The Public Trustee urges Queenslanders to upgrade their financial enduring power of attorney document so it could withstand ‘rough terrain’.
Samay Zhouand, the Public Trustee of Queensland, said the state’s standard enduring power of attorney forms were a valid way to appoint a financial attorney, but completing the form in full or having a personalised document made could offer greater protection against a mishap down the road.
When a standard model is not enough
"Think of your enduring power of attorney like a car, in that the standard model is roadworthy, but upgraded features are a wise idea if you’re likely to hit rough terrain," he explained.
"Likewise, a standard enduring power of attorney form is a valid tool that helps make a financial enduring power of attorney accessible to more Queenslanders. But it does provide your attorney with broad powers by default unless you fill it out in full.
"If you’ve got a more complex family situation or structure of assets that might cause conflict or difficult decisions for your financial attorney, a fully completed form or tailored document made by a solicitor is like a safety upgrade.
"Don't accept the default if your circumstances demand detail. Your future self is relying on the safeguards you build today."
Document safety features to consider
Whether filling out a standard form’s optional sections or seeking personalised legal advice, Mr Zhouand suggested considering three safety features:
- the trigger - when do I want my attorney’s powers to kick in?
- the ‘rule of two’ - do I want multiple attorneys and if so, how do I want them to make decisions?
- the watchdog - do I want a nominated person?
When do I want my attorney’s powers to kick in?
You can choose to allow your attorney to make decisions on your behalf immediately, at a specific time or in a specific circumstance, or when you lack capacity to make financial decisions.
Stipulating that your attorney is authorised to make decisions on your behalf only if you receive a confirmed medical diagnosis of incapacity may help prevent your attorney from taking control of your assets before you are ready to let go, Mr Zhouand said.
How should my attorneys make decisions?
Appointing more than one attorney, and requiring them to make joint – rather than several – decisions, creates a natural audit mechanism, Mr Zhouand said, because all attorneys must agree a decision promotes and safeguards your financial interests.
Do I want a nominated person as a backstop?
A nominated person is someone such as a trusted friend or professional adviser your attorneys must keep informed about decisions they make on your behalf. You can specify what types of information you want your nominated person to receive and in what circumstances.
"A nominated person doesn’t stop your attorneys from doing what you appointed them to do, but can be a powerful deterrent against misuse of their powers," Mr Zhouand said.
Where to find more information
Queensland Public Trustee (QPT) offers information on enduring powers of attorney, including:
To upgrade your enduring power of attorney document, see the solicitor of your choice. Alternatively, QPT can make an enduring power of attorney document for you.