A will is one of the most important documents that a person needs because it specifies what happens to their estate after they pass away, according to Aneesa Razack, CEO of FNB Fiduciary.
Razack said: “While it is common knowledge that many South Africans do not have a will, it has never been easier to draft, store and ensure that it is up to date.”
According to Gareth Friedlander, Deputy CEO of Discovery Life, passing away without a will which is called dying intestate, creates serious problems for loved ones who are left behind after your death.
Some of the consequences of passing away without a will include:
– leaving the people that you love without the means to cope financially
– an individual’s assets could potentially be inherited by an unknown person
– leaving your children without a guardian
– you cannot choose your own executor to wind up your estate
– you won’t be able to set up a trust to receive assets or cash on behalf of your minor children.
Here is a step-by-step guide to creating a will:
Keep it simple
Select your beneficiaries and specify what they will receive but keep in mind that one of your beneficiaries could pass away before you therefore you should also include substitute beneficiaries.
“Consider leaving your assets to your beneficiaries rather than requesting the executor to sell them on your behalf; otherwise, the executor will be forced to sell your assets whether your heirs choose to keep them or not,” Razack said.
Marital status
Single, married, divorced, widowed or separated, a person’s marital status will influence on how they create their will. Being married in community of property, out of community of property, in a customary marriage, or in a civil union will also affect how you distribute the assets in your estate.
Dependents
A will let’s you choose a guardian and request for a trust to be created for your minor children to inherit from your estate.
Choose an executor
It is essential that you nominate a skilled and qualified executor in your Will. It is the responsibility of an executor to look after the estate according to current legislation, and to ensure that the interests of the beneficiaries are protected.
Sign your will
Remember to sign your will because your will is only valid if it has been signed correctly which means that it has to be signed in full on every page in the presence of two witnesses.
The witnesses should not be people that are included as beneficiaries, trustees, executors or guardians in the will, or their spouses. Make sure that the witnesses sign in full on the last page of the will.
Date it and review it annually
Your will should be dated to ensure that the last valid will can easily be identified. Review your will regularly and especially when there is a major change in your life or legislation.
“Examples of life changing events which require an extra urgent review of a last will and testament include getting married or entering a civil partnership, having a baby, purchasing a home, getting divorced, or if you have simply and unfortunately misplaced your original will,” Friedlander said.
IOL Business