The Importance of a Will for Family: Estate Planning for Young Families
When you’re raising a young family, the last thing you want to think about is what would happen if you weren’t around. But estate planning isn’t about anticipating the worst, it’s about protecting the people you love most if life takes an unexpected turn.
Many Queensland families delay making a will until they’re “older” or “have more assets,” but in reality, estate planning is just as important for parents in their 20s, 30s and 40s as it is for older people. It’s about ensuring your partner, children, and loved ones are supported and your wishes are respected.
Introduction to Estate Planning
Estate planning is the process of making important decisions about what will happen to your assets, property, and loved ones after your death. It involves creating a valid will, appointing an executor to carry out your wishes, and ensuring that your estate is distributed according to your intentions. For any will maker, having a comprehensive estate plan is highly recommended, regardless of your age or financial situation. By planning ahead, you can help prevent disputes among family members, avoid unnecessary legal complications, and provide clear provision for those you care about most. Seeking professional advice ensures your estate plan is tailored to your unique circumstances, giving you peace of mind that your wishes will be respected and your loved ones protected during a difficult time.
Who Needs a Will?
Anyone with children, assets or responsibilities should strongly consider having a will.
A valid will gives you control over who receives your property and who will take care of your children if something happens to you. Without one, Queensland’s Succession Act 1981 decides who inherits, and the result might not reflect your wishes.
If you die without a will (known as dying “intestate”), after you have died your assets could pass in a way that leaves your partner struggling financially or your children without a clear guardian. In the absence of a will, the court may be required to determine guardianship and how your assets are distributed. Even modest estates with everyday assets like a home, car, superannuation, or insurance payout can quickly become complex without proper planning.
To ensure your will is properly prepared and up to date, consider making an appointment with a professional for advice and assistance.
Why It Matters for Young Families
For young families, there is a lot more to consider than simply how to divide assets. Things like protection, security and continuity need to be considered for the family members left behind. It is the responsibility of parents to ensure their family's future is secure through proper estate planning.
When creating an estate plan, several factors, such as family structure and financial needs, should be carefully considered.
Guardianship for Children
Your will can name a nominated person to care for your children if both parents pass away. This gives you peace of mind knowing that a trusted nominated person (not the courts) will decide their living arrangements and future. As your children become young adults, it’s important to update your estate plan to reflect their changing needs and responsibilities.
Financial Protection
You can use your will to direct insurance proceeds, property, and superannuation into a trust for your children’s future needs such as education, housing or healthcare. Testamentary trusts can be used to manage funds and income for children, ensuring that these funds are distributed for specific needs. A well-drafted testamentary trust can also protect their inheritance from mismanagement or third-party claims.
A testamentary trust allows for income to be distributed to beneficiaries, potentially taking advantage of the tax-free threshold for minors, so some income may be received tax-free. Your spouse can be a beneficiary or act as a trustee of the trust, helping to manage the money and account for the children’s benefit.
Avoiding Disputes
Clear estate planning minimises confusion and potential family conflict. It ensures that your partner and children receive what you intended, reducing the risk of contested estates or delays in distributing assets.
Continued Financial Management
An executor (or trustee) can manage your estate, pay off debts, and handle everyday obligations like mortgages and bills, keeping your family’s affairs in order during a difficult time.
It is essential to provide clear details about your assets, debts, and ongoing obligations to help the executor ensure smooth estate management.
Protecting Blended and De Facto Families
Modern family structures can complicate inheritance rights. In Queensland, partners in de facto relationships or blended families may not automatically have the same entitlements as spouses. An estate plan ensures your loved ones are properly provided for and protected under the law.
It's important to update your estate plan if a family member has passed or if your relationship status changes, to ensure your wishes are accurately reflected. Drawing a family tree can help clarify relationships and ensure all intended beneficiaries, including both blood relatives and non-blood relatives, are considered in your will.
When to Review Your Will
Life changes quickly when you have children, and your estate plan should evolve with it.
You should review your will every few years or when major life events occur, such as:
Marriage or entering a de facto relationship (marriage can revoke an existing will under Queensland law)
Separation or divorce from a former spouse
The birth or adoption of a child
Buying or selling property
Starting or selling a business
Receiving an inheritance
Moving interstate or overseas
These changes may require creating a new will to ensure your wishes are up to date.
Regular reviews ensure your estate plan continues to reflect your current circumstances, assets and family structure. You won’t need to make changes every time you look over it, but reviewing it regularly means you can make timely updates when something important in your life does change.
Remember to verify the existence of your current will and estate planning documents to avoid confusion or loss.
Extras to Include in Your Estate Plan
A will is essential for family estate planning, but it’s not the whole picture. A comprehensive estate plan for young families should also include:
Enduring Power of Attorney (EPOA)
Appoint someone you trust to make financial and legal decisions on your behalf if you lose capacity due to illness or injury. Without one, your loved ones may need to apply through the Queensland Civil and Administrative Tribunal (QCAT), which can delay urgent financial or property matters.
Advance Health Directive
Set out your healthcare preferences and nominate someone to make medical and lifestyle decisions if you’re unable to. This document ensures your medical care aligns with your wishes and removes the burden of uncertainty for your family.
Binding Death Benefit Nomination
Superannuation and any associated life insurance often make up a significant portion of a young family’s wealth, but many people don’t realise these benefits don’t automatically form part of your estate. Direct where your superannuation is paid when you die by completing a binding death benefit nomination. Super doesn’t automatically follow your will, so a binding nomination ensures the balance and any life insurance attached to your fund go to the right people.
Testamentary Trust
A trust established by your will to manage your assets for your children’s long-term benefit. It provides structure, tax advantages, and protection against future risks such as bankruptcy, divorce, or poor financial decisions.
For example, a testamentary trust can be set up to protect a child's inheritance until they reach a certain age, or to provide ongoing financial support for a vulnerable beneficiary who may not be able to manage funds independently.
Digital Assets
Outline how your online accounts, photos, subscriptions and cryptocurrency wallets should be accessed or closed. Including digital assets in your plan helps your executor manage them securely and prevents loss or misuse.
Choosing a Primary Beneficiary
Selecting a primary beneficiary is one of the most important decisions you’ll make when preparing your will. Your primary beneficiary is the person or persons who will receive the main share of your estate and assets after your death. When making this choice, consider your family’s needs, your close personal relationships, and the financial situation of each potential beneficiary. It’s also wise to think about appointing a trusted executor or trustee to oversee the distribution of your estate and ensure your wishes are followed. As the primary beneficiary will play a significant role in your estate, choosing someone responsible and trustworthy is essential to protecting your family’s future and ensuring your legacy is managed as you intended.
Storing Estate Planning Documents
Once your estate planning documents are complete, it’s vital to store them in a safe and accessible place. Let a trusted family member, your executor, or a professional advisor know where your will, power of attorney, and other important documents are kept. Consider keeping digital copies in a secure, password-protected online storage service for added security and convenience. Ensuring your executor and beneficiaries know how to access these documents will help prevent delays, confusion, or disputes after your death. Proper storage of your estate planning documents gives your family peace of mind and ensures your wishes can be carried out without unnecessary complications.
Common Mistakes to Avoid
Even with good intentions, many families make simple but costly mistakes:
Assuming joint accounts or property automatically pass to your partner.
Forgetting to update your will after marriage (earlier wills may be invalidated).
Leaving assets directly to minors without appointing a trustee.
Not aligning your superannuation and life insurance with your estate plan.
Using a DIY will kit that doesn’t meet Queensland’s strict legal requirements.
An experienced succession lawyer can guide you through every step of the estate planning process. They’ll ensure your documents are legally valid and tailored to your family’s specific needs, advise on trust and tax structures that protect your children’s inheritance, and help you coordinate superannuation, life insurance and business assets so everything works together seamlessly. A lawyer can also provide practical advice on choosing guardians and executors, preventing future disputes, and giving you peace of mind that your wishes will be carried out exactly as intended.
Avoiding a Family Provision Claim
A family provision claim can arise when an eligible person believes they have not received adequate provision from your estate. These claims can be complex, stressful, and costly for your loved ones. As a will maker, you can reduce the risk of a family provision claim by making sure your will is fair and reasonable, and that you have made adequate provision for all eligible persons, such as close family members or those who depend on you financially. Consider the potential for disputes and take steps to address them, such as setting up a trust or making specific gifts to certain beneficiaries. Regularly reviewing and updating your will helps ensure it remains fair and reflects any changes in your family or circumstances, further reducing the risk of a claim.
We're Here to Help
Estate planning is one of the most important steps you can take for your family’s future. Whether you’ve just bought your first home, welcomed a new baby, or started a business, having a plan in place gives you confidence that your loved ones will be cared for, no matter what happens.
Your family’s future deserves clarity and care. Contact Bradley & Bray Lawyers to discuss your estate plan and ensure your loved ones are protected, no matter what life brings.
Disclaimer: This article is general in nature and does not constitute legal advice. If you require legal advice in relation to your personal circumstances, you must formally engage our firm or another firm to provide legal advice in relation to your matter. Bradley & Bray lawyers take no responsibility for any use of the information provided in this article.
