Current for 2026•As of: July 2026

Inheritance Tax Calculator 2026 Calculate Your Allowances.

Calculate German inheritance tax: allowances (child €400,000, spouse €500,000), tax classes I–III and family home exemption under the ErbStG

FreeNo sign-upGDPR-compliant

Value of the inheritance

€
0 €10,000,000 €
€
0 €2,000,000 €
€
0 €100,000 €

Household effects are tax-free up to €41,000 (tax class I) or €12,000 (§ 13 ErbStG) – applies only to household effects/movable items, not cash, securities or real estate.

Family home

The family home can be inherited tax-free under certain conditions.

Degree of kinship

years
0 years70 years
€
0 €500,000 €

The pension allowance (Section 17 Inheritance Tax Act) is reduced by the capital value of survivor benefits that are not subject to inheritance tax – e.g. statutory widow(er)’s/orphan’s pensions or company survivor pensions. The tax office determines the capital value under Sections 13-14 of the Valuation Act; if left empty, no reduction is applied.

Allowances 2026

  • Spouse/civil partner: €500,000
  • Children: €400,000
  • Grandchildren: €200,000
  • Parents/grandparents: €100,000
  • Other: €20,000

Inheritance tax payable

11,000 €

Effective tax rate: 2.2 %

Tax class

Class 1

Personal allowance

400,000 €

Your allowances

Personal allowance400,000 €
Household effects allowance0 €
Total allowances400,000 €

Tax calculation

Value of the inheritance500,000 €
- Allowances400,000 €
Taxable acquisition100,000 €
× Tax rate11.0 %
Inheritance tax11,000 €

Tax rates 2026:

Class I

7% - 30%

Class II

15% - 43%

Class III

30% - 50%

Important note

These calculations are for non-binding information only and do not replace professional tax advice. All information without guarantee. Learn more

Sources & calculation basis

Our calculations are based on the following official sources (as of: July 2026):

Related guides

Transferring Wealth

Inheritance tax 2026: tax classes and allowances

German inheritance tax (Erbschaftsteuer) is due when you inherit assets from someone who has died. The amount of tax depends on two factors: your degree of kinship to the deceased and the value of the inheritance.

The closer your relationship to the deceased, the higher your allowance and the lower the tax rates. Allowances apply for a period of 10 years and also cover gifts.

Allowances by degree of kinship

Spouse: €500,000
Tax class I, plus a €256,000 maintenance allowance. Family home tax-free.
Children: €400,000
Tax class I, plus a maintenance allowance depending on age (up to €52,000).
Grandchildren: €200,000
Tax class I, also applies to great-grandchildren and step-grandchildren.
Parents: €100,000
Tax class I on inheritance, tax class II on gifts.

Example calculation: inheritance received by a child

Child inherits €700,000 (age 26)

Child inherits €700,000 (age 26)
ItemAmount
Value of the inheritance€700,000
Personal allowance (child)- €400,000
Maintenance allowance (age 26)- €10,300
Household effects allowance- €41,000
Taxable acquisition€248,700
Tax rate (tax class I)11%
Inheritance tax€27,357

Tax rates by tax class

  1. Tax class I (spouse, children, grandchildren): 7% up to €75,000, 11% up to €300,000, 15% up to €600,000, 19% up to €6 million, 23% up to €13 million, 27% up to €26 million, 30% above.
  2. Tax class II (siblings, nieces/nephews): 15% up to €75,000, 20% up to €300,000, 25% up to €600,000, 30% up to €6 million, 35% up to €13 million, 40% up to €26 million, 43% above.
  3. Tax class III (other beneficiaries): 30% up to €6 million, 50% above. Only a €20,000 allowance.

Tax exemptions and relief

Besides the personal allowances, there are other ways to reduce inheritance tax. Particularly important is the exemption for the family home.

Important tax exemptions

Family home for spouses
The self-occupied family home is completely tax-free for spouses if they live in it for 10 years.
Family home for children
Children inherit the family home tax-free up to 200 sqm of living space, if used for 10 years.
Household effects allowance
An additional allowance of €41,000 (tax class I) or €12,000 applies to household effects and personal items.
Business assets
Companies and businesses can be inherited tax-free at 85% or 100% under certain conditions.

Frequently asked questions about German inheritance tax

Everything important about allowances, tax classes and exemptions

The personal allowances under § 16 ErbStG remain unchanged in 2026: spouses and registered civil partners €500,000, children and stepchildren €400,000, grandchildren €200,000, parents and grandparents on inheritance €100,000, siblings, nieces, nephews and children-in-law €20,000, all other persons €20,000. These allowances apply per acquisition within a 10-year period.

There are three tax classes: tax class I (spouse, children, grandchildren, parents on inheritance) with tax rates of 7–30%, tax class II (siblings, nieces/nephews, stepparents, parents-in-law, divorced spouses) with 15–43%, tax class III (all other beneficiaries) with 30–50%.

Yes, the self-occupied family home can be inherited tax-free (§ 13 para. 1 no. 4b/4c ErbStG). For spouses the exemption applies without a size limit, provided they continue living in it for 10 years. For children the tax exemption is limited to 200 sqm of living space. If the heir moves out within 10 years, the exemption is revoked retroactively – with exceptions for compelling reasons (nursing home, death).

Legal ways to optimize tax: use gift allowances every 10 years (same allowances as for inheritance), reserve a usufruct (reduces the taxable value), use the family home exemption, the business assets privilege (85% or 100% tax-free under certain conditions), early transfer of assets to make use of multiple 10-year allowances.

The inheritance must be reported to the competent tax office within 3 months of becoming aware of it (§ 30 ErbStG). The tax office will then request an inheritance tax return. Inheritance tax is due once the taxable acquisition (after deducting all allowances) is positive.

Spouses receive an additional maintenance allowance of €256,000 on top of the personal allowance (€500,000). Children receive a maintenance allowance depending on age, from €10,300 (age 21 to under 27) up to €52,000 (up to age 5); it no longer applies once the 27th year of life is completed (Section 17 (2) Inheritance Tax Act). The maintenance allowance is reduced by the capitalized value of survivor benefits not subject to inheritance tax (e.g. statutory survivor pension).
Ad
smartsteuerOnline tax return
  • German tax return with guided Q&A (in German)
  • Automatic check for savings potential
  • Pay only when you actually submit
Start your tax return

For business

Calculators for your website or app

Integrate our GDPR-compliant calculators as a widget or use our API. Perfect for HR portals, career pages and financial applications.

  • ✓100% GDPR-compliant - no cookies, no data storage
  • ✓White-label - your branding, your colors
  • ✓REST API for your own applications
  • ✓Built by HEADON.pro - your digital agency
Learn more about HEADON.pro →

Request without obligation

Receive an individual quote from HEADON.pro

Your data will only be used to get in touch with you.
Privacy