Wills and Estate Planning
Every adult should consider preparing a Will and planning for unexpected events. Even if you're young and healthy, a Will can provide peace of mind for the future. Having a Will is especially important for those with children or dependents. Additionally, it’s helpful to think about what may be needed if you are unable to manage your affairs and want someone you trust to step in. We can assist with these important estate planning documents.
We services all of Victoria including Essendon | Moonee Ponds | Pascoe Vale
Preparing a Will
A valid Will outlines how you would like your assets to be distributed after your passing. It appoints an executor to manage your affairs and finalise your estate, providing instructions on how your property should be divided among your beneficiaries.
A Will can also include provisions for holding money in trust to care for children or other vulnerable beneficiaries. Many parents use their Will to name a guardian to care for their children if both parents pass away while the children are still minors. Your lawyer may also suggest setting up a discretionary testamentary trust to protect assets and vulnerable beneficiaries, or collaborate with your financial planner or accountant to ensure assets are distributed in the most tax-efficient way.
If you pass away without a valid Will, you are considered ‘intestate,’ and the law will determine how your assets are distributed. The general rules of intestacy may not reflect your wishes and can lead to additional time, cost, and complications for your family during an already difficult time.
For a Will to be valid, it must be properly signed and witnessed. Otherwise, there’s a risk it could be challenged or considered invalid after your passing. Working with a lawyer to prepare your Will can help ensure that its language is clear and unambiguous, avoiding potential issues down the line.
Reviewing your Will
Once you have a valid Will in place it’s not just a matter of ‘set and forget’. Certain changes in your personal or financial circumstances might mean you need to consider reviewing and possibly updating your Will. These include:
- the birth of a child
- separating from your spouse or de facto partner
- commencing a new domestic relationship
- the passing of a beneficiary or executor named in your Will
- selling or purchasing major assets including real estate
- starting or investing in a business venture
- receiving an inheritance or disposing of a major asset
- a change in your health circumstances
Powers of Attorney and Enduring Powers of Attorney
A power of attorney is a legal document that allows you (the principal) to designate someone (your attorney) to act on your behalf in certain matters and under specific circumstances.
In Victoria, there are clear rules governing the appointment of attorneys, so it's essential to seek legal advice to ensure the document is valid and legally binding. There are also various types of powers of attorney, and it’s important to choose the one that best suits your needs.
A general power of attorney allows someone to manage your financial affairs, such as paying bills, accessing bank accounts, and handling investments, while you are still capable. A supportive power of attorney can also be made to assist with specific decisions.
An enduring power of attorney lets you appoint someone to make personal decisions (like living arrangements) or financial decisions, or both, if you become incapacitated. This type of power of attorney is especially useful for older adults or those with ongoing health conditions who may need help managing their affairs.
A power of attorney, including an enduring one, can only be made by someone who has mental capacity. The attorney has a fiduciary duty to act in the best interests of the principal.
Having an attorney in place for when you need assistance can offer peace of mind, but it requires careful thought. We can help explain the different options so you can make an informed choice and have documents tailored to your specific needs.