Crest Trust Holdings Inc.
Estate Planning
Professor Meyerowitz defined estate planning to be the arrangement, management, securement and disposition of a person’s estate so that he, his family and other beneficiaries can enjoy and
continue to enjoy the maximum benefits from his worldly possessions during his lifetime and after his death. Estate planning does not only include measures which come into effect at the death of the owner of the estate. There are also planning aspects which may be put into effect during the lifetime of the estate owner.
To reap the full benefit of good estate planning and to avoid the many pitfalls, it is essential to obtain advice from a skilled specialist.
Planning an estate is also a way of optimising the use of financial and other legal structures such as companies and trusts. Optimal Estate Planning ensures that heirs enjoy the benefit of wealth creation. The cost of an estate, such as taxes and other expenses are kept to the minimum. The transfer of assets to heirs is simplified. Complications and uncertainties which may trouble family members are limited.
Deciding what not to do, is as important as deciding what to do.
– Steve Jobs
Estate Planning Essentials
The Last Will and Testament
It is important to structure the Will in such a manner that it would secure a practical and equitable distribution of the estate, whilst at the same time affording beneficiaries adequate protection and minimising death duties.
Trust formation
To serve as a holding vehicle, which could preserve and protect the underlying assets for the dependants of the founder, and their descendants.
Asset restructuring
Converting a close corporation membership to a shareholding in a company. This could also include:
- Separating trading assets from conventional investments
- Incorporating a professional partnership
Assurance
Identifying the need for income and capital for events such as disability, retirement, funding the acquisition of a business interest (partnership assurance) and for the maintenance of your dependants in the event of your death.
Buy and Sell Agreement
Protecting partners in the event of death or disability of one partner.
Succession
Who takes over your sole proprietary, and on what terms?
Taxation
What are the donations tax, income tax (including Capital Gains Tax) and Estate Duty implications?
Offshore structures
For immigrants, emigrants and SA Residents.
Property
Should it be bought in the name of an individual, a trust or a company.
Asset management
Which adjustments would meet future requirements?
Joint estates (community of property)
- Although the assets may be in the name of the surviving spouse, they are subject to the same process prior to their release. The Executor is obliged to account for all assets of the joint estate in the liquidation and distribution account.
Deceased Estates
- The administration of deceased estates, in accordance with the last Will and Testament of the deceased, or in terms of the laws of intestacy, where the deceased had no Will.
Meeting with the Next-of-Kin
- Upon receipt of notification of the death of a testator/testatrix, a meeting is arranged with the surviving spouse and/or next-of-kin at the earliest opportunity. Reporting documentation is completed at the meeting and the process is explained to all parties concerned.
