At the time of his passing, the 43-year-old was head coach of ABC Motsepe League side Umvoti FC in KwaZulu Natal.
He was set to lead Umvoti FC in the national play-offs following an impressive season which saw his side lose just once the entire 2017/18 season.
The news of his death was announced by Umvoti FC on their social media platforms on Sunday morning.
Soon after his retirement in 2010, Phakathi joined SAB league team Morningside, in Durban.
Phakathi worked as a sport commentator for Ukhozi FM for many years after his retirement from professional football. At the time, he was also working on his coaching badges.
He returned to Golden Arrows as an assistant coach and he later joined National First Division side Royal Eagles.
Goal would like to send condolences to the Phakathi family, his friends and Umvoti FC.