Page 14 - Nexia SAB&T Estate Planning Guide 2024

The importance of nominating the executor and trustee
n Where there is no valid Last Will and Testament, there will be no executor
appointed. This means that the Office of the Master of the High Court
will require nominations from interested parties, and, based on these
nominations will appoint an executor ‘dative’. The procedure may cause a
delay in the winding up process, perhaps creating unnecessary hardship
for the family. In addition, the Master may require the executor to provide
security –which may create an unnecessary cost for the estate, and a further
delay in having to raise the security.
n Normally a family member or professional person such as an accountant
or attorney is appointed as the executor and /or trustee. Where a layman is
appointed, the Master may require a certificate by an accountant or attorney
stating that they will assist with the administration of the estate.
n The testator can describe the executor’s powers in the Will, and provide that
he may be exempted from providing security.
n The executor or trustee may benefit (inherit) under the Will (there is usually a
clause to this effect).
n An executor may not, however, benefit under the Will, if he has signed the
Will as a witness, or has written out the testator’s Will in his own handwriting.
The spouse of such a person also cannot be nominated as executor in such a
Will. The Wills Act (no. 7 of 1953) provides some exceptions to this provision
(which are set out in detail under the paragraph ‘Requirements for the valid
execution of the Will’ below.
n It is recommended that the executor be granted the power of assumption,
which will entitle him to appoint another executor (as co-executor) should the
need arise.
n An executor is entitled to the following remuneration:
u The remuneration fixed by the deceased in the Last Will and Testament,
or
u 3,5% of gross assets
u 6% on income accrued and collected from date of death
u Executor’s remuneration is subject to VAT where the executor is registered
as a vendor.
n Some duties of the executor:
u To report the deceased estate to the Master of the High Court

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