Fair Executor fee payable - Any ideas?

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Bundu

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I'm busy drafting my will and will use ABSA as my executor.
My estate is about R10 million and I have no debt, most assets are in cash and shares, One property fully paid, a car and a bike, no policies or other fancy financial instruments. I am nominating 5 people that will inherit when I pass away.

So, I would think it's quite a simple will for an executor to clean up after I'm gone.

ABSA quited me 2.45% of my estate to serve as my executor.

What do you guys think, is that reasonable?
 
Ouch! Thats a tad high, I know my old man used his lawyer / firm he uses regularly and got quoted an exact fee which is built into the will. However this may only be because he is doing enough business through them to get this rate
 
Jladan said:
Ouch! Thats a tad high, I know my old man used his lawyer / firm he uses regularly and got quoted an exact fee which is built into the will. However this may only be because he is doing enough business through them to get this rate
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thanks Jladan - apparently they are allowed to ask a max of 3.5% and the ABSA guy said I can get 30% discount off the max fee - You don't know what percentage your Dad will pay?
In my case, I just think ABSA charging around R245k for what I believe is not a massive job, is a bit greedy....
 
Its ABSA - are you surprised?

I would NEVER trust them with such a task...
 
Happy Camper said:
Dude, make sure the house is in your spouses name before you die << best advice evar!
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not married - so when I peg, they can sell all my crap and divide it between the folks in my will
 
xrapidx said:
Its ABSA - are you surprised?

I would NEVER trust them with such a task...
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I'm never in trouble, so I don't have a lawyer ;-) Who else can one go to when you need an executor? I don't want my own people to have to do it....
 
Bundu said:
I'm never in trouble, so I don't have a lawyer ;-) Who else can one go to when you need an executor? I don't want my own people to have to do it....
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I see google returns quite a bit: http://www.google.co.za/search?num=...untryZA&q=estate+executors&aq=f&aqi=&aql=&oq=

I'd rather it in the hands of a well known company, or good friend... but personally wouldn't use ABSA, I've only ever had grieve from them.

If you have a trustworthy friend... ask them, I'm sure they could do more with the 2.x% :p
 
xrapidx said:
I see google returns quite a bit: http://www.google.co.za/search?num=...untryZA&q=estate+executors&aq=f&aqi=&aql=&oq=

I'd rather it in the hands of a well known company, or good friend... but personally wouldn't use ABSA, I've only ever had grieve from them.

If you have a trustworthy friend... ask them, I'm sure they could do more with the 2.x% :p
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will check google out and think of a friend I can 'bribe' :-) Thanks for your input, and YES, I also think ABSA wouldn't blink an eye to screw a dead person over....
 
My suggestion is stop, wait before you do your will. It's easy to draft a will but proper estate planing should be done! Of course you don't care how much it will cost when you die but consider the people that will inherit your estate. There are exclusions such as first R3 500 000 you don't pay estate duty on, there are instruments like donations, trusts and etc and by the way the price ABSA has quoted you excludes vat so when you add another 14% on top of that it will be more!
If you like PM me in more detail the whole of the estate with values and I will be able to give you an idea of what might work out better, please also include the relationship between you and the heirs of your estate.
 
Faetsa said:
My suggestion is stop, wait before you do your will. It's easy to draft a will but proper estate planing should be done! Of course you don't care how much it will cost when you die but consider the people that will inherit your estate. There are exclusions such as first R3 500 000 you don't pay estate duty on, there are instruments like donations, trusts and etc and by the way the price ABSA has quoted you excludes vat so when you add another 14% on top of that it will be more!
If you like PM me in more detail the whole of the estate with values and I will be able to give you an idea of what might work out better, please also include the relationship between you and the heirs of your estate.
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sounds like you work in this area - thanks Faetsa, I will send you a PM
 
xrapidx said:
I'd rather it in the hands of a well known company, or good friend...
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Maybe my bad experience, but I'd stay far away from friends or family.

I think my dad chose 3 executors - a good friend, his mother and ABSA *urgh* when he passed away. I've seen the good friend twice in 8 years ... he doesn't know or care what's going on and signs when he is needed. His mom (my grandmother) had ideas from 1950s on what to do with money and the fights between the family are insane - to the point the family is now split. All this over money is sad, tbh.

In a nutshell, keep it in a large company - AND
 
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Thing is - when I die I want everything sold and split immediately...that way there is no fighting over what to do with it.
 
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