Make sure your loved ones and your legacy are well protected

When it comes to planning for the future, many people focus on building wealth, acquiring assets, and achieving their life goals. While these are undoubtedly essential aspects of life, it's equally important to consider what happens to your estate after you die. This is where a will plays a pivotal role.

A will is not just a legal document; it's a powerful tool to ensure your wishes are respected, your loved ones are cared for, and your legacy lives on.

Here's why having a will is so important: 

1. Providing clarity and protecting your loved ones

One of the most significant advantages of having a will is the clarity it offers. By outlining your wishes regarding the distribution of your assets, and appointment of your executor, you eliminate any ambiguity that might otherwise lead to disputes among your heirs. This ensures your loved ones know precisely what you intended.

You can designate guardians for minors, ensuring they are placed in the care of someone you trust, and set up a minor's trust to avoid funds being paid to the government-run Guardian's Fund. When a person passes away without a will, their estate is subject to intestacy laws. These laws dictate how assets are distributed without considering your personal wishes.

2. Ensuring your will is legally valid

When an attorney, experienced in estate planning and will drafting, drafts your will, you know the document meets with the legal requirements of a valid will. If these requirements are not met, your will won't be accepted by the master, and the laws of intestacy will dictate how your estate is distributed.

Attorneys specialised in estate planning and will drafting, like the legal team at Pagdens, also know about possible traps and problems to avoid. Will drafting is based on the law, and attorneys are most suited to deal with legal issues and interpret and draft legal documents.

When considering the wills of new clients, Pagdens has found that many do not meet the legal requirements of a valid will or are not correctly structured considering the personal circumstances of the client.

3. Minimising family disputes 

The absence of a will can lead to family disputes and legal battles over the distribution of your estate. This not only causes emotional distress but can also deplete the assets you've worked hard to accumulate.

With a will in place, you make it clear who gets what. Without a will, the administration process can be time-consuming, costly and burdensome for your loved ones.

4. Charitable giving and legacy building

If you have charitable intentions, a will provides an avenue to leave a lasting legacy. You can specify donations to your favourite causes or establish charitable trusts that benefit society for generations to come. This allows you to make a positive impact beyond your lifetime.

5. Estate and tax planning

A will allows for strategic tax and estate planning. You can minimise the tax liabilities of your estate and maximise what your heirs receive. With the proper guidance, you can take advantage of tax-saving opportunities and ensure your wealth benefits your family as much as possible.

Without proper planning, you are at risk of losing a possible 34.4% of any growth in your estate due to estate duty and capital gains tax. 

One example of a common problem encountered is a client nominating a minor as the beneficiary of a life policy. Should the client die while the child is still a minor, the other parent would be left to control the child's funds. The surviving parent may not best suited to make the required decisions regarding a large sum of money.

If the estate is nominated instead, a minor's trust could be set up with skilled trustees making decisions ensuring the best investments for the child's inheritance. The executor can agree to waive their fee on the proceeds of this policy as well. You can visit www.pagdens.co.za for more information on how the firm has saved money for its clients by structuring their estates correctly.

Pagdens celebrates 125 years in law

Pagdens is celebrating 125 years in industry, serving and guiding clients through legal processes, including setting up wills and administering estates to ensure clients' families are well looked after and their wishes are carried out.

The firm has clients from various backgrounds, ages and levels of wealth. Pagdens has saved clients millions of rand by ensuring their estates are planned correctly and updated as and when the tax laws or their personal circumstances change. 

Contact Pagdens during this National Wills Week (September 11 — 15 2023) to join the client base and experience professional service, care and expertise. Don't wait for tomorrow; let Pagdens help you plan for your family's future today by creating a will that reflects your wishes and values. Even if you have a will in place, it won't cost you anything to get a second opinion. 

For a free consultation and basic will in September, email ilse@pagdens.co.za or call 041-502-7200. You can also complete the online will form on the Pagdens website.

This article was sponsored by Pagdens.