An inheritance is the property of a decedent (deceased person) which passes to his/her survivors. Inheritors may be named in a will and can include any person(s) the decedent chose. If there is no will, state law determines who inherits property. Generally, this will be immediate surviving family members such as a spouse and children. Previous spouses are usually excluded from inheriting if a divorce settlement has been finalized. An estate must go through the probate process so that all outstanding debts are paid before the remaining property is distributed. Survivors do not inherit unpaid debts unless they were already jointly responsible for such debts.

Some states impose an inheritance tax on property that is inherited by survivors. This tax must be paid by each beneficiary of a decedent's estate. Property willed to a surviving spouse is usually exempt from inheritance tax. This tax is slightly different that an estate tax which is owed by the estate itself and which is based on the total value of all property. Estate taxes are taken "off the top" before property is distributed. Inheritance tax is owed only on what each inheritor actually receives. 11 states currently levy inheritance taxes and 17 states impose estate taxes