Estate Administration Process in South Africa: A Simple Guide
When a person dies in South Africa, their estate (everything they owned, from property to bank accounts) is frozen, and the process of administering that estate begins. This process is overseen by the Master of the High Court to ensure the deceased’s financial affairs are handled correctly, and that the interests of the heirs (people who inherit) are protected.
What Happens When Someone Passes Away?
As soon as a person dies, their estate is essentially locked, meaning no one can touch their bank accounts or sell their assets without permission from the Master of the High Court. This includes joint estates if the deceased was married in community of property. It can be tough for a surviving spouse who might have relied on those bank accounts.
How Does a Deceased Estate Start?
An estate is created when someone passes away, leaving behind property or a will. If there’s a will, the estate must be handled according to the instructions in that will. If not, the estate is distributed according to the Intestate Succession Act. This is all governed by the Administration of Estates Act, 66 of 1965, which lays out the steps for winding up a deceased’s estate.
For more details, check out the official government website.
Reporting an Estate
If the person lived in South Africa, their estate must be reported to the Master of the High Court in the area where they lived for the last 12 months before their death. Estates can also be reported to Magistrate’s Offices, but if the value of the estate exceeds R125,000, or if there’s a will, it’ll be transferred to the provincial Master’s Office.
Here’s how to report an estate: Read more here.
Why You Need an Appraiser
Sometimes, part of the estate includes property, and to make sure everything is valued fairly, an appraiser is brought in. They are appointed by the Minister of Justice and will assess the value of the property. Their fees are set by law, and if there’s any dispute, the Master of the High Court will review it.
What If the Estate is Small?
If the estate is worth less than R250,000 and there’s a minor heir (a child under 18), Legal Aid South Africa (LASA) can step in to help. They’ll make sure everything is sorted out fairly for the minor heir.
Check out more information about small estates at Capital Legacy.
Wills and Intestate Succession
Having a will is crucial because it lets you control how your estate will be divided. Anyone over 16 can draft a will, and it’s recommended that a professional helps you draw it up to avoid mistakes. If someone dies without a will, the Intestate Succession Act kicks in, and assets are distributed according to a set hierarchy (spouse, children, parents, siblings).
Learn more about wills here: Sanlam Wills and Estates.
Customary Law and the Bhe Case
If the deceased was in a customary marriage, the estate can be distributed according to customary law. However, in the famous Bhe case, the Constitutional Court found that some aspects of customary law were unconstitutional, especially when it comes to excluding women and children. Now, estates are distributed more fairly under the Intestate Succession Act.
For more on the Bhe case, check out this Legal Article.
By planning your estate carefully, you ensure that your loved ones are protected, and your wishes are followed after your death. You can read more about estate planning and administration at the official government page here.
If you have more questions or need help with the estate process, feel free to contact the Master of the High Court or consult with a professional estate attorney.