What term describes the smallest amount that, if allowed as a marital deduction, minimizes federal estate tax?

• A. Pecuniary share
• B. Lineal descendant
• C. Fractional share formula
• D. Up-front marital formula

Answer: (A)

Pecuniary share describes a fixed dollar amount designated to pass to the surviving spouse. In federal estate tax planning, the marital deduction can apply to a bequest that is a specific dollar amount, and using a fixed, small amount—the pecuniary share—helps structure the rest of the estate plan (such as trusts) to coordinate tax outcomes and minimize overall estate tax when the plan is designed around the unlimited marital deduction and subsequent tax strategies. The other terms don’t refer to this fixed-dollar concept: a lineal descendant is a category of heirs, a fractional share formula is a method for calculating shares, and an up-front marital formula isn’t a standard term for this planning concept.