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Washington Estate Planning Attorney

Washington is one of the most distinctive estate planning environments in the United States. The state imposes its own estate tax with an exemption significantly lower than the federal threshold — making Washington one of a small number of states where estate tax planning is a meaningful concern not only for the ultra-wealthy but for many middle-market families and business owners. Washington is also a community property state with several uniquely flexible planning tools: the community property agreement, nonintervention administration of probate, and the Trust and Estate Dispute Resolution Act (TEDRA). Our firm helps Washington individuals, families, technology workers, business owners, and out-of-state clients with Washington assets design and maintain estate plans that minimize state estate tax exposure, simplify administration, and protect what matters.

Washington office: (206) 279-4780

Washington State Estate Tax — The Key Planning Driver

Washington imposes a state estate tax on the estates of decedents who were Washington residents at death and on real or tangible personal property located in Washington at the death of a nonresident. The Washington exemption (the “applicable exclusion amount”) is significantly lower than the federal estate tax exemption — historically just over $2 million, with recent legislation adjusting and indexing the figure. Rates are graduated, with the top marginal rate of 20% applying to the largest estates.

Because the Washington exemption is so much lower than the federal exemption (currently more than $13 million per individual), many Washington estates that owe no federal estate tax still owe Washington estate tax. For a married couple with a combined estate of $5 million or more — not uncommon in Seattle technology, real estate, and professional households — meaningful Washington estate tax can be triggered at the second spouse’s death without proper planning.

Common Washington estate tax planning techniques include:

  • Credit Shelter Trusts (Bypass Trusts). At the first spouse’s death, an amount equal to the Washington exemption is funded into an irrevocable credit shelter trust that benefits the surviving spouse during life but is not included in the surviving spouse’s estate at the second death. This effectively doubles the available Washington exemption for a married couple.
  • QTIP Trusts. The Qualified Terminable Interest Property election allows estate tax deferral while preserving control over the ultimate disposition of the property — particularly useful in blended-family situations.
  • Lifetime Gifting. Washington does not impose a gift tax, so lifetime gifts (subject to the federal gift tax framework) can transfer wealth out of the Washington taxable estate.
  • Irrevocable Life Insurance Trusts (ILITs). Keep life insurance proceeds outside both the federal and Washington taxable estate.
  • Family Limited Partnerships and discounted entity interests. Properly structured, these can produce valuation discounts that reduce both federal and Washington estate tax exposure.

Community Property and the Community Property Agreement

Washington is one of nine community property states. At the first spouse’s death, all community property receives a full step-up in basis to fair market value under Internal Revenue Code § 1014 — the “double step-up.” The surviving spouse can sell appreciated community property assets with significantly less capital gains tax exposure than would apply in a non-community-property state.

Washington also recognizes a uniquely useful planning tool: the Community Property Agreement under RCW 26.16. A properly drafted CPA can (1) convert separately held property into community property, capturing the double step-up at the first death, and (2) automatically transfer all community property to the surviving spouse at the first death without probate. CPAs are simple, cost-effective, and widely used in Washington for small to mid-sized married estates. They are not appropriate, however, for estates large enough to need credit shelter trust planning — the automatic-transfer feature pushes the entire combined estate into the survivor’s estate, undoing the doubling of the state estate tax exemption. CPA and credit shelter planning need to be coordinated carefully.

Core Washington Estate Planning Documents

Last Will and Testament

A Washington will must be attested under RCW Title 11, Chapter 12 — signed by the testator and attested by two competent witnesses. Washington does not recognize holographic wills (entirely handwritten wills) executed in Washington. Self-proved wills (signed before a notary) avoid the need for witness testimony at probate.

Nonintervention Powers

One of Washington’s most distinctive features is RCW 11.68, which permits a Washington personal representative to administer the estate with nonintervention powers — without ongoing court supervision — when the will so provides or when the court grants the powers. Once nonintervention powers are granted (commonly at the same hearing as appointment), the personal representative may sell assets, settle claims, and distribute the estate without further court approval. Nonintervention is essentially the Washington analog of Texas independent administration and makes Washington probate dramatically faster and less expensive than supervised probate. Every Washington will should include nonintervention language.

Revocable Living Trust

For Washington estates where probate is not actively desired (out-of-state real estate, privacy concerns, incapacity planning, blended families), the revocable living trust serves the same purposes as in other states. Trust-based plans also coordinate well with credit shelter trust planning for estate tax purposes.

Durable Power of Attorney

The Washington Uniform Power of Attorney Act (RCW 11.125) governs financial powers of attorney. A durable POA allows an agent to manage your finances if you become incapacitated.

Health Care Directive and Durable Power of Attorney for Health Care

Washington uses separate documents for end-of-life wishes (Health Care Directive under RCW 70.122) and for naming a health care agent (Durable Power of Attorney for Health Care under RCW 11.125). Most clients execute both, sometimes integrated into a single combined document.

Washington Transfer on Death Deed

RCW 64.80 authorizes the Washington Transfer on Death Deed, allowing real estate to pass directly to named beneficiaries at death without probate, revocable during life, and without giving beneficiaries any present interest. For clients whose only significant probate asset is real estate, a TOD deed can replace much of the need for a trust-based avoidance strategy.

Trust and Estate Dispute Resolution Act (TEDRA)

RCW 11.96A — the Trust and Estate Dispute Resolution Act — is one of Washington’s most useful planning and administration tools. TEDRA permits parties in interest (beneficiaries, trustees, personal representatives) to enter binding written agreements resolving virtually any matter affecting a trust or estate, often without court involvement. A TEDRA agreement can resolve ambiguous trust language, modify outdated provisions, settle distribution disputes, reform documents to address tax issues, or accomplish many other ends. TEDRA provides a meaningful flexibility advantage over states that require judicial approval for similar changes.

Washington Specialized Trusts

  • Credit Shelter Trusts — capture the Washington exemption at the first spouse’s death (see above).
  • QTIP Trusts — defer Washington estate tax while preserving control over ultimate distribution.
  • Irrevocable Life Insurance Trusts (ILITs) — keep insurance proceeds outside the Washington taxable estate.
  • Spousal Lifetime Access Trusts (SLATs) — use federal lifetime exemption while retaining indirect spousal access.
  • Special Needs Trusts — preserve eligibility for SSI and Medicaid.
  • Gun Trusts — NFA items are generally legal in Washington for properly licensed individuals and trusts. See our dedicated Washington Gun Trusts page.
  • Charitable Remainder Trusts — combine current income with a deferred charitable gift; can reduce both federal and Washington estate tax exposure.

Washington Probate

When a Washington decedent leaves probate assets, the estate is administered under RCW Title 11. With nonintervention powers granted at appointment, most Washington probates can be completed within four to nine months with minimal court involvement and modest cost. Smaller estates (currently under the statutory threshold) may use a Small Estate Affidavit procedure under RCW 11.62 to transfer personal property without formal probate.

Our firm represents personal representatives, beneficiaries, and creditors through every stage of Washington probate.

Trust Administration

When a settlor of a revocable trust dies, the successor trustee administers the trust privately under RCW 11.98 (the Trust Act). The administration includes specific fiduciary duties: notification of beneficiaries (RCW 11.98.072), accountings, payment of debts and taxes, and distribution. TEDRA agreements often play a useful role in resolving administration questions efficiently.

Out-of-State Clients with Washington Real Estate

Out-of-state owners of Washington real estate face Washington estate tax exposure on the value of the Washington real and tangible personal property if the total Washington-sited estate exceeds the applicable exclusion amount, even though they were not Washington residents. The most common planning solution is to title Washington real estate in a properly structured entity (typically an LLC) or revocable trust that mitigates the Washington estate tax exposure. Because our firm is licensed in California, Idaho, Texas, Washington, and North Carolina, we can structure this in a single engagement.

Schedule a Washington Estate Planning Consultation

Washington estate tax planning is one of the highest-leverage estate planning activities in the country. The savings from properly structured credit shelter and QTIP trusts often exceed the entire cost of the plan many times over — but the planning must be done before the first spouse’s death to be effective.

Washington: (206) 279-4780

Our other offices:
Idaho (208) 696-2772 · Southern California (714) 464-5188 · Northern California (707) 207-8005 · Texas (469) 535-6260 · North Carolina (919) 363-9945

See also: Washington (state hub) · Estate Planning (pillar)

Disclaimer: The information on this page is general legal information about Washington estate planning and is not legal advice. The Washington estate tax exemption, rate schedule, and small-estate thresholds change. Always consult a Washington-licensed attorney about your specific situation. No attorney-client relationship is formed by visiting this page.

Schedule a Free Consultation in Washington

Discuss your matter with our Washington team. Initial consultations are complimentary.

Washington: (206) 279-4780

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