Ep. 107 Navigating Post-Election Exemption Planning
What Post-Election Exemption Planning Means for Your Estate
With the current federal estate tax exemption set to sunset at the end of 2025, high-net-worth individuals have a rare opportunity to optimize their wealth transfer strategies.
In this episode of Live Life Liberated, host Bryan Schick is joined by Dan Stolfa, Senior Wealth Advisor and former trust and estates attorney at Centura Wealth Advisory. Together, they unpack the complexities of post-election exemption planning and offer guidance for those looking to preserve their wealth through thoughtful, proactive planning.
Understanding the Impending Sunset of Estate Tax Exemptions
Currently, each individual is allowed to transfer up to $13.99 million tax-free during their lifetime or at death. For married couples, that number approaches $28 million. However, under current law, that exemption is scheduled to revert back to approximately $7 million per person in 2026.
“It’s basically a use-it-or-lose-it situation. If you don’t use your full exemption before 2026, you’re going to lose the excess over the new limit,” explains Stolfa.
The Centura team urges clients not to delay. While it’s tempting to adopt a wait-and-see approach, the risk of missing this window could be costly in estate taxes and missed planning opportunities.
Portability and Legislative Risk
Portability allows a surviving spouse to utilize a deceased spouse’s unused exemption. While this provision remains helpful, Stolfa points out that “legislative gridlock” and other federal priorities make the likelihood of extending current exemptions uncertain.
“If nothing happens, this law will sunset. That’s the only thing we know for sure,” says Stolfa.
Given how quickly high-caliber attorneys, appraisers, and CPAs are getting booked, Centura advises clients to begin planning now—not in Q4 of 2025.
Tailored Planning for Different Net Worth Levels
Centura helps clients across a spectrum of wealth levels determine how to approach exemption planning. Stolfa and Schick break down three key tiers:
For Net Worth Under $20 Million
- Planning is more nuanced and depends heavily on age, risk tolerance, and future lifestyle needs.
- Portability may offer enough flexibility for some families.
For Net Worth Around $28 Million
- Consider using one spouse’s full exemption now, leaving the other available in case the law does not sunset.
- Use of spousal lifetime access trusts (SLATs) or similar structures can allow for future access if needed.
For Net Worth Above $35 Million
- Stolfa notes: “At these levels, transferring the full amount now makes a lot of sense—especially for older individuals with shorter planning horizons.”
- Advanced modeling and scenario planning become critical.
The Urgency to Act
Clients often believe they can wait until the final quarter of 2025 to act, but Stolfa warns that the logistics—such as valuations, entity reviews, and attorney drafting—require time.
“Everyone that we’re talking to on the professional side says the same thing: Start now, or risk not being able to act at all before year-end,” he advises.
Why Centura?
Centura’s integrated team approach coordinates attorneys, CPAs, appraisers, and investment professionals to design tax-efficient strategies. By quarterbacking the process, Centura ensures nothing is missed, and that clients use their exemption wisely, with confidence.
“We help clients evaluate their exemption, current balance sheet, and cash flow over time. It’s not just about moving assets—it’s about long-term alignment,” says Schick.
Final Thoughts
As the window on historically high estate tax exemptions begins to close, families with significant wealth have an extraordinary—but temporary—opportunity.
Start early. Get the right advisors in place. And make sure your plan reflects both your financial goals and your family values.
Disclaimer
The information covered and posted represents the views and opinions of the guest and does not necessarily represent the views or opinions of Centura Wealth Advisory. The content has been made available for informational and educational purposes only. The content is not intended to be a substitute for professional investing advice. Always seek the advice of your financial advisor or other qualified financial service provider with any questions you may have regarding your investment planning.Centura Wealth Advisory (Centura) is an SEC-registered investment advisor with its principal place of business in San Diego, California. Centura and its representatives are in compliance with the current registration and notice filing requirements imposed on SEC-registered investment advisors in which Centura maintains clients. Centura may only transact business in those states in which it is notice filed or qualifies for an exemption or exclusion from notice filing requirements. Past performance is no guarantee of future results. Tax relief varies based on client circumstances, and all clients do not achieve the same results.
