Probably Wills, Death and Taxes. All very morbid. And you wouldn’t be wrong - but Estate Planning is so much more than that.
Taryn Ellerington, Senior Associate, in our Wills & Estate Planning team views Estate Planning as a process that simply starts with a conversation. At the centre of that conversation is a unique person – with their own specific needs and objectives and a unique set of assets and structures that surround them.
In a 4-part video series, Taryn introduces Wills & Estate Planning and what you can expect in your initial Estate Planning consultation.
Estate Planning is a process that simply starts with a conversation. At the centre of that conversation is a unique person – with their own specific needs and objectives and a unique set of assets and structures that surround them. Sometimes the Will that comes out at the end of the process is not complex, but what is important are the discussions and considerations that drive that document.
Unfortunately, Estate Planning is largely triggered by the fear or contemplation of death and/or divorce. Estate Planning is a continuum, it should be more than a life stage event and should form part of your life cycle.
Our value as Estate Planning practitioners is more than just drafting your Will but rather to help you pave the way for a secure and fulfilling future as you age and really empowers a confident ageing process.
A Will is the document that sets out how your assets are to be distributed on your death. However, one cannot make a Will without having testamentary capacity.
There are different capacity “tests” for different things and a fundamental aspect of what we do as Estate Planning practitioners is satisfy ourselves that the client has the requisite capacity to give us instructions.
Estate Planning practitioners are not doctors, and if we are in doubt as to your capacity to make a Will, we can refer you to the appropriate specialist for a medical assessment.
From a very high-level perspective, we can break down a Will into three main ingredients:
Who is going to represent your estate when you die?
Is there something that is special to you that requires special treatment?
Where does everything else go and how does it get there?
The three crucial conversations that need to be had when making a Will or updating a Will – whether it be for the first time or the 100th time are:
What do you own?
The family dynamics discussion
What are your intentions?
Make sure there is:
An Enduring Power of Attorney, which allows you to appoint a person or persons to step into your shoes should you lose capacity to make legal, financial and business decisions.
An Appointment of Enduring Guardian, which allows you to appoint a person or persons to help support you to make lifestyle and medical decisions should you be unable to make these decisions yourself.
These documents operate during your lifetime and are no longer valid when you die.
These documents are just as important as a Will, and really, you make them, hoping that you never need them but what a nightmare it can be if these are not in place, and they are needed.
The solution is to be proactive and not reactive about your Estate Planning and always consider making these documents when getting your Will done.