PENYELESAIAN LENGKAP PERANCANGAN HARTA PUSAKA ANDA as-Salihin Trustee Berhad Your Islamic Estate Planning Specialist

What is Estate Planning? Legally effective arrangement for the disposition and management of a person’s estate according to Syariah and Civil law

DEATH IS CERTAIN!!

Why we need Islamic Estate Planning The Main link to Complete Financial Planning Missing!!

Many problems will arise without proper Islamic Estate Planning

When a person dies, all his/her assets will be frozen....

To Unlock The Assets Court Order RM 600k Small Estate RM 600k

Letter of Administration Letter of Administration Court Order Grant of Probate (Testacy) Letter of Administration (Intestacy) Letter of Administration With Will Annexed (Partial Intestacy)

Wholly/Partly Immovable Assets District Land Administrator RM600,000 and below SMALL ESTATE Moveable Assets Only (Testacy/Intestacy) Wholly/Partly Immovable Assets (Intestacy) Amanah Raya Berhad District Land Administrator

Distribution of Estate in Malaysia Settlement of all funeral expenses; Settlement of debts (actual or spiritual); Testamentary disposition; Settlement of any claim of Harta Sepencarian; Division of the residuary estate of the deceased in accordance with the principles of Faraid.

Harta Sepencarian Wasiat Islamic Estate Planning Trust Hibah Charitable Donation Wakaf

Wasiat

WHAT IS A WASIAT? Wasiat is an iqrar or declaration of a person made during his lifetime with respect to his property or benefit thereof, to be carried out for the purpose of charity or for any other purpose permissible by Islamic law after his death. Iqrar is an admission made by a person, in writing or orally or by gesture, stating that he is under an obligation or liability to another person in respect of the same right.

Intestacy (without will) Testacy (with will) Asset Frozen Asset Frozen finding Administrator Application for Letters of Administration (appointment of administrator and Sijil Faraid) Consent in writing from All beneficiaries Application for grant of Probet and Sijil Faraid Executor Administrator appointed Application for dispensation of Sureties or Application for Appointing 2 sureties (Administration Bond) Probate granted L.A granted Asset free Asset free

Letters of Administration (LA) process Typical Time Frame Testacy Probate obtained* Petition Estate distributed Death 2 months 1 year 18 months 6 months Intestacy Letters of Administration (LA) process Petition Application to have sureties appointed LA obtained* Estate distributed Death 1 year 2 years 30 months 3 years 4 years 5 years Notes * May take longer in some jurisdiction ** Petition for LA may take even longer if even one heir does not agree on the appointment or if the appointee is not willing to act *** Finding suitable sureties can be a hassle and this may further delay the process of obtaining the LA

DUTIES OF AN EXECUTOR Applying for a Grant of Probate LOCATE THE WILL Applying for a Grant of Probate Calling in testator’s assets Paying testator’s debts Preparing a statement of account Distributing testator’s assets according to Wasiat Distributing testator’s assets according to Faraid

Advantages of writting Wasiat

Administration of deceased’s Administration of deceased’s estate Avoid Family Contention Vesting of deceased’s estate and the right to carry on with deceased’s affair

Calling in deceased’s assets. Exemption from Administration. Bond Calling in deceased’s assets Exemption from Administration Bond Appointment of Guardian Right to bequeath away 1/3 of the deceased estate to non-heirs

Harta Sepencarian

Harta Sepencarian Property acquired; by husband and wife during the subsistence of a valid marriage both parties have contributed either directly or indirectly towards the acquisition of such property.

PENYELESAIAN LENGKAP PERANCANGAN HARTA PUSAKA ANDA Direct Contribution RM100k RM40k RM60k

Indirect Contribution PENYELESAIAN LENGKAP PERANCANGAN HARTA PUSAKA ANDA Indirect Contribution RM100k RM0k RM100k

CASES Hajjah Saudah v. Hanafi; Boto’ v. Jaafar; (Harta Sepencarian claim can be made after the death of the spouse) Boto’ v. Jaafar; (Accompanying husband during fishing trips was considered as contribution) Robert @Kamarulzaman v. Ummi Kalthom (Husband and Muslim convert can also claim Harta Sepencarian)

PROPERTIES NOT DEEMED HARTA SEPENCARIAN Gift received by way of inheritance; Gift received by way of hibah before and during marriage

WHETHER EPF CONTRIBUTIONS CAN BE CONSTRUED AS HARTA SEPENCARIAN? Fatwa Majlis Kebangsaan Hal Ehwal Ugama Islam Malaysia (22 Feb 2005) EPF contribution cannot be construed as Harta Sepencarian

Advantages of Harta Sepencarian Declaration All parties can decide and agree upon the way of distribution Absolute satisfaction of parties as regards their respective shares Rights of both spouses fully protected Peace of mind Expedite distribution process Cost saving No contention@ dispute Convenient and easy

Trust

TRUST A Trust is a legal obligation that comes into existence when an individual (known as Settlor) transfers the legal ownership of his assets to another person (Trustee) to hold for the benefit of the beneficiaries

Operation of Living Trust Sets the terms and conditions of the trust & transfers the ownership of trust assets to as-Salihin TRUSTEE SETTLOR as-Salihin carries out the wishes of settlor as per the Trust Deed BENEFICIARIES The settlor may also name himself as one of beneficiaries of the Maintenance Trust

Advantages of Living Trust Trust property is not considered part of the settlor’s estate You may decide on the terms of the distribution and these are not subject to Faraid There is no limit as to the amount you can place in a trust and your beneficiaries can be anyone, Muslim or non Muslim alike. Governed by the Trustee Company Act 1949 and the terms of the Trust Deed

ADVANTAGES OF HAVING ESTATE PLANNING 1. To protect your estate and beloved ones Unit Trust / Shares $ $

2. Expedite Legal Process

3. Saving Cost and Energy

4. Easy

5. Peace of Mind

as-Salihin Trustee Berhad as-Salihin is a trust company governed by the Companies Act 1965 and is registered pursuant to the Trust Companies Act 1949 Established to fullfill the needs of Muslim to preserve, protect and distribute their hard earned assets for the benefits of their loved ones through Syariah compliant estate planning.

as-Salihin Trustee berhad Tun Dato’ Dr. Haji Mohamed Salleh Abas Chairman as-Salihin Trustee berhad Tun Dato’ Dr. Haji Mohamed Salleh Abas S.S.M, P.M.N, P.S.M, P.Y.G.P, S.P.M.T, D.P.M.T, J.M.N.S.M.T.LLB(Hons) (Wales) of Middle Temple, Barrister. Solicitor- General Malaysia 1969-1979 Federal Court Judge 1979-1984 Lord President 1984 – 1988 Member of Syariah Appeal Court, Kelantan 1998 - 2000 Member of the Royal Commission on the Malaysian Police Force 2004– 2005

BOARD OF DIRECTORS 1. Tun Dato’ Dr. Haji Mohamed Salleh Abas S.S.M, P.M.N, P.S.M, P.Y.G.P, S.P.M.T, D.P.M.T, J.M.N.S.M.T.LLB(Hons) (Wales) of Middle Temple, Barrister. Solicitor- General Malaysia 1969-1979 Federal Court Judge 1979-1984 Lord President 1984 – 1988 Member of Syariah Appeal Court, Kelantan 1998 - 2000 Member of the Royal Commission on the Malaysian Police Force 2004– 2005 2. Tunku Dato’ Dr. Hajjah Sofiah Jewa D.J.M.K., D.S.D.K., J.P., L.L.M., (Miami), Ph.D, (Miami) of Lincoln’s Inn, Barrister, Advocate and Solicitor Founder of Yayasan Tun Suffian Berdaftar. 3. Datuk Dr. Jemilah Mahmood M.D., M.O.C., M.R.C.O.G., D.P.M.P., P.J.N. Consultant Obstetriction & Gynaecologist, Founder and President of Mercy Malaysia

BOARD OF DIRECTORS 4. Puan Fatimah Binti Mahmood Associate Member of the Institute of Chartered Secretaries and Administrators 5. Tuan Hj Abdul Aziz Peru Mohamed Former Senior General Manager Ambank Berhad (2002-2005) Former General Manager Maybank Berhad (1999-2002)

BOARD OF SYARIAH ADVISORS Tun Dato’ Dr. Haji Mohamed Salleh Abas S.S Dato’ Setia Haji Mohd Tamyes bin Abd.Wahid Dato’ Sri Utama Diraja Mufti Negeri Selangor B.A. Syariah Wal Qanun Universiti Al-Azhar, Mesir 3. Prof. Dato’ Paduka Dr. Mahmood Zuhdi bin Hj. Abdul Majid B. Sh (N.P), M. Sh (Azhar) M. Phil (Kent) Ph.D (UM) Dip. Edu (A. Shams) Professor in Fiqh dan Usul Department Akademik Pengajian Islam University Malaya 4. Dr. Siti Mashitoh binti Mahamood B. Sh. (UM), M.Sh. (UM), Ph.D (Birmigham) Head of Syariah and Laws Department, University Malaya

Chief Executive Officer Tuan Hj. Abdul Aziz Peru Mohd

Encik Johari Low Bin Abdullah@ Financial Advisor Encik Johari Low Bin Abdullah@ Low Han Hing Group Chairman Rockwills International Sdn Bhd

Dato’ Dr. Hj. Yaacob Hussain Merican Honorary Consultant Dato’ Dr. Hj. Yaacob Hussain Merican D.J.M.K., A.S.D.K., J.P., LL.M (Miami), Ph.D, (Miami) of Lincoln’s Inn, Barrister, Advocate and Solicitor

Perancangan Harta Islam yang ditawarkan oleh as-Salihin Trustee Berhad 5. Trusteeship Living Trust Amanah Saraan Hidup Amanah Insurans Amanah Pendidikan Amanah Persaraan Emas Wakaf Declaration Hibah Harta Sepencarian Declaration Wasiat Wasiat-writing service Wasiat Custodial Service Wasiat Translation Service Appointment of Executor Document Custodial Service Guardianship Estate Administration Hibah