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Don't let squabbles tear your family apart! Put these two tools in place today to ensure your family's inheritance is secure

by , 18 April 2013

Nelson Mandela isn't dead yet, and there are already squabbles over who gets what. Lawyer George Bizos is at the centre of the family storm, which is based on two companies linked to Mandela that channel funds from the sale of Madiba's handprint artwork for the benefit of his family. Don't let family squabbles tear your family apart when you die! Use these two tools to ensure your family gets what you intend it to …
 
Nelson Mandela’s family has launched a court case against lawyer George Bizos and two other associates of Nelson Mandela.
 
The reason?
 
They allege the three shouldn’t remain directors of Harmonieux Investment Holdings and Magnifique Investment Holdings as they weren’t properly appointed and neglected their duties at the helm of the companies, says The Mail & Guardian Online
 
This comes on the back of Bizos saying Mandela's family aims to take over some of the company money to distribute among family, contrary to the provisions of the family trust. 
 
So at the end of the day, it’s all about the money.
 
And this squabble isn’t rare.
 
Inheritance tool #1: Set up a Family Trust today to guarantee your family gets its inheritance
 
Even if you’ve set up a Family Trust for your family, there are legal loopholes down the line.
 
Take Julius Malema's Ratanang Family Trust, for example.

During his recent tax audits, it came to light that the Family Trust wasn't registered for tax, says The Namibian.
 
Malema claimed that some of the receipts by the Trust weren’t received on the Trust’s behalf, but for specific charitable purposes.

But Family Trusts are meant to assist with safeguarding assets for future generations and ensure that your wishes are carried out while meeting the needs of your beneficiaries, says PSGOnline.
 
So make sure you’ve done your homework if you intend setting up a Family Trust.
 
There’s lots of information available, and it’s easy to register a family trust online.
 
Inheritance tool #2:  Specify your wishes in your will and choose an executor early
 
Your best bet is to draft a will to deal with all your worldwide assets, says Fin24.
 
Then, if the value of your estate is above R125,000 you’ll need to choose an executor of your will who knows the law.
 
Because you’ll still need to pay for rates and taxes, the Masters Office of the High Court, the executor’s fees, taxes, any outstanding debts, maintenance and accrual claims and the actual funeral before your dependants see a cent of their inheritance specified in your will, says Gavin Fourie in the Trust Report.
 
Don’t forget that your share portfolio can also be transferred to a beneficiary, but the executor can decide to sell the shares if there isn’t enough cash in the estate to cover debts and administration costs. So make sure you’ve set aside enough money to cover all these expenses today. 
 
Then, protect your family’s inheritance by setting up a Family Trust and making sure your will covers each beneficiary to protect against inheritance squabbles when you die. 
 


Don't let squabbles tear your family apart! Put these two tools in place today to ensure your family's inheritance is secure
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