What is Estate Planning

Estate Planning is the process in which a lawyer (and possibly an accountant and a financial adviser) works with a client to ascertain the client’s personal circumstances and financial circumstances. The culmination of the work is an estate plan that aims to provide

  • wealth management outcomes for the client
  • protection for the client and family
  • processes for passing control of property to the next generation

Personal Circumstances

Your personal circumstances are important in determining an estate plan that is appropriate for you.

We can help you identify personal matters that are relevant to you and that may affect the decisions you make when dealing with your property.

Examples of personal circumstances that may be relevant to you are set out below:

Marriage and/or de facto

  • Provision for spouse
  • Jointly held property
Birth of a child (or adoption)

  • Education
  • Additional accommodation
Separation

  • Absence of divorce
  • Child support agreement
Blended family

  • Step children
Vulnerability

  • Disability
  • Gambling alcohol and/or drug use
Mental Capacity

  • Power of Attorney
  • Enduring guardian
Will

  • Prospect of challenge
  • Family Provision claim
Statutory will

  • Catastrophic injury
  • Review of beneficiaries
Choice of executor

  • Expertise, conflict
Pension

  • Type of pension
  • Applicable concessions

Financial Circumstances

Your financial circumstances will affect the decisions you make in preparing an estate plan. Are you commencing the business or wanting to retire from it? What are the provisions in your business documents that allow you to pass control to nominated persons?

We can review your documents and advise you on their suitability to enable transfer of control in accordance with your instructions.

Starting a business

  • Contracts that affect estate plans – eg buy sell agreement
  • Partnership agreement
Business/ investment structure

  • Family trust/company
  • Sole trader
Business succession

  • On retirement
  • On death
Acquiring life insurance

  • Nominated beneficiary
Superannuation

  • Establishing SMSF
  • Financial dependants
Risk of insolvency

  • Personal guarantee(s)
  • Business risks
Loans and gifts to family

  • Unrewarded contributions
  • Sacrifices by family members
Taxation of assets

Legislation

Your personal and financial circumstances can be affected by legislative changes.  For example proposed changes to negative gearing may impact on your decision whether to purchase an investment property.

Legislation that may affect you is set out below:

  • Income tax
  • GST
  • Corporations law
  • Family provision
  • CGT
  • Land tax
  • Trusts
  • Bankruptcy
  • State and Territory duty
  • Superannuation
  • Family law
  • Means tested benefits

Triggers for Review

It is important that you review your estate plan every 3 years or sooner if there are triggers that change your circumstances.

Contact us. We can help you review your personal and financial circumstances.