WHERE THERE ’ SA WILL, THERE ’ S LIFE
Leave your legacy in the right hands
ENSURING your loved ones are provided for after you die is a subject that deserves special consideration.
Drafting a will is the best way to do that.
“Many people don ’ t realise the importance of having a will. But any person who owns an asset, has debt or children, a partner, or relatives, or would like to leave a legacy, should ensure they have a current, signed will,” says Geraldine Macpherson, legal marketing specialist at Liberty.
“If you don ’ t have a will at the time of your death, a will is imposed on your estate through the intestate succession law. This means the people you would have wanted to benefit may not do so, or may not inherit in the manner in which you would have liked.”
If you die without having a legal will, a court-appointed executor will compile your assets, pay any liabilities and distribute the assets to those parties deemed beneficiaries.
It is a long process and your loved ones who are dependent on you for financial support will have to wait until the estate has been closed.
According to Macpherson, you should consider a few important things when drafting or updating your will.
Make sure that you have sufficient money in your estate to take care of your children and any other dependents for as long as is needed. A life cover policy is a costeffective way of doing this.
Appoint a guardian to take care of your children. Consider drafting a letter of wishes, which will give the appointed guardian guidelines as to how you would like your children to be raised. This will include the kind of education you would like your children to receive.
Understand the implications of your marital status on your assets. For example, if you are married in community of property, you and your spouse own your assets together and these would have to be shared on death – before any bequests are honoured.
A testamentary trust is an effective way of providing for the financial future and well-being of minor children and can be created by simply including it in your will. Make sure that your trust deed is drafted by an attorney specialising in this field.
Keep your will as simple and practical as possible. If need be, have your will written in your home language and remove any legal jargon.
Keep a folder with your most updated will and any other letters to your family and friends in a secure place. Make sure at least one or two people who are close to you know where to find the documents after you die.
Drawing up a will is a simple exercise and can be done through a lawyer, bank or trust administration company. It is always best to seek a professional to ensure that the will is not only technically sound and complies with the legislation, but that it is also practical in operation.
According to Macpherson: “Once you have drafted your will, remember that it is a ‘ live ’ document. You will need to regularly review it every three to five years. As your personal and financial circumstances change over time, so should your will.”