You have had a will drawn up. It's been finalised, signed, and safely stored. But here is the uncomfortable truth: for most South African families, a will is just the beginning, not the complete plan.
According to the 2025 Sanlam Legacy Withdrawal het 66% van Suid-Afrikaners steeds nie eens ‘n testament nie. En van dié wat wel een het, weet die meeste nie dat hul boedel by afsterwe vasgevang kan raak in ‘n administratiewe proses wat jare kan duur, hulle gesinne finansieel kan verlam, en bates kan opvreet in fooie en belasting wat voorkom kon word nie.
In this article, we look at what really happens when someone dies, with or without a will, and why a comprehensive Estate planning at Waardevast the difference between a legacy that is protected and one that falls apart.
Oor die algemeen, wanneer 'n persoon sterf, hou die brein op om te funksioneer, die hart hou op klop, en asemhaling stop. Die liggaam kan dan 'n reeks fisiese en chemiese veranderinge ondergaan, afhangende van die omstandighede rondom die dood.
The moment someone dies, their assets are placed in a deceased estate. The executor, the person appointed by the will, must then administer the entire estate. This includes:
- The reporting of the estate to the Master of the High Court
- The identification and valuation of all assets
- The payment of all debt, tax, and administration costs
- The distribution of the remaining assets to the heirs
Sounds simple? It rarely is.
The Hidden Costs That Catch Families Off Guard
Most people don't realise how much it costs to wind up an estate. According to the South African Revenue Service (SARS) and that Estate Duty Actg, these costs include the following:
Executor's fees Up to 3.5% of the gross estate value, plus VAT. On an estate of R5 million, this means more than R200,000 solely in executor's fees.
Inheritance tax: 20% op die belasbare boedel bo die R3,5 miljoen-vrystelling, en 25% op bedrae bo R30 miljoen. Sonder behoorlike beplanning kan hierdie belasting ‘n gesin se erfporsie dramaties verminder.
Capital Gains Tax (CGT) Upon death, all assets are deemed to be sold at market value. This triggers a CGT calculation which must be settled from the estate before beneficiaries receive anything.
Master's office fees, valuation costs, advertising costs and legal costs add thousands more rand.
The Real Danger: Liquidity
This is where most estate plans fall apart. A family might own R8 million in assets, including a house, a car, investments and a life insurance policy. But if there isn't enough cash in the estate to pay the fees, taxes and debts, the executor will have to sell assets.
This often means a house has to be sold under pressure. Or that investments are liquidated at the worst possible time. The family is not only struck by the loss of a loved one, but also by financial chaos that can last for months or even years.
According to Capital Legacy 8.7 million South African homeowners do not even have a will. This means there is no plan for what should happen to that property.
Why a Will Alone Is Not the Answer
‘A will only states who gets what. It does not address:
- Whether there is enough liquidity for the estate to function without selling assets
- Your estate tax exemption strategies can be used (the R3.5 million release can be increased to R7 million for married couples with proper planning)
- Or your life insurance policy correctly structured to fall outside the estate
- Or a trust To protect assets against claims, insolvency or mismanagement
- Or your beneficiary nominations Will beneficiaries and policies match your will
Each of these points can make the difference between an estate settled within months, and one that gets tied up at the Master's Office for years.
What Comprehensive Estate Planning Really Entails
Estate planning is not just a document. It's a strategy. It includes:
‘An estate tax calculation What exactly shows how much your family will have to pay, and how to legally reduce it.
‘Liquidity Analysis What ensures there is enough cash available to cover fees and taxes without selling assets.
Testamentary trust structures What trusts can be protected for minor children, beneficiaries with special needs, or future generations.
Coordination between your insurance, investments and will so that everything works together, not against each other.
Regular review as your life circumstances change: marriage, divorce, the purchase of property, or the birth of children.
Where do you start?
The 2025 Sanlam Survey het bevind dat 46% van Suid-Afrikaners sê vertroude finansiële advies sou hulle motiveer om aksie te neem. En 58% sê bekostigbare of gratis dienste sal hulle aanmoedig om hul testamente op te stel.
With Waardevast, you get both.
Our qualified consultants will draw up your will free of charge as part of a comprehensive estate planning process. We will calculate your estate tax, analyse your liquidity needs, and compile a plan that protects your family. Not only today, but for generations to come.
As independent advisors, we choose products and solutions based on your interests, not commission targets. This is the difference that independence makes.
Ready to have your estate valued? Contact Value-Fixed today for a free, no-obligation consultation. Your legacy deserves more than just a will.
Stable Firm in value. Strong in advice.