25 Mar 2025

Understanding deceased estate administration

Dealing with the death of a loved one is one of life’s most challenging experiences. Beyond the emotional toll, there are many practical matters that need attention, from understanding deceased estate administration to navigating the legal processes involved.

We cover essential topics like the role of an executor, the value of life insurance, and the importance of liquidity planning. You'll also find practical tips on freezing bank accounts, wrapping up an estate efficiently, and organising critical documents to ensure that you and your loved ones are prepared for the inevitable.

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Everything Counts | Episode 18: How to do estate planning

In this episode, Motheo is joined by Lieze-Marie Brink (from Investec's tax and fiduciary team), Nirvashini Rajkumar (an Investec financial adviser) and Nikki Bush (best-selling author and women’s empowerment champion).

Listen to the full series

Understanding the basics of a deceased estate

When someone passes away, their ‘estate’ is deemed to include everything they owned, like property, money and belongings, along with any debts. Wrapping up an estate involves sorting out these assets and liabilities. The process can be complex, often requiring an executor to handle the distribution of the estate to the rightful beneficiaries.

What is a deceased estate?

A deceased estate includes all assets, debts and legal responsibilities left behind after someone passes away. It must be administered according to their will or intestacy laws. This involves obtaining a death certificate, appointing an executor, settling debts, distributing assets and ensuring legal compliance before finalising the estate.
How to get a death certificate

To get a death certificate in South Africa, you need to register the death at the Department of Home Affairs or through a funeral home. Submit the DHA-1663 form, completed by a doctor, along with the deceased’s ID. A death certificate is issued within days and is essential for estate administration.
How long do you wait for a death certificate in South Africa?

A death certificate is usually issued within 1 to 5 working days if processed by the Department of Home Affairs. If complications arise, such as missing documents or investigations, it may take longer. Urgent cases can be expedited through a funeral home or registered undertaker.
How long does it take to wind up a deceased estate?

The time to wind up a deceased estate in South Africa can vary widely, but usually this ranges from six months to two years, depending on the estate’s complexity.

However, it’s important to note that every estate is different. Typically, there are several key steps to winding up an estate. First, a death certificate and the deceased’s will must be obtained. Next, an executor is appointed to oversee the process. The estate’s assets and liabilities are then inventoried, debts are settled and the remaining assets are distributed to beneficiaries. Finally, once all obligations are met, the estate is finalised and officially closed.

Getting your affairs in order before you pass away can make a world of difference for your loved ones. Winding up an estate is complicated, with many interlinked steps, and it often can take years to complete. Without proper planning, the process can be frustrating and overwhelming for those left behind.

Simple things, like keeping your paperwork organised, having a valid will and making financial matters clear, can help avoid delays and stress. No one wants to feel frustrated or even angry at a loved one after they’re gone, simply because things weren’t in order. Planning ahead makes everything easier.

The importance of having a Life File

A Life File is a handy collection of important documents that your loved ones will need when you pass away. It should include your will, insurance policies, bank details, passwords, property deeds and funeral wishes. Keeping everything organised in one place makes it easier for your family during a tough time.

What to include in your Life File?

Personal details
Contact list of key stakeholders (banker, financial adviser, attorney)
Business holdings and agreements
Family trust details
Insurance policies
Property deeds
Bank account information
Passwords for important accounts
Funeral wishes
Any critical financial documents

Create your Life File

See our Life File checklist for a detailed guide you can use to set up your personal and financial records

Estate planning is essential for everyone, not just for the wealthy or those with lots of assets. Whether you’re a young professional, an entrepreneur or have a young family, it’s important to think about how your assets will be distributed while considering financial, legal and tax implications.

Talking to a financial adviser can help you understand the process and what might happen at different stages in life. It’s also crucial to involve your entire family in these conversations. Open discussions about your wishes, where to find important documents, and what assets you own can help prevent confusion down the road.

Additionally, think about how your family will handle living expenses after you’re gone. Planning for ongoing costs like school fees and medical bills is key to keeping things stable during a tough time.

What is liquidity planning?

Liquidity planning can help to ensure that your family can access money when they need it most. Many people think their assets will cover costs after they pass away, but it's important to make sure there is enough cash for immediate expenses like daily bills.

For couples married in community of property, joint accounts might be frozen during the estate process, which can affect both partners' access to funds. In this case, having life insurance can help provide cash quickly, with payouts going directly into a personal account. For those married out of community of property, each spouse should have enough individual savings to cover at least a year’s worth of expenses, with life insurance as a helpful backup.

The role of a financial adviser in estate planning

A financial adviser is key in planning your legacy and securing your family’s financial future. It's important to have open discussions with your adviser about liquidity planning, life insurance and estate planning, as these factors can change throughout your life. By working together, you can prepare for the events that may impact your estate.