The Importance of an Offshore Last Will for South Africans with Assets Abroad
- Connect Cape Town
- Dec 14, 2025
- 4 min read
Updated: Jan 6
When a South African passes away owning assets outside the country, having only a South African last will can create significant complications. Many people assume that a single will covering all their assets is enough, but this is often not the case. Without an offshore last will, the process of transferring foreign assets can become lengthy, costly, and legally complex. Understanding why an offshore last will matters can help South Africans protect their estate and ensure their wishes are respected internationally.
Why a South African Last Will May Not Cover Offshore Assets
South African law governs wills made within the country, but it does not automatically apply to assets held in other jurisdictions. Each country has its own rules about inheritance, probate, and estate administration. When a South African last will tries to cover assets abroad, several issues can arise:
Different legal systems: Foreign countries may require separate probate procedures that do not recognise a South African will.
Delays in estate administration: Without a local will, foreign courts may take longer to validate the estate, delaying asset distribution.
Higher costs: Executors may face additional fees and taxes when handling assets without a clear offshore will.
Risk of unintended heirs: Local inheritance laws might override the South African will, leading to assets passing to relatives or entities not intended by the deceased.
For example, a South African who owns property in the UK but only has a South African will may find that UK courts require a separate probate process. This can mean months of waiting and extra legal fees before the property can be sold or transferred.
What Is an Offshore Last Will?
An offshore last will is a separate will created specifically for assets located outside South Africa. It complements the South African will by addressing foreign assets under the laws of the country where those assets are held. This type of will ensures that:
The foreign assets are distributed according to the deceased’s wishes.
The probate process in the foreign country is smoother and faster.
Executors have clear legal authority to manage and transfer offshore assets.
Potential conflicts between different jurisdictions are minimised.
Having an offshore last will does not replace the South African will. Instead, both documents work together to cover all assets comprehensively.
Consequences of Not Having an Offshore Last Will
Failing to prepare an offshore last will can lead to several negative outcomes:
1. Lengthy Probate Processes
Foreign courts may require a separate probate application for offshore assets, which can take months or even years. This delay can cause financial strain on beneficiaries who rely on those assets.
2. Increased Legal and Administrative Costs
Without a clear offshore will, executors may need to hire local lawyers and pay additional fees to navigate foreign probate laws. These costs reduce the overall value of the estate.
3. Exposure to Unfavourable Taxation
Some countries impose inheritance or estate taxes that can be minimised or avoided with proper estate planning. Without an offshore will, beneficiaries may face higher tax bills.
4. Risk of Intestate Succession
If no valid will exists in the foreign jurisdiction, the estate may be distributed according to local intestate laws. This can result in assets going to unintended heirs or being held in limbo.
5. Family Disputes and Legal Challenges
Unclear instructions regarding offshore assets can lead to disputes among family members, prolonging the estate settlement and increasing emotional stress.
How to Create an Effective Offshore Last Will
Creating an offshore last will involves several important steps:
Identify all offshore assets: This includes property, bank accounts, investments, and business interests held outside South Africa.
Understand local inheritance laws: Consult legal experts in the foreign jurisdiction to learn about probate requirements and tax implications.
Draft a will that complies with local laws: The offshore will should be valid under the foreign country’s legal system.
Coordinate with the South African will: Ensure both wills are consistent and clearly state which assets each covers.
Store the wills safely: Keep copies of both wills accessible to executors and family members.
For instance, a South African with assets in Australia should work with an Australian estate lawyer to draft a will that meets Australian legal standards. This will help avoid probate delays and ensure the assets are handled properly.
Practical Example: A South African with Property in the United States
Consider a South African who owns a holiday home in Florida. If they only have a South African will, the US courts will require a separate probate process for the Florida property. This can take many months and involve additional legal fees. If the person had an offshore last will drafted according to US law, the property could be transferred more quickly and with fewer costs. The offshore will would also help minimise US estate taxes by using specific planning strategies.
Final Thoughts on Protecting Offshore Assets
South Africans with assets abroad face unique challenges when it comes to estate planning. Relying solely on a South African last will can cause delays, extra costs, and legal complications. An offshore last will tailored to the laws of the foreign country provides clarity and protection for those assets. It ensures that your estate is settled according to your wishes, no matter where your assets are located.
Consult with Family Officer
Family Officers provide innovative solutions to empower families alongside their financial partners. They serve as the connection between families and financial professionals (such as accountants, financial advisors, and lawyers), ensuring families make informed decisions. Our model is based on the percentage of savings we achieve, allowing us to manage all your communications from a centralized location and assist with strategic planning for family and administrative functions without costing you more.
