for expats?
Yes. This calculator is designed for both UK residents and UK expats. It focuses on UK IHT rules and applies the correct allowances based on your circumstances. It does not cover the tax rules of your country of residence.
Let’s Build Something That Lasts
Let’s start a conversation that lasts a lifetime.
Contact us today