Chance to get will drafted for free
THE LAW Society of South Africa has organised a special public initiative: National Free Wills Week.
From September 14 to 18, attorneys countrywide who are taking part in the initiative will draft basic wills free of charge.
However, only a new basic will will be drafted and the initiative does not extend to amendments to existing wills.
Here are 10 reasons why a will is important:
1. A will is the only way in which people can ensure that their estate will be divided according to their wishes after their death.
2. Without a will, the estate will simply be inherited according to intestate rules. Assets cannot be distributed until all the rules regarding intestate succession have been adhered to, which can lead to delays and extra costs.
3. With intestate succession, the wrong people may inherit.
4. If there is no will and the value of the estate is more than R125 000, the Master of the High Court will convene a meeting of family members to appoint an executor. This is a costly and time-consuming process. Remember that the estate is frozen while it is being wound up, and dependant heirs may not have access to funds during this time.
5. The Master may also require the executor to provide security. This will usually take the form of a security bond from a short-term insurance company for the value of the assets reflected in the preliminary inventory.
6. A person still in distress over the death of a loved one is faced with many requirements from the Master and often has no idea where to start. While he or she may administer the estate unassisted (provided the Master agrees, which does not happen easily) or if the estate is less than R125 000, there is no substitute for a competent executor.
7. Unpleasant situations with heirs squabbling over an inheritance can arise if there is no will.
8. Where a person leaves no will and has minor children, their inheritance must be paid into the Guardian’s Fund until the child reaches majority. Not only can the rate of interest be low, but other difficulties may arise.
9. An heir may be immature or handicapped and, in a will, the testator can set up a testamentary trust which stipulates that the assets are to pass to him or her at the age of 25 or 30. However, where there is no will, the assets are automatically paid out when the child turns 21. This may be a disadvantage.
10. For the more sophisticated planner, a will can be used for tax planning. For example, the deceased’s estate duty position can be reduced through bequests in the will to a surviving spouse or charities as well as the optimum use of the R3.5 million abatement.
Source: Bregman Moodley Attorneys, phone 011 646 0335; and Oosthuizen & Co Meyer de Waal, phone 021 461 0065