Culturally, there are a couple of things almost all South Africans are uncomfortable talking about. One is death and the other is our money, bar the cousin trying to sell you on crypto at every family braai. 

Try to start a conversation about drafting a Will and we have ourselves the perfect storm. Yet, with the priority we place on earning and investing our money, not to mention all the sacrifices along the way, it makes no sense to swerve the topic of Wills and estate planning, particularly if your focus goes beyond building your wealth and includes deciding what happens to it next.

No judgement if you haven’t got round to it yet, but isn’t there something skewed about putting so much effort into making the right financial decisions for your family when you’re alive and not applying the same care to what happens when you’re no longer here?

Wills Month is a useful reminder to turn the plans we carry in our heads into instructions our families can actually follow.

What’s the rush?

When life’s ‘inbox’ is already overloaded, who can focus on planning for the day when they’re no longer around? It’s easy to postpone something that may not need to be acted on for years, even decades, particularly when your estate does not yet feel substantial enough to require formal planning.

We get it. It can seem complicated, even unnecessary, and there are plenty of understandable reasons to let it slide. Yet, regardless of how much or how little you have, dying intestate, meaning without a valid Will, means there’s no guarantee that anything you leave behind will be distributed according to your wishes.

Without a valid Will, the law decides how your estate is divided. Depending on your family circumstances, your estate may pass to a spouse, children, parents or other relatives under the rules of intestate succession, rather than in the way you intended.

More importantly, a Will can record your wishes regarding the guardianship of any minor children and make provision for how their inheritance should be managed, including through a testamentary trust. Without clear instructions, some of these decisions may need to be resolved through the legal process instead.

Much of this uncertainty is avoidable simply by making a Will and, happily, it doesn’t need to be a time-consuming or complicated process.

What exactly is a Will?

Let’s start with what it’s not. Granny announcing over the Christmas lunch table who’s going to inherit what, or privately promising you her home, car or sentimental family possessions when she’s gone, may be entirely sincere. However, it does not constitute a legally binding expression of her wishes, no matter how many relatives heard her say it.

For a Will to be legally binding, it must comply with specific legal formalities. It must be in writing and signed by the person making the Will in the presence of two competent witnesses. It should also clearly set out how they would like their belongings, property and other assets distributed after they die.

Fun fact: The terms “Will” and “Estate” go back to the 14th century, when rich landowners came up with the idea to solidify the future of their country estates and secure their succession plans. See what they did there?

Why Wills and estate planning matter

Today, Wills and estate planning are still fundamentally about preserving wealth and clarifying how assets should be divided after death. More than that, they can reduce the unnecessary uncertainty and distress that can follow when emotions are high and intentions are unclear.

Hollywood is littered with dramatic storylines about families that have fractured or fallen apart over inheritance disputes, and we’ve all heard, maybe even experienced, one or two tragic tales. These stories underline the point that it is far less stressful for those left behind if we are clear about our wishes regarding our possessions up front and, most importantly, the care of any young children.

Of course, this doesn’t mean your beneficiaries will necessarily agree with your decisions. However, it does at least remove ambiguity, which is useful if questions about contesting your wishes arise.

It’s also helpful on a practical level, making it easier for your family or other chosen beneficiaries to navigate the process of winding up your estate if they are unfamiliar with the financial and legal requirements or ill-equipped to handle them. This is especially the case if you’ve nominated an Executor or created a testamentary trust for a minor child’s wellbeing.

Time to act

Whatever your reason for putting it off, there are compelling reasons to get it done and, since Fedgroup knows a thing or two about Wills and estate planning, we’d be happy to help. Find out more about how a last Will and Testament can protect your legacy, or apply for a Will with Fedgroup.