Life is unpredictable, and while we often associate estate planning with later stages of life, the reality is that individuals as young as 18 can greatly benefit from having key legal documents in place. In Queensland, three of the most crucial documents for adults of any age are a Will, an Enduring Power of Attorney (EPA) and an Advance Health Directive (AHD). These documents ensure that your wishes regarding your assets, personal affairs and healthcare decisions are respected and followed, even if you become incapacitated or unexpectedly pass away.
The Role o f a Will
A Will is a legal document that allows you to outline how your assets will be distributed after you pass away. For young adults, this may seem unnecessary, but if you own property, have savings, or personal items of sentimental value, a Will ensures that these are distributed according to your wishes. Without a Will, the state decides how your estate is divided, which may not align with what you want.
Moreover, if you have specific wishes regarding your funeral arrangements or guardianship of any dependents, a Will provides a clear legal framework for those decisions, sparing your family any added emotional strain.
Understanding the Enduring Power of Attorney (EPA)
An Enduring Power of Attorney is a legal document that allows you to appoint someone you trust to manage your personal and financial affairs if you become unable to do so. Unlike a general power of attorney, an EPA remains in effect even if you lose capacity, hence the term “enduring.”
From the age of 18, you are legally considered an adult, and this means that your parents or guardians no longer have automatic legal rights to make decisions on your behalf. Should you suffer an unexpected illness or injury, having an EPA in place ensures that someone you trust has the authority to manage your finances, pay your bills, and make decisions in your best interest.
The Role of an Advance Health Directive (AHD)
An Advance Health Directive (AHD), allows you to outline your healthcare wishes for the future, including treatments you do or don’t want to receive in specific circumstances. It provides guidance to your healthcare team if you are unable to communicate your preferences due to illness or incapacity.
This document gives peace of mind that your medical care will align with your values and beliefs, without leaving difficult decisions solely in the hands of your loved ones. For younger adults, this could include instructions for emergency care following an accident or guidance on more complex medical treatments.
The Role of Binding Death Benefit Nominations (BDBNs)
Superannuation is often one of the largest assets a person will have, especially for young adults starting to build their wealth. A Binding Death Benefit Nomination (BDBN) allows you to nominate who will receive your superannuation and any associated life insurance benefits upon your death. Without a valid BDBN, the trustee of your superannuation fund has the discretion to decide how these benefits are distributed, which may not align with your wishes.
Having a BDBN provides clarity and peace of mind, ensuring that your loved ones are taken care of according to your preferences. It’s a critical step in a comprehensive estate plan, especially for younger individuals who may not realise the importance of securing their superannuation benefits.
Why 18 is the Right Time
Turning 18 is a major milestone in your life. While you may feel young and invincible, accidents and sudden health issues can happen to anyone. By having a Will, Enduring Power of Attorney, and Advance Health Directive, and Binding Death Benefit Nomination in place, you are taking control of your future and protecting both yourself and your loved ones from unnecessary stress and complications.
Without these documents, your family may have to go through long and complex legal processes to gain authority to manage your affairs. In the case of a sudden illness or accident, an Advance Health Directive ensures that your healthcare decisions are made according to your wishes, and an EPA gives a trusted person the legal ability to manage your finances. A Will ensures that, should the worst happen, your assets are distributed according to your preferences, not a government formula. Meanwhile, a BDBN ensures your superannuation benefits reach the right people without delay.
Empowering Yourself and Protecting Your Loved Ones
Having these documents is about safeguarding your independence and giving both you and your loved one’s peace of mind. Estate planning isn’t just for the elderly or the wealthy, it’s for everyone, starting from 18. It’s a way to make sure that your voice is heard in matters of health, finances, and legacy, no matter what the future holds.
At Nurture Law, we understand that taking these steps early in life can feel overwhelming, but we’re here to help. Our team offers compassionate, clear, and expert guidance throughout the entire estate planning process. We believe that planning ahead is an act of kindness toward your loved ones, sparing them the emotional and financial burden of uncertainty during difficult times.
It’s never too early to plan for the unexpected. By putting a Will, Enduring Power of Attorney and Advance Health Directive, and Binding Death Benefit Nominations in place from the age of 18, you are ensuring that your future, and your wishes, are protected.
If you have any questions or need assistance with your estate planning, please call us on 07 3174 5730 or book a free chat online and take that first step towards securing your future.
