What is a deceased estate?

The legal process of finalising the estate, including settling outstanding payments and distributing assets to beneficiaries, is known as estate administration, and it is overseen by an executor.

If you have a valid will when you pass away, your assets will be distributed in line with your will. If you die without a valid will (intestate), then your asset distribution will be governed by the Intestate Succession Act and you will unfortunately not have a say. This is why having a valid will is so important.

You should also not underestimate the importance of choosing an executor with care because this person will play a crucial role in winding-up your deceased estate. It is a common misconception that a trusted friend or close family member is suitable to nominate as executor in your last will and testament. However, executor duties require varied and specialised skills – legal, financial, administration, communication, etc. – so it’s a good idea to appoint a professional expert to take care of your deceased estate. You should also name them in your will. Entrusting your estate administration to professionals goes a long way towards avoiding mistakes and disputes that could delay the finalisation of your deceased estate and hold up your beneficiaries’ inheritances. 

Executor duties

The executor is responsible for carrying out last wishes and making sure a deceased estate is finalised in line with South African estate law. Executor duties include identifying and valuing the assets that form part of the deceased estate, settling any outstanding debts or taxes, and distributing the remaining assets to the beneficiaries. It is a role that requires diligence, honesty, a good understanding of the legal requirements, and outstanding communication skills as there are many tasks, steps and people involved in winding-up a deceased estate.

Letters of Executorship

Before executor duties can be undertaken, your executor must obtain the Letters of Executorship from the office of the Master of the High Court, who must also appoint the executor. Even though its legal name refers to ‘letters’, this is actually a single document that formally appoints the executor and assigns the legal authority to manage the deceased estate. It grants access to bank accounts, property transfer, and other financial matters. Without obtaining the Letters of Executorship from the Master’s office, the executor cannot legally perform their duties and the estate administration process cannot commence, leaving the deceased estate in limbo.

Finalising a deceased estate 

This involves several steps, including:

• Report: The death must be reported to the Master’s office, and the required documents, including the will and death certificate, must be submitted.
• Appoint: The Master’s office appoints the executor and issues the Letters of Executorship.
• Value: The executor must identify and value all the assets in the estate.
• Pay: The executor settles outstanding debts and taxes.
• Distribute: The executor distributes the remaining assets in the deceased estate according to the will.

Challenges faced by executors

Executor duties require patience and meticulous attention to detail as the estate administration process can take several months – sometimes years – to complete, depending on the complexity of the estate. Executors can face various challenges while managing a deceased estate. These include disputes among beneficiaries, location and valuation of assets, dealing with creditors, and ensuring all legal requirements are met. 

Make sure your deceased estate can be finalised as quickly and smoothly as possible by doing your estate planning with care while you are alive. The first step is having a valid will and making your last wishes clear. These are not easy things to think about but they are really important to consider and key to making life easier for loved ones who stay behind.