Calculation of Accrual and Net Accrual

 

The accrual of a spouse's estate is calculated by subtracting the net asset value of his or her estate at the commencement of the marriage from the net asset value of his or her estate upon dissolution of the marriage. This can be exemplified as follows:

If spouse A had a net asset value of R10 000-00 at the commencement of the marriage (his "initial value") and a net asset value of R100 000-00 at the dissolution of the marriage (his "end value") then the accrual to his estate is R90 000-00. If the initial value of the other spouse B was R20 000-00 and her end value R200 000-00, it follows that the accrual to her estate is R180 000-00.

Net accrual is calculated by subtracting the "smaller" accrual from the "larger" accrual. In the above example: R180 000-00 - R90 000-00 = R90 000-00. In accordance with the Matrimonial Property Act, A (the spouse with the smaller accrual) acquires a claim against B (the spouse with the larger accrual) for one half of the net accrual (namely - R45 000-00).

The initial value of a spouse's estate must be declared either in an antenuptial contract or a separate statement made not later than six months after the marriage, failing which the initial value will be deemed to be nil.

Various assets are excluded from the determination of the accrual of a spouse's estate, and they are:

  • Any amount which accrued to the estate by way of damages other than damages for patrimonial loss;
  • Any asset which has been expressly excluded from the accrual system in terms of the antenuptial contract of the spouses as well as any other asset which a spouse has acquired by virtue of his or her possession or former possession of such asset;
  • An inheritance, a legacy or a donation which accrues to a spouse during the subsistence of his or her marriage as well as any other asset which he or she acquired by virtue of his or her possession or former possession of such inheritance, legacy or donation, except insofar as the spouses may agree otherwise in their antenuptial contract or insofar as the testator/testatrix or donor may stipulate otherwise;
  • Donations between spouses other than a donation mortis causa (after death).
Written by Louwrens Koen Wednesday, 01 February 2017 Posted in Antenuptial Contracts
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