Points to know
- The unlimited marital deduction allows one spouse to transfer any amount of assets to the surviving spouse free of federal estate tax if the surviving spouse is a U.S. citizen.
- As of 2025, U.S. citizens are entitled to transfer $13.99 million, known as the exemption amount, free of federal estate and gift taxes. Spouses can transfer any unused portion of their exemption amount to their surviving spouse.
The relationship between marriage and taxes
Federal tax laws are less intrusive when assets pass from one spouse to the other.
Unlimited marital deduction
The unlimited marital deduction allows you to transfer any amount of assets to your surviving spouse free of federal estate tax if your spouse is a U.S. citizen.
If your spouse isn't a U.S. citizen, you can take advantage of the marital deduction by creating a qualified domestic trust.
Portability
Portability is the ability to transfer the unused portion of your exemption amount to your surviving spouse. This transferred amount is known as the "deceased spousal unused exclusion amount" (DSUEA), and it's added to your spouse's exemption amount.
To make the transfer, your executor must elect this option on your federal estate tax return.
Get more from Vanguard
✓ Custom financial plan
✓ Ongoing portfolio management
✓ Investment coaching
✓ Real-time goal tracking
✓ All at a low cost
Get more from Vanguard
✓ Custom financial plan
✓ Ongoing portfolio management
✓ Investment coaching
✓ Real-time goal tracking
✓ All at a low cost
Explore more topics
Vanguard family legacy services
We're here to help. Talk with your Vanguard team.
Call 800-860-8392
View your account or schedule time to talk with your relationship team.
Vanguard family legacy services
We're here to help. Talk with your Vanguard team.
Call 866-226-2759
View your account or schedule time to talk with your relationship team.
We recommend that you consult a tax or financial advisor about your individual situation.
Vanguard's advice services are provided by Vanguard Advisers, Inc. ("VAI"), a registered investment advisor, or by Vanguard National Trust Company ("VNTC"), a federally chartered, limited-purpose trust company.
The services provided to clients will vary based upon the service selected, including management, fees, eligibility, and access to an advisor. Find VAI's Form CRS and each program's advisory brochure here for an overview.
VAI and VNTC are subsidiaries of The Vanguard Group, Inc., and affiliates of Vanguard Marketing Corporation. Neither VAI, VNTC, nor its affiliates guarantee profits or protection from losses.