In Community of property
Out of Community of property WITHOUT the accrual system
Out of Community of property WITH the accrual system
From date of marriage, you and your spouse will only have one joint estate and will share all assets and all liabilities.
In the pictures below, A has R10 000 and B has R8 000. Once they are married, A and B are joint owners of R18 000-00. If B borrow money from anybody, A will also be liable to repay the loan. At the end of the marriage, all assets and debts are divided equally between A and B.
No ANTENUPTIAL AGREEMENT is needed.
Each spouse has his/her own separate assets and liabilities before, during and after the marriage.
During the marriage, each spouse has his/her own separate assets and liabilities. The financial position is the same as in the option above (without the accrual system).The difference comes in when the marriage ends. Calculations are then done to determine if one spouse may have a claim against the other spouse.
A spouse will have an accrual claim against the other spouse, if his/her estate grew less during the marriage than the estate of the other spouse.
To calculate with how much each spouse’s estate grew during the marriage, the values and assets agreed in the ANTENUPTIAL AGREEMENT are used. The growths are added together and each spouse is entitled to a half thereof. The spouse with the smaller estate will have claim against the other spouse.
SPOUSE A SPOUSE B
End Value R20 000 End Value R40 000
Less: Start Value R10 000 Less: Start Value R20 000
Less: Excluded Assets R 2 000 Less: Excluded Assets R 0
Less: Inheritance R 0 Less: Inheritance R 2 000
R 8 000 R18 000
TOTAL GROWTH (ACCRUAL) ACCUMULATED: R26 000
Total accrual is divided 50/50 between spouses = R13 000 each
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