Estate Living Digital Publication Issue 8 August 2015 | Page 48

to their role as executor, and be acceptable to the master, otherwise the master will not issue Letters of Executorships to that person,” says Knott. “This again causes unnecessary delays in the administration, as the nominated executor, who may also be under some emotional distress, now needs to seek an agent and often the wrong choice is made in haste. Once again, the testator has no control over who will become responsible for looking after the heirs.” Knott recommends that just as you would research what is available in the market before buying an item, so too should you investigate who should operate in a fiduciary capacity, as an executor, and how does the market perceive that individual. “Many attorneys, accountants and trust companies offer this service with varying degrees of competency. An attorney or accountant may not necessarily be trained as an executor as their focus could be, for example, on family law or small business accounting. One therefore needs to find a firm with a dedicated wills and estates division to ensure that the estate is properly dealt with. The strength of most trust companies is the efficient administration of estates but once again, one needs to talk to those who have had experience dealing with particular companies to gauge their service levels.” Knott goes on to say that it is of benefit to know the staff administering the service and this is probably where a trust company has the advantage over a smaller law or accounting practice. “Select a trust company that has a wealth management division where one can develop a relationship over a period of time, rather than a oneoff meeting. This is particularly important where a trust might be created and trustees appointed. The choice of a good trustee is often more important than that of an executor as the executor’s role is limited to a short period whereas the duties of a trustee can spread over many years and entails complex investment decisions and overseeing substantial assets. A trustee, apart from knowledge of the law, must also have access to intelligent investment advice” continues Knott. The careful nomination of an executor is prevalent in other areas too such as where minor children are involved. The nomination of a suitable guardian is very important and whilst young couples might think grandparents would be the best option, the generation gap sometimes presents its own difficulties. The health and tolerance levels of grandparents need to be considered particularly if they have downscaled from the old family home to a lock-up-go. Often a close couple within your own circle of friends with a similar lifestyle and value system would make a better guardian than parents or siblings. “Difficult decisions may require intense thought, some homework and discussion but will ensure that your directions are carried out to the best interests of your loved ones during a very sad and stressful time,” concludes Knott. Contact 021 671 1220 [email protected] www.privateclient.co.za