Dodging the federal estate tax doesn't mean your wealth will pass intact.
A little more than two-thirds of Americans expect to leave at least some of their wealth on to the next generation, according to a 2015 HSBC report, while 9 percent say they are saving as much as possible for their heirs.
In 2016, up to $5.45 million in assets per person are exempt under the federal estate tax. But depending on where you live, your wealth might still be subject to state or local estate and inheritance taxes — which often have much lower thresholds. High funeral costs could further eat into what you leave your heirs.
Based on tax data from the Tax Foundation and average funeral pricing from comparison site Parting.com, these states and the District of Columbia may be among the most expensive places to die.
— By CNBC's Kelli B. Grant
Posted 2 Sep. 2016
New Jersey
State estate tax exemption level: $675,000
State estate tax rates: 0.8 to 16 percent
Inheritance tax: Zero to 16 percent, depending on amount and relationship to the deceased
Average traditional funeral cost: $7,123
Average direct cremation cost: $2,346
Oregon
State estate tax exemption level: $1 million
State estate tax rates: 10 to 16 percent
Average traditional funeral cost: $5,758
Average direct cremation cost: $1,467
Massachusetts
State estate tax exemption level: $1 million
State estate tax rates: 0.8 to 16 percent
Average traditional funeral cost: $7,233
Average direct cremation cost: $2,455
District of Columbia
Estate tax exemption level: $1 million
Estate tax rates: 0.8 to 16 percent
Average traditional funeral cost: $6,427
Average direct cremation cost: $2,336
Rhode Island
State estate tax exemption level: $1.5 million
State estate tax rates: 0.8 to 16 percent
Average traditional funeral cost: $7,173
Average direct cremation cost: $2,484
Minnesota
State estate tax exemption level: $1.6 million
State estate tax rates: 9 to 16 percent
Average traditional funeral cost: $7,501
Average direct cremation cost: $2,858
Maryland
State estate tax exemption level: $2 million
State estate tax rates: 16 percent
Inheritance tax: Zero to 10 percent, depending on amount and relationship to the deceased
Average traditional funeral cost: $7,009
Average direct cremation cost: $2,333
Connecticut
State estate tax exemption level: $2 million
State estate tax rates: 7.2 to 12 percent
Average traditional funeral cost: $7,173
Average direct cremation cost: $3,005
Washington state
State estate tax exemption level: $2.078 million
State estate tax rates: 10 to 20 percent
Average traditional funeral cost: $5,917
Average direct cremation cost: $1,442
Vermont
State estate tax exemption level: $2.75 million
State estate tax rates: 0.8 to 16 percent
Average traditional funeral cost: $6,470
Average direct cremation cost: $2,094
New York
State estate tax exemption level: $3.125 million
State estate tax rates: 3.06 to 16 percent
Average traditional funeral cost: $6,402
Average direct cremation cost: $1,892
Illinois
State estate tax exemption level: $4 million
State estate tax rates: 0.8 to 16 percent
Average traditional funeral cost: $6,942
Average direct cremation cost: $2,301