Coping with the death of a loved one is emotionally difficult enough as it is. Having the added stress, frustration and financial strain that often comes after someone passes away can pose a huge burden on a grieving family.
Make sure that if you pass away, your family is prepared and able to cope with all the financial hardships that come along with a death. Here are important steps you need to take to financially prepare for your passing to help your family:
Get life insurance
Don’t leave your family or dependants in a bad financial state. Investing in life insurance policies will enable your family financially if you succumb to death or disability. Your life insurance will help cover your income or pay for services they provide for your family.
Organise a funeral policy
Funerals can cost thousands of rands, which is not a financial stress that your grieving loved ones should have to deal with. Organising funeral insurance will go a long way in relieving the financial burden of funeral costs on your loved ones. Make sure you hire a reputable service provider who specialises in funeral policies.
Create a Will
Most South Africans don’t make plans for their death, usually because they do not foresee it happening in the near future or feel that it is a morbid topic to address. If you die intestate (without a Will), the South African government will apply a one-size-fits-all Will to your estate, which is not usually ideal for your family and probably not what you would have chosen, if you had the choice.
Additionally, the Government appoints an Executor to wind up intestate estates, which may not be ideal for your family considering that this person will be an outsider with no knowledge or insight on your personal circumstances.
Seek legal assistance from an estate attorney to help you set up your will.
Store all your important documents properly
Store all your important documents in a safe, secure place, while making sure you give access to those who need it. This will help your family access information easily.
Losing a loved one is never easy. Make sure you have all your affairs in order so that, if you die, your family’s financial stress is minimised.