Year-End Financial Review: Key Florida Estate Planning Updates for 2026
- Absolute Law Group
- 2 days ago
- 3 min read
TL;DR - Year-End Financial Review: Key Florida Estate Planning Updates for 2026 gives Florida residents a clear breakdown of 2026 changes in federal exemptions, homestead adjustments, and statewide property tax proposals. This guide helps families and retirees understand what must be reviewed before year-end to protect assets and prepare for the year ahead.
Year-End Financial Review: Key Florida Estate Planning Updates for 2026 is essential for anyone living in Florida who wants to understand how upcoming federal and state changes may affect their estate, their property, and their long-term financial planning.
As 2026 approaches, reviewing these updates now ensures that your will, trust, homestead designation, and financial strategy remain aligned with both Florida law and shifting federal thresholds.
Federal Changes Affecting Estate Planning in 2026
Higher Federal Estate & Gift Tax Exemption
A key part of the Year-End Financial Review: Key Florida Estate Planning Updates for 2026 is the increase in the federal estate, gift, and GST tax exemptions. Beginning January 1, 2026:
The exemption increases to $15 million per person
Married couples may shield roughly $30 million
Future adjustments will track inflation
This higher exemption provides Florida families—including those with real estate portfolios, investment assets, or business interests—more flexibility in structuring or updating estate planning documents.
Florida-Specific Changes Florida Residents Should Know
Inflation-Adjusted Florida Homestead Exemption
Another major part of the Year-End Financial Review: Key Florida Estate Planning Updates for 2026 is Florida’s homestead exemption adjustment under Amendment 5.
As of 2025, the exemption is tied to yearly inflation, meaning:
The standard $50,000 homestead exemption may rise annually
Florida homeowners can receive greater property tax relief
Homestead rules remain tied to residency and primary residence requirements
For residents in Ocala, The Villages, Marion County, Sumter County, and Lake County, these changes may impact 2026 tax planning.
Proposed Homestead & Property Tax Reform in Florida
Several proposals are under consideration for Florida’s 2026 legislative session—another reason the Year-End Financial Review: Key Florida Estate Planning Updates for 2026 matters this year:
Elimination of non-school property taxes on homestead properties
Gradual 10-year phase-out of certain property taxes
Additional exemptions for homeowners age 65+
Alternatives providing partial exemptions or adjustments based on property value
While not yet law, these proposals signal potential shifts that may influence estate and property strategies for Florida homeowners.
How These Changes Affect Your Estate Plan
Revisiting Wills, Trusts, and Formula Clauses
The increased federal exemption could impact:
A/B trusts
Credit shelter provisions
Formula distributions
Spousal trust structures
This makes the Year-End Financial Review: Key Florida Estate Planning Updates for 2026 a critical step before the new year.
Homestead Planning for Florida Property Owners
Homestead classification carries unique benefits in Florida, including:
Property tax reductions
Constitutional creditor protection
Special inheritance and transfer rules
Now that exemptions adjust annually, homestead planning stands out as a key part of a Year-End Financial Review: Key Florida Estate Planning Updates for 2026.
Timing Gifts and Transfers Before New Thresholds Take Effect
Families interested in wealth transfer strategies may benefit from:
Strategic gifting
Trust funding
Generational planning
Reviewing beneficiary designations
These decisions are enhanced by completing a thorough Year-End Financial Review: Key Florida Estate Planning Updates for 2026.
Next Steps for Florida Residents
Update wills and trusts to reflect 2026 exemption levels
Confirm or apply for homestead exemption before March 1
Prepare for potential statewide property tax reform
Review business holdings, real estate, and investments for estate impact
Schedule a lawyer-guided review before year-end deadlines
Request a Consultation
FAQ’s
Q: Why is a Year-End Financial Review important for Florida residents?
A: A Year-End Financial Review helps ensure that your documents and planning reflect 2026 changes in federal exemptions, homestead rules, and proposed Florida tax reforms.
Q: How does the federal estate tax exemption affect my Florida estate plan?
A: With the 2026 exemption increasing to $15 million per person, many existing trusts and wills may need revisions to maintain intended distributions and tax efficiency.
Q: When is the homestead exemption deadline for Florida homeowners?
A: The deadline is March 1 of each year, and it applies to homeowners who qualify based on residency and primary residence requirements.
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