Protect your wealth.
Provide for your family.
Minimise estate taxes.
Paragon Wealth Advisors, now offers trust setup, accounting, and independent trustee services through our specialist partner, FinServe.
What is a trust?
A trust is a legal arrangement used to hold and manage assets for the benefit of your chosen beneficiaries. While not a juristic person, a trust can contract, transact, and own assets in its own name.
The trust deed sets out its purpose, parties, and powers. For most families and business owners in South Africa, the Inter Vivos Discretionary Trust is the preferred structure for risk management and estate planning.
Why Consider a Trust?
- Risk Management
- Separate personal risk from assets
- Shield wealth from business creditors, divorce, civil claims, and debt domino effects
- Estate Management
- Keep assets accessible to your family and avoid funds for minors defaulting to the Guardian’s Fund
- Reduce delays, fees, and taxes at death
Key Benefits at a Glance
- Potentially reduce Estate Duty exposure (20–25% above the R3.5m exemption)
- Manage Capital Gains Tax triggered on death events
- Avoid executor fees on trust-owned assets (often around 4% of gross estate)
- Improve estate liquidity and minimise “freezing” delays during winding-up
What Is Included with Paragon & FinServe
- Trust design and formation (Inter Vivos Discretionary Trusts)
- Independent trustee services for strong governance and compliance
- Ongoing trust accounting, tax registrations, and SARS submissions
- Trust deed drafting, updates, and beneficiary protocols
- Integration with your will and overall estate plan Compliance: Governed by the Trust Property Control Act 57 of 1988 and applicable case law.
How a trust helps in real life:
Entrepreneurs:
Ring-fence personal home and investments from business risk.
Young Families:
Provide for minor children without funds defaulting to the Guardian’s Fund.
Property investor:
Hold properties in a structure that manages estate costs and CGT on death.
FAQs
Do I lose control if the trust owns my assets?
With the right trustee composition and deed powers, you maintain effective control while preserving legal separation.
Can a trust run a business?
Trusts can hold shares; operating companies should run trading activities. We’ll structure appropriately.
What taxes apply to trusts?
Trusts are taxed under specific rules; distributions and the conduit principle may apply. We ensure full compliance with FinServe.
What about existing assets?
Assets can be sold, donated, or loaned to the trust. We’ll advise on tax, Section 7C, and paperwork implications.
How long does setup take?
Typically 2–6 weeks, subject to documentation and Masters Office timelines.
Do you have a question you’d like us to answer? Add them below and our trust experts will email you the answer.
Compliance notice: This page provides general information and does not constitute tax or legal advice. Formal advice is provided during your consultation.