Planning for your estate gives you peace of mind that your family is looked after in the event of your passing. It’s not something we want to think about, but it’s an important part of caring for our loved ones. Estate planning also ensures your wishes are followed regarding medical interventions and who can make decisions on your behalf. Here are three important things to consider.
Perhaps the most important document in estate planning is your will. This is where you’ll detail what happens to your assets. The will also includes any of your other wishes following your passing, such as guardianship of minors, who will execute your will, and much more. There is a lot of flexibility in what your will can include; however, it must comply with Australian law. If not, it is open to being contested in court, creating a mess for those left behind.
The executor is the person who administers your estate as outlined in your will. Naturally, you want this person to be trustworthy and capable of the job. If your estate is complex, using a solicitor rather than a family member may be better. Executing an estate often involves financial and legal aspects, which not everybody is equipped to manage.
When preparing your will, clearly state who the executor will be. You can also change your executor at any time, provided it is done legally.
In the event that you’re incapable of making decisions for yourself, your will should always include details on Power of Attorney. This involves listing the people who can make important decisions on your behalf. The person you name as a Power of Attorney can make financial and other important decisions during your incapacitation. You can also include a Guardian in your will who can handle more personal and health decisions, such as the medical treatment you receive.
In the event that you’re incapable of making the informed choice of your health decisions an Advanced Care Directive will assist someone you nominate to represent your health wishes.
*This information is current at the time of publication. For accurate legal advice, please contact Scammell & Co on 08 8440 270.
