National Wills Week runs from14 to 18 September inSouth Africa (SA), providing an important reminder to consider a difficult but necessary question: If you passed away tomorrow, would your family know what to do and where to find everything they need? Drafting a valid will is one of the most important steps you can take to ensure that your wishes are respected and that your family is equipped to navigate the administration of your estate.
In this note, we provide an overview of how wills work in SA and why you need one. A will becomes particularly important where an estate includes offshore investments or other assets held outside of SA, as additional jurisdictions, legal requirements and processes may need to be considered. For high-net-worth individuals (HNWIs), a poorly drafted or outdated will can disrupt multi-jurisdictional estate planning, trigger structural bottlenecks, and expose family wealth to unintended tax and legal vulnerabilities.
If a person dies without a will, they die intestate, leaving asset distribution entirely subject to the rules of the Intestate Succession Act 81 of 1987, rather than the deceased’s specific wealth-preservation goals. This process takes a long time and can leave the people who depend on you with nothing for months or even years.
A will is more than a standalone administrative document; it is the core execution tool of an estate plan. A properly drafted will allows you to determine who should inherit your assets and who should be responsible for administering your estate. It can also provide for testamentary trusts, guardianship arrangements and specific bequests.
Wills
A properly drafted will is one of the most important components of an estate plan. It allows you to determine how your estate should be distributed and to nominate an executor to administer it. When drafting a will, it is important to consider:
- Your beneficiaries: Who should inherit your estate?
- Your executor: A trusted person or professional institution (bank, financial advisor, etc.) you choose to wind up your affairs. Managing an estate is complicated, so choosing a capable executor is vital.
- The administrator: An administrator is the person appointed by the executor to wind up the estate and is key to ensuring the process is managed professionally and efficiently.
- Your assets: What do you own, including offshore investments, business interests, trusts or other structures?
- Guardians for minors: If you are the sole natural guardian of a minor child, your will can nominate a person to be appointed as guardian following your death, subject to the applicable legal process.
- A testamentary trust (distinguish this from a living or inter vivos trust): It can be used to manage an inheritance for beneficiaries, including minor children. Where a minor inherits money, and no appropriate arrangement has been made, the inheritance may be paid into the Guardian’s Fund, which is administered by the Master of the High Court (Master).
For your will to be legally valid in SA, you must:
- Be 16 years or older and mentally capable of understanding what you are signing.
- It must be in writing (a digital document on your phone or a voice recording does not count).
- Sign the bottom of each page of the will in black ink, in front of two independent and competent witnesses.
- Your witnesses must be 14 years or older, and they cannot inherit anything from your will.
- A beneficiary signing as a witness will be disqualified from receiving their inheritance
A will is not necessarily permanent. It can and should be reviewed as your circumstances change during your lifetime, for example following marriage, divorce, the birth of children, significant changes in wealth or the acquisition of assets in another jurisdiction. The original signed will should be kept safely and in a location where it can readily be found when required. The Master generally requires the original will when administering an estate.
Estates
A deceased estate generally comprises the total of all your assets less your liabilities at the date of your death. The estate is administered and distributed according to the deceased’s valid will or, where there is no valid will, according to the rules of intestate succession. It is important to distinguish between assets held personally and assets held through structures such as trusts. Assets that are not personally owned by the deceased may not form part of the deceased’s personal estate. However, the deceased’s interests in certain structures or arrangements may still have estate-planning and tax implications. This distinction is particularly important when planning for offshore investments, trusts and other structures.
Someone dies, what happens next?
When someone dies, their assets and liabilities become part of a deceased estate, which is reported to the Master. The estate is then administered in accordance with the Administration of Estates Act and distributed according to the will or, where applicable, the rules of intestate succession.
This process involves several key parties:
- The Executor is responsible for administering and winding up an estate. An executor may be nominated in the will, although the Master formally appoints the executor.
- The Administrator, who is a professional at winding up estates, may be appointed by the executor to assist with the practical administration of the estate.
- The Master, who is pivotal in approving the winding up of an estate, oversees the administration of deceased estates and must approve the relevant documentation and, where applicable, the Liquidation and Distribution (L&D) Account.
Once an executor has been appointed, the estate’s assets and liabilities are identified, creditors are dealt with, outstanding tax obligations are addressed, and the L&D Account is prepared and submitted to the Master. Once the account has been approved and the required processes completed, the remaining assets can be distributed to the beneficiaries.
Key documents, including the original will, death certificate, inventory of assets, relevant marriage or divorce documentation, executor appointment documentation and other information required by the Master, are necessary for the process of finalising an estate. The SA Revenue Service (SARS) must also be satisfied that the deceased and the estate have complied with their tax obligations before the estate can be finalised.
There are several costs and taxes that may arise during the administration of an estate, including executor’s remuneration, outstanding taxes and estate duty. The prescribed executor’s remuneration is up to 3.5% of the total value of your assets (plus VAT), unless a different fee has been negotiated or is provided for in the will, subject to applicable rules.
According to SARS, for 2026, estate duty is calculated at 20% on the first R30mn of the dutiable amount and 25% on the portion exceeding R30mn, after applying the applicable deductions and the R3.5mn tax-free allowance (abatement). Property accruing to a surviving spouse may qualify for a deduction, subject to the requirements of the Estate Duty Act.
Winding up a deceased estate is a complex, time-consuming and emotional process for the family left behind, particularly where there are multiple beneficiaries, trusts, business interests or offshore assets. Professional assistance can help ensure that the relevant parties, documentation, tax requirements and administrative processes are properly managed.
At Anchor Capital, we believe in making this journey as smooth as possible. We can assist you in structuring your affairs and help you build a legacy file, a central record containing important information such as your will, ID, policies, investment details and banking information so that your family and advisors know where to find the information they need.
Every estate is different, and the appropriate approach will depend on the individual’s circumstances, assets, family structure and estate-planning arrangements. This note provides only an overview of a complex subject. We recommend that you obtain appropriate legal, tax and financial advice or contact us to discuss your individual circumstances.
If you wish to discuss this further, please contact Di Haiden – di@rcinv.co.za
