5 Ways Estate Planning Help Protect Your Loved Ones

Creating an estate plan is one of the essential decisions you can make to keep your family secure in the future, even after you pass away. 

Estate planning is necessary no matter your age, net worth, and health state. Aside from ensuring your children and assets are safe, estate plans also ensure taxes and government responsibilities will be handled too.

If you’re considering ethical estate planning, here are some documents you may want to include in your estate plan:

1. Will

Having a Will is essential in getting your estate settled. A will is a document that defines your wishes in the event of your death. A Will can include instructions on distributing your estate, bringing in an executor and beneficiaries, and appointing guardians for your children.

2. Powers of Attorney

A Power of Attorney allows someone to take over your financial affairs in an accident or incapacity. If you have a business, a power of attorney can ensure that your employees and assets are protected. Aside from a Power of Attorney, you can also appoint a Business Manager to handle your business affairs in the event of your death.

3. Enduring Powers of Guardianship or Advanced Care Directive

This allows you to appoint someone or an organisation as your healthcare representative in the event that you can no longer make decisions about your health and lifestyle for yourself. 

4. Trust and Testamentary Trust


Trusts are designed to protect your assets, ensure your family members will be taken care of financially and legally and can minimise taxes. Trusts are helpful in the event of your passing, where your nominated trustee will manage your assets according to your wishes. 

Testamentary Trust:

Allows you to appoint a person as your Trustee, who will then be able to manage assets that are within your trust. This only comes into effect once you have passed. 

A testamentary trust can protect your assets in the instance your beneficiary is bankrupt by not passing your inheritance into their name. This will ensure it doesn’t become a part of the beneficiary’s estate for bankruptcy. 

In the event of a divorce or relationship breakdown, you can ensure through your testamentary trust (under the present Australian law) that your Trust may not be subject to a Family Court Order.

5. Life Insurance

Life insurance is sometimes not considered a part of the estate planning process but a life cover policy can be a great inclusion in your estate plan to ensure your loved ones are financially provided for when you die.

Life insurance pays out a lump sum to your beneficiaries or estate in the event of your death. Life insurance protects your family and estate by providing a financial cushion. Death is inevitable, but having life insurance as part of your estate financial planning can provide a safety net for your loved ones.


Want To Get Started On Your Estate Plan Today!

Estate planning is not something that should be ignored or put on the backburner. Everyone, no matter their age, should consider creating an estate plan, as it will essentially protect your loved ones. By protecting your assets and appointing an executor, your family is ensured to be taken care of in the event of your death. 

For estate planning in Adelaide, work with us at Novo Wealth. We will work with you and your solicitor to protect your wealth and ensure it will pass smoothly and tax-effectively to your loved ones when the time comes. 


Request a meeting today to start.



IMPORTANT; This information is general in nature only. It does not take into account your individual circumstances. We recommend that you seek professional advice before making any investment decision.