Page 1 of 3 1 2 3 LastLast
Results 1 to 20 of 42
  1. #1
    Join Date
    May 2007
    Location
    Welgelegen, Cape Town
    Age
    58
    Posts
    2,116
    Thanked: 278

    Default Dads savings.. Donation..

    Needs some advice..

    Dad has some money in his savings.. But do not want to pay estate taxes when he moves on..

    So, question.. Can he donate money into a fund, in the name of one the children, and when he does move on, the money is divided between the children, thus saving on estate tax??

    Stupid question, sorry..

    Toyota D4D Legend 45
    Triton Clubcab 2x4 2.5 DID
    Bushlapa Vlooi 652

  2. #2
    Join Date
    Jan 2012
    Location
    durban
    Age
    57
    Posts
    1,640
    Thanked: 1639

    Default Re: Dads savings.. Donation..

    Taxman wont like this.Buy gold?

  3. #3
    Join Date
    Sep 2006
    Location
    Bloemfontein
    Age
    44
    Posts
    3,564
    Thanked: 2222

    Default Re: Dads savings.. Donation..

    He can make a R100 000 per year gift to each child which will be tax free.
    Quote Originally Posted by Kaptein Jack View Post
    Needs some advice..

    Dad has some money in his savings.. But do not want to pay estate taxes when he moves on..

    So, question.. Can he donate money into a fund, in the name of one the children, and when he does move on, the money is divided between the children, thus saving on estate tax??

    Stupid question, sorry..
    1999 Discovery 1, 300 Tdi - "Tink Tanky"
    2004 Discovery 2 Td5 - "Blink Tanky" - Reborn!!
    2002 Defender 130 Td5 - "Jagsbakkie"
    2005 Defender 130 Lexus V8 - "Stink Tanky"
    One Wife. Livid.

    "Those who would give up essential Liberty, to purchase a little temporary Safety, deserve neither Liberty nor Safety." - Benjamin Franklin

  4. The Following User Says Thank You to biltong For This Useful Post:


  5. #4
    Join Date
    Jul 2014
    Location
    Pretoria
    Age
    46
    Posts
    1,649
    Thanked: 2026

    Default Re: Dads savings.. Donation..

    Bloody taxman !!

    Put all the money in a savings account, then leave the details in the will of how to log into the account and EFT it to nominee? Can this work? How quick does a bank freeze a deceased's account after death?

    I have in my will instructions as soon as I peg, to quickly EFT everything in my account to the nominee before the terrorist thieving government gets their hands on it.
    Willem

    Ford Ranger 3.0Tdci Super Cab 4x4
    (workshop whore)


  6. #5
    Join Date
    Jan 2012
    Location
    durban
    Age
    57
    Posts
    1,640
    Thanked: 1639

    Default Re: Dads savings.. Donation..

    Quote Originally Posted by WAJ View Post
    Bloody taxman !!

    Put all the money in a savings account, then leave the details in the will of how to log into the account and EFT it to nominee? Can this work? How quick does a bank freeze a deceased's account after death?

    I have in my will instructions as soon as I peg, to quickly EFT everything in my account to the nominee before the terrorist thieving government gets their hands on it.
    Thats okay if you have ten grand in the account. You never here from your bank but put a bar in there and next day you get a personnel call from the bank.I think by law they have to ask you if a big deposit in your bank has been made.

  7. #6
    Join Date
    Feb 2008
    Location
    Centurion
    Age
    44
    Posts
    12,734
    Thanked: 2343

    Default Re: Dads savings.. Donation..

    Draw the money in cash.

    "Loose it in gambling".

    Give the pitiful remains to your children.
    Everything is a hammer.
    Unless it is a screw driver.

    Then it it a chisel.

    083 399 2046

  8. The Following 3 Users Say Thank You to Uys For This Useful Post:


  9. #7
    Join Date
    Jul 2014
    Location
    Pretoria
    Age
    46
    Posts
    1,649
    Thanked: 2026

    Default Re: Dads savings.. Donation..

    Buy bitcoins, then give the wallet details to beneficiary?


    Gold?


    There must be a way to get the thieves hands out of your till
    Willem

    Ford Ranger 3.0Tdci Super Cab 4x4
    (workshop whore)


  10. #8
    Join Date
    Dec 2018
    Location
    Cape Town
    Posts
    145
    Thanked: 1528

    Default Re: Dads savings.. Donation..

    Cash is king. Leave no paper trail.

  11. #9
    Join Date
    Sep 2007
    Location
    Pretoria
    Age
    44
    Posts
    1,293
    Thanked: 296

    Default Re: Dads savings.. Donation..

    Quote Originally Posted by WAJ View Post
    Bloody taxman !!

    Put all the money in a savings account, then leave the details in the will of how to log into the account and EFT it to nominee? Can this work? How quick does a bank freeze a deceased's account after death?

    I have in my will instructions as soon as I peg, to quickly EFT everything in my account to the nominee before the terrorist thieving government gets their hands on it.
    Bad idea.

    There is very few ways to not pay estate duty after the person has passed away if the estate is larger than R3.5m.

    Like mentioned above, rather gift it now, upto R100k per year per beneficiary(iirc).

    Lets say he has a vehicle, rather register it now into the name of the beneficiary as ALL assest count towards the R3.5m threshold. And let him appoint a family member or friend as executor whom has to appoint a profesional person for the job. Reason being is that the appointed person can negotiate the fee with the executor whereas if the executor is appointed by the will, chances are that they will charge the maximum fee possible.

    Ideal would be to have as much assets as possible in a trust.

    Just my non profesional advice.
    I have met some crazy people. They have made me their leader...

    Si vis pacem, para bellum

  12. #10
    Join Date
    Aug 2020
    Location
    Oasis
    Posts
    855
    Thanked: 4306

    Default Re: Dads savings.. Donation..

    As die plaaslike tronk se naam "Avbob" was, is hier 'n hele paar manne wat besig is om op sy stoep te speel...




    My advies: Gaan sien 'n gekwalifiseerde belastingskonsultant.
    Cheers
    Willem Greyling

    "When the wise man points at the moon, the imbecile examines the finger" - Confucius

  13. The Following 7 Users Say Thank You to MANDREAS For This Useful Post:


  14. #11
    Join Date
    Jun 2010
    Location
    Port Elizabeth
    Age
    36
    Posts
    5,864
    Thanked: 2157

    Default Re: Dads savings.. Donation..

    Quote Originally Posted by Kaptein Jack View Post
    Needs some advice..

    Dad has some money in his savings.. But do not want to pay estate taxes when he moves on..

    So, question.. Can he donate money into a fund, in the name of one the children, and when he does move on, the money is divided between the children, thus saving on estate tax??

    Stupid question, sorry..
    Give the money now, but ask the children to “support” him financially. He would have anyway used the money to support himself until he moves on.
    Sent from my iPhone


  15. #12
    Join Date
    Jan 2009
    Location
    Oral
    Age
    63
    Posts
    2,009
    Thanked: 769

    Default Re: Dads savings.. Donation..

    Couple of mistakes in the advice here.

    1 The R100k tax free donation, is per donor and not per recipient. So dad can only donate R100k per year ( but if Grandma is still alive, she can also donate R100k).
    2 Moving money from an account is meaningless. Even if you do it before the death. The value of the estate will be properly determined, and all large transactions before death will be investigated.
    3 As mentioned, estate duty only applies if the estate is worth more than certain limits. Not sure of the limit, but I believe the R3.5 mil mentioned has been raised.


    A bit late to start estate planning when the person is already with one foot in the grave. This is something you should start a long long time before that.


    C
    If you ain't livin on the edge, you're taking up too much space!

  16. The Following User Says Thank You to C Africa For This Useful Post:


  17. #13
    Join Date
    Aug 2018
    Location
    Paarl
    Age
    48
    Posts
    771
    Thanked: 234

    Default Re: Dads savings.. Donation..

    My pa is Januarie oorlede my ma is die beneficiary.
    ABSA is die eksekuteur hulle is binne gemeenskap van goedere getroud.
    Toe hy sterf het ek al sy geld oorgeplaas in my ma se rekening.
    ABSA het al hul bates en geld saamgegooi en soek nou n mooi 210k van my ma af.🤬🤬🤬

  18. #14
    Join Date
    May 2017
    Location
    Cape Town
    Posts
    1,112
    Thanked: 1627

    Default Re: Dads savings.. Donation..

    Quote Originally Posted by fatbike View Post
    My pa is Januarie oorlede my ma is die beneficiary.
    ABSA is die eksekuteur hulle is binne gemeenskap van goedere getroud.
    Toe hy sterf het ek al sy geld oorgeplaas in my ma se rekening.
    ABSA het al hul bates en geld saamgegooi en soek nou n mooi 210k van my ma af.🤬🤬🤬
    Absa het niks met enige saamgooiery uit te waai nie.

    Mandreas is vir n verandering reg. Julle sal beter raad kry by Kayelitsha se free legal advice department as op die forum.
    I am the Flying Spaghetti Monster. Call me.

    ZS1ETphonehome

  19. #15
    Join Date
    Dec 2018
    Location
    Calitzdorp
    Posts
    156
    Thanked: 424

    Default Re: Dads savings.. Donation..

    Key here is what does some saving in an account mean? If less than 3,5mil total assets - no Estate duty anyway.
    if more - Donate 100k to a grandchild or child each year. This is basically the only way to save on ED - Except putting it in trust
    Last edited by AfriqueDS; 2021/05/09 at 06:47 PM.

  20. #16
    Join Date
    Aug 2018
    Location
    Paarl
    Age
    48
    Posts
    771
    Thanked: 234

    Default Re: Dads savings.. Donation..

    Quote Originally Posted by EHoffmann View Post
    Absa het niks met enige saamgooiery uit te waai nie.

    Mandreas is vir n verandering reg. Julle sal beter raad kry by Kayelitsha se free legal advice department as op die forum.
    Ek het maar net probeer verduidelik dat n mens moet mooi weet wat aangaan in jou testament en dit verstaan anders voel die mense dit na die tyd.
    En ja absa het als saamgegooi en 3.5% kostes gevra.
    Sorry vi die hi jack as dit een was.

  21. #17
    Join Date
    Sep 2017
    Location
    Jo'Burg
    Age
    60
    Posts
    298
    Thanked: 710

    Default Re: Dads savings.. Donation..

    This is a 4X4 forum. If you need advice on tax and estate planning then go and see an expert in tax and estate planning. I can refer you to someone who will save you much more than it will cost you, well respected but SARS. Happy to share this with you privately. No, it’s not me.
    An unconscious competent making his way through life.

  22. The Following User Says Thank You to Steady For This Useful Post:


  23. #18
    Join Date
    May 2017
    Location
    Cape Town
    Posts
    1,112
    Thanked: 1627

    Default Re: Dads savings.. Donation..

    Quote Originally Posted by fatbike View Post
    Ek het maar net probeer verduidelik dat n mens moet mooi weet wat aangaan in jou testament en dit verstaan anders voel die mense dit na die tyd.
    En ja absa het als saamgegooi en 3.5% kostes gevra.
    Sorry vi die hi jack as dit een was.
    Sorry nee - ABSA het nie - n huwelik binne gemeenskap van goedere gooi alles saam. Dis die wet. Dis nie ABSA nie.
    I am the Flying Spaghetti Monster. Call me.

    ZS1ETphonehome

  24. #19
    Join Date
    Aug 2020
    Location
    Oasis
    Posts
    855
    Thanked: 4306

    Default Re: Dads savings.. Donation..

    Quote Originally Posted by EHoffmann View Post
    Absa het niks met enige saamgooiery uit te waai nie.

    Mandreas is vir n verandering reg. Julle sal beter raad kry by Kayelitsha se free legal advice department as op die forum.
    Vir 'n verandering seg jy?
    Cheers
    Willem Greyling

    "When the wise man points at the moon, the imbecile examines the finger" - Confucius

  25. #20
    Join Date
    Jun 2010
    Location
    Port Elizabeth
    Age
    36
    Posts
    5,864
    Thanked: 2157

    Default Re: Dads savings.. Donation..

    Quote Originally Posted by C Africa View Post
    Couple of mistakes in the advice here.

    1 The R100k tax free donation, is per donor and not per recipient. So dad can only donate R100k per year ( but if Grandma is still alive, she can also donate R100k).
    2 Moving money from an account is meaningless. Even if you do it before the death. The value of the estate will be properly determined, and all large transactions before death will be investigated.
    3 As mentioned, estate duty only applies if the estate is worth more than certain limits. Not sure of the limit, but I believe the R3.5 mil mentioned has been raised.


    A bit late to start estate planning when the person is already with one foot in the grave. This is something you should start a long long time before that.


    C
    Not if all the money is transferred “now” to the kids. Make the estate close to R0 as possible. This is perfectly a legal way of sidestepping SARS.
    Sent from my iPhone


Page 1 of 3 1 2 3 LastLast

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •