How Long Does It Take to Settle a Deceased Estate in SA?
Key Takeaways:
Settling a deceased estate in South Africa can take anywhere from a few months to years depending on the complexity involved, the level of cooperation from the client, and potential delays at both the Master of High Court’s office and the SARS office.
The time it takes to settle an estate can vary depending on several factors, including the availability of the executor, the complexity of assets, and disputes between beneficiaries.
Experts say that settling an estate can take six months to several years, depending on prior planning and simplicity of the assets.
Losing a loved one is a lot to bear, and settling their estate during this period can be overwhelming, to say the least. We understand — you’re snowed under with emotions and the sheer amount of work involved.
Questions about the probate court process and how long it will all take are probably swirling in your head.
So, how long does it take to settle a deceased estate in South Africa?
The truth is, there’s no set timetable for winding up an estate in South Africa; many factors are at play.
However, to provide some guidance, you can expect the process to take a few months to years, depending on the complexity involved, the level of cooperation from the client, and potential delays at both the Master of High Court’s office and the SARS office.
Due to the probate courts involvement, some of the time issues may be beyond your control. Keep in mind that any complications that may arise can cause further delays.
Take a deep breath — this will be a marathon, not a sprint. But you’ll get there with expert legal assistance from Benaters and by following the proper steps outlined in this guide.
4 Factors That Determine How Long It Takes to Settle an Estate in South Africa
Settling an estate after someone passes away often takes time.
In some situations, probate may just take several weeks or a few months; in others, it could take well over a year. Due to the probate court's involvement, asome of the time issues may be beyond your control. Keep in mind that any complications that may arise can cause further delays with the probate process.
Here are four factors that influence how long the probate court process will take:
Availability of the Executor: The executor, often a close family member, handles the legal and financial aspects of the estate. If the executor has a demanding job or lives far away, it can delay the probate court process. Be prepared for it to take longer than expected if the executor isn’t readily available for the probate process.
The Complexity of Assets: Estates with multiple properties, investments, businesses, or valuable collections typically take longer to settle than those with mostly cash and personal belongings. Valuing and distributing complex assets reasonably requires expertise and time — expect at least two years for a complex estate probate process.
Disputes Between Beneficiaries: Sadly, the division of assets can lead to conflict within families. If beneficiaries dispute the will (also called the living trust) or have trouble agreeing on the distribution of assets, the settlement probate process drags on. In some cases, mediation or even litigation is required, which will add time to the probate process.
Sometimes, a trust is designated to manage their real Estate and make personal and legal decisions on their behalf in the event of death, It allows your assets to pass on seamlessly to your beneficiaries while avoiding probate court.
Federal Estate Tax Issues: If the real estate owes significant taxes, especially estate taxes or property taxes, the executor must ensure all taxes are paid properly before distributing assets to beneficiaries. Dealing with real estate taxes authorities and complex estate tax returns often takes 6–12 months at a minimum during the probate process.
In summary, while the average estate settlement in South Africa takes a few months, be prepared for the probate process to take several years for a large, complex estate potentially or if disputes arise.
The most important thing is that the executor distributes the estate assets fairly and legally. With patience and understanding from all involved, the long probate process will eventually come to an end.
How to Finalise a Deceased’s Estate?
Finalising a deceased estate typically involves several steps to ensure everything is handled correctly according to the law.
That begs the question: How long does it take to finalise a deceased estate?
While the probate court process can take a few months to several years, appropriate guidance and assistance from an expert estate planning attorney can reduce the timeline.
And if you need legal support along the way, don’t hesitate to contact us at Benaters — we provide personalised services to ensure you’re getting the best outcome.
Finalising a deceased's estate in South Africa involves the following ten steps:
Report the deceased estate to the Master of the High Court.
Provide notice of the deceased's death.
Take control of the assets, which may involve having the assets valued by a sworn appraiser, and start paying all the debts of the estate.
Open an estate bank account.
Prepare the estate's Liquidation and Distribution Account.
Submit the final federal estate tax returns to SARS, paying all Inheritance Tax (like Capital Gains Tax and other taxes, if applicable).
Advertise the Liquidation and Distribution Account.
Distribute the assets.
Transfer property to the heirs.
Sign off and close the probate process, which includes closing the estate bank account and obtaining the final discharge from the probate court.
1. Reporting the Deceased Estate to the Master of the High Court
The probate process begins with an application to the Master of the High Court to appoint an executor. This involves submitting the deceased's death certificate, a completed death notice, and the original will or living trust (if one exists). Once the Master is satisfied, they’ll issue a Letter of Executorship.
2. Providing Notice of the Deceased's Death
After receiving the Letter of Executorship, the appointed executor must publish a notice in the local newspaper and the Government Gazette. This notice informs creditors of the death and gives them a chance to submit any claims against the estate.
3. Taking Control of the Assets
The executor must identify all assets of the probate estate, which may include real estate, vehicles, investments, and personal belongings. They must also identify all debts. This often involves having the assets valued by a sworn appraiser and having a probate lawyer during this process is important.
4. Opening an Estate Bank Account
The executor must open a bank account in the name of the probate estate. All money owed to the deceased (like salary, bonuses, or refunds) must be paid into these financial accounts, and all payments (like funeral costs, estate taxes, or creditor payments) must come out of this account.
5. Preparing the Estate's Liquidation and Distribution Account
This involves listing all assets and liabilities, and detailing how the estate will be divided among the heirs. This account needs to be submitted to the Master of the High Court for approval.
6. Submitting the Final Tax Returns to SARS and Paying All Inheritance Tax
The executor is also responsible for ensuring that the deceased's final tax return is submitted to the internal revenue service - South African Revenue Service (SARS) and that any Capital Gains Tax or other taxes due from the estate are paid.
7. Advertising the Liquidation and Distribution Account
Once approved by the Master of the High Court, the L&D account must be advertised in the local newspaper and the government gazette, giving interested parties a chance to object.
8. Distributing the Assets
After the Master of the High Court has confirmed no objections, the executor can start distributing the assets as specified in the Liquidation and Distribution Account.
9. Transferring Property to the Heirs
If the estate includes property, the executor will need to ensure that the property is transferred to the correct heirs and that any applicable duties are paid.
10. Signing Off and Closing the Probate Process
This includes closing the estate bank account and obtaining the final discharge from the Master of the High Court, marking the end of the probate process.
Settling an estate is a time-consuming process. However, by understanding the key steps, an executor can work efficiently to honour the deceased’s final wishes and provide closure for loved ones.
The timeframe to finalise the whole process will be determined by the availability of executors and the presence/absence of other legal issues.
Remember, you’ll need a legal practitioner to help determine payable taxes and probate — we’re always here to help, and you can contact us immediately. Lastly, the new Master's Integrated Case Management System (ICMS) web portal enables tracking a deceased’s estate, so you’re never left in the dark.
5 Tips for Settling an Estate Quicker
The process involved in a deceased’s estate transfer of property is lengthy, but there are a few tips to help move things along as quickly as possible.
Here are five tips to adhere to:
Hire an estate planning attorney.
Locate important documents.
Notify creditors and claimants.
Pay off debts on time.
Promptly distribute assets to beneficiaries.
1. Hire a Legal Aid
As the entity named to administer the estate, an executor has the legal authority to act on behalf of the estate. They can work efficiently to settle accounts, pay off debts, and distribute assets to beneficiaries. If you’ve been named executor, consider hiring an estate probate attorney to guide you through the required legal procedures, as their experience will help avoid delays.
2. Locate Important Documents
Track down critical documents like the will, insurance policies, bank statements, investment accounts, vehicle titles, and property deeds. The executor will need these to determine the estate’s assets and distribute them properly. Ask family members for help locating any documents they may have access to for an expedited process.
3. Notify Creditors and Claimants
Contact creditors and claimants, or place a notice in the local newspaper announcing the estate administrator’s appointment and notifying creditors or claimants to submit their bills or claims. This starts the clock ticking on periods for claims and helps avoid tardy claimants delaying the process.
4. Pay Off Debts on Time
Use estate funds to pay off outstanding debts like mortgages, vehicle loans, medical, credit card, and utility bills. Pay creditors in the order of priority set by law to avoid penalties. Outstanding debts can hold up estate settlement, so address them promptly.
5. Promptly Distribute Assets to Beneficiaries
Following the payment of every tax and debt, the executor can distribute what’s left of the assets to beneficiaries as designated in the will. This final step completes the estate settlement process, and the faster you can get it done, the earlier you can settle the property.
Following these tips and working closely with an estate attorney can help settle an estate in South Africa reasonably quickly, depending on the complexity. While it’s not an overnight process, focusing on organisation and efficiency will get you through this difficult time as quickly as possible.
Frequently Asked Questions
How Long Does It Take to Release Funds from the Deceased Estate?
Releasing funds from a deceased’s estate account typically takes two weeks after the bank receives all necessary documents. The executor must first pay off any debts and finalise the estate’s taxes — only then can the remaining assets be distributed to the heirs.
Follow these main steps for the administration side of deceased estates, and legal aspects here.
The actual transfer of funds to beneficiaries may take a few weeks after the executor has obtained the necessary approvals from the Master of the High Court.
How Long Does it Take toTransfer a Deceased Estate in South Africa?
Transferring a deceased estate’s property and other assets in South Africa can take 12 months or longer.
The executor must obtain valuations of all assets, which beneficiaries must approve. Property transfers require additional time for conveyancing as well. The executor must also advertise the estate in the Government Gazette and local newspapers in case of any claims against the estate.
Here are some other considerations to give you an idea of how long it can take to transfer a deceased property in South Africa:
Does the estate include a house, land, or farm? Landed property transfers significantly lengthen the process.
Are there any disputes or complications? Challenges over the will or asset distributions can drag on for years.
Has the executor obtained the necessary documentation? Before starting the process, death certificates, wills, and other paperwork must be gathered.
In summary, settling a standard estate in South Africa typically takes between a few months to years. The actual timeline depends on individual factors concerning the estate in question. The most important thing is that the executor follows proper procedures to ensure the lawful and efficient administration of the estate.
Beneficiaries should avoid disputing over minor issues to prevent unnecessary delays, too. With cooperation, even a complex estate can be resolved within a reasonable period. If you need more clarification, kindly contact us at Benaters.
Conclusion
So, how long does it take to settle a deceased estate in South Africa?
It can take anywhere from 10 months to several years to fully settle an estate, depending on its complexity. The key is getting started as soon as possible by locating the will, applying to be an executor (if none is named), and notifying beneficiaries and creditors.
While the process requires patience and diligence, taking it step by step will help ensure the estate is distributed correctly.
If you feel overwhelmed, don’t hesitate to contact a legal professional to guide you. Settling an estate can be difficult, but with time and persistence, you’ll get there.