Administration of deceased estates
Losing a loved one is hard enough without having to navigate banks, paperwork, family expectations, and legal deadlines. In South Africa, a deceased person’s affairs must be handled through a formal process overseen by the Master of the High Court. That process is called the administration of deceased estates, and it exists to protect heirs, creditors, and the integrity of the estate.
At Crest Trust, we provide calm, structured support and professional executorship so families can focus on what matters, while the estate is finalised correctly and efficiently.
What is a deceased estate?
A deceased estate is the collection of assets and liabilities a person leaves behind when they die. It can include property, vehicles, bank accounts, investments, business interests, policies payable to the estate, and personal belongings, as well as debts, taxes, and administration costs.
Importantly, once death is reported to institutions, accounts in the deceased’s name are typically restricted or “frozen” until the correct authority is issued, which is one of the reasons estate liquidity planning is so important.
What is the administration of deceased estates?
The administration of deceased estates is the legal process of reporting the death, appointing the person with authority to act (usually an executor), identifying assets and liabilities, settling debts and taxes, and distributing inheritances to heirs and beneficiaries.
In South Africa, no one may lawfully wind up and distribute a deceased estate without proper authority (such as Letters of Executorship or, in smaller estates, Letters of Authority).
How Crest Trust can help
Crest Trust supports families through every stage of the administration of deceased estates,
from the first reporting documents to final distribution. We assist with:.
Managing creditor notices and verifying claims
Preparing and lodging the Liquidation and Distribution Account
Coordinating transfers and final payments to beneficiaries
Collecting asset information, valuations, and supporting documentation
Reporting the deceased estate and obtaining Letters of Executorship or Letters of Authority
Liaising with banks, insurers, investment providers, and SARS-related requirements where applicable
Providing steady communication, realistic timelines, and transparent record-keeping
Our goal is a finalised estate that is compliant, defensible, and as stress-free as possible for the family.
Core aspects of the administration of
deceased estates
While every estate has its own complications, the core steps usually look like this:
1
Reporting the estate and obtaining authority
The estate must be reported to the Master of the High Court with the required documents. If the estate value exceeds the threshold, the Master issues Letters of Executorship. Where an estate is below the threshold, the Master may issue Letters of Authority (often called a Section 18(3) appointment).
2
Securing and valuing assets
The executor (or appointed representative) gathers information, secures assets, obtains valuations, and ensures insurance and essential payments are managed so the estate does not deteriorate while administration is underway.
3
Notifying creditors and settling liabilities
The executor publishes notices calling for creditors to lodge claims within the prescribed period. Debts and legitimate claims are verified and settled from estate funds, together with administration expenses and applicable taxes.
4
Preparing the Liquidation and Distribution Account
A key milestone in the administration of deceased estates is the Liquidation and Distribution (L&D) Account, which sets out the estate’s assets, liabilities, costs, and how the balance will be distributed to heirs and beneficiaries. This account is prepared in the format required by the Administration of Estates Act and is subject to inspection procedures.
5
Distribution and transfer of assets
Once the account has lain for inspection and any queries are resolved, inheritances can be paid and assets can be transferred, such as property transfers through conveyancers and the updating of investment ownership.
Benefits of professional administration
Appointing a professional administrator is not about “outsourcing grief”.
It is about ensuring the legal work is done properly, on time, and with minimal conflict.
Reduced delays and fewer mistakes
Professional executors understand Master’s Office requirements, bank processes, and the practical sequence of events.
Clear communication and documentation
Families often feel in the dark. A good executor gives structured updates and keeps a clean paper trail.
Objective handling of family dynamics
When emotions run high, neutrality matters. Professionals reduce the risk of perceived favouritism and conflict.
Compliance and accountability
Proper notices, verified claims, correct accounting, and disciplined distribution reduce risk for everyone involved.
FAQs
What is the difference between executor and administration?
The executor is the person appointed to act. Administration is the overall legal process the executor follows to wind up the estate.
What is the process of administering an estate?
Report the estate, obtain authority, identify and value assets, call for creditor claims, settle debts and taxes, prepare the L&D account, allow inspection, then distribute and transfer assets.
Who can administer an estate in South Africa?
Usually an executor appointed in a Will and issued Letters of Executorship by the Master. For smaller estates, the Master can appoint a representative with Letters of Authority.
Can an estate be administered without an executor?
Not in the normal sense. A deceased estate must be handled by a person with legal authority from the Master, either an executor (Letters of Executorship) or a representative (Letters of Authority).
Who is first in line for inheritance?
If there is a valid Will, the Will governs. If there is no Will, intestate succession rules apply, typically prioritising spouse and descendants, depending on the family structure.
Can an executor withdraw money from a deceased bank account?
Only once properly appointed and authorised, and then in line with bank processes and estate rules. Estates are generally “frozen” until the Master’s authority is in place.
What does an administrator do with an estate?
An “administrator” is often used informally to describe the person managing the estate. In practice, they collect assets, settle debts, prepare accounts, and distribute inheritances under authority from the Master.
Is administration the same as probate?
South Africans often use “probate” loosely, but the local process is the Master’s supervision of the administration of deceased estates through Letters of Executorship/Authority and the L&D account process.
Can family members challenge the administrator?
Family members can raise objections, challenge conduct, or dispute aspects of the process through the Master’s Office procedures and, in serious cases, through court processes.
Can an estate be distributed without probate?
Assets generally cannot be distributed without the proper Master’s authority. Smaller estates may follow the Letters of Authority route rather than full Letters of Executorship, but authority is still required.
What is meant by administration of an estate?
It is the legal process of collecting and managing estate assets, paying debts and taxes, accounting properly, and distributing what remains to heirs and beneficiaries.
Do banks require probate to release funds?
Banks typically require the Master’s authority (Letters of Executorship or Letters of Authority) before they will release or transact on deceased estate accounts.
What happens to bank accounts when someone dies?
Accounts in the deceased’s name are usually restricted/frozen once death is recorded, and the executor or appointed representative must then follow the authorised estate process.
