Children Must Cover Cost Of Administering Deceased Estate Of Their Parents
It’s a difficult time for any family when they lose a parent. The hardest part for the children is the realisation that they need to sort out the affairs of their parents – they just don’t know where to start. This means – as children of a parent who passes away – they are beneficiaries of all their parents assets, such as a house. However, as beneficiaries they are also responsible for the administration cost of their parents deceased estate. This cost comes as an unexpected surprise, and if there is no cash in the estate: the children will have to pay these costs out of their own pocket. The good news is that once the cost is covered, the children eventually become the owners of their parents property.
The cost of administering an estate is 3.5% of the total assets of the estate. In other words, if there is a house worth R 2 000 000.00, the administration cost will be R 70 000.00. Siyatec is by far the most convenient and affordable way a child can administer the deceased estate of a parent. First, the fee is not based on a percentage but on a flat rate fee. So for the same estate of R 2 000 000.00 at a fee of R 70 000.00, with Siyatec you only pay a fee of R 21 000.00. Second, we have a convenient online approach to administering a deceased estate. We are available to meet if necessary, but most people prefer to use our Online Consultation and communicate with us via email or Whatsapp. Third, you don’t have to be inconvenienced by having to deliver to us original documents. We have a convenient, door to door document collection system that operates throughout South Africa.
Author: Wafiq Davids (B SocSci, LL.B.)
Attorney, Notary, Conveyancer and Legal Consultant at Siyatec Executors