Estate Planning for Young Families in Brisbane: Why It’s Crucial to Start Early

Whether you are new parents in Brisbane or elsewhere, you should begin estate planning as soon as possible to protect their children’s future, choose trusted guardians, and ensure financial security.  

Creating a will, Enduring Power of Attorney (EPOA) and appointing guardians are not just for the elderly—they’re vital steps for families with young children. 

Estate planning can feel overwhelming, especially while juggling the responsibilities of raising a young family. However, the peace of mind that comes from knowing your children will be protected—no matter what—makes it worth every step.  

In this article, we’ll explore the essential elements of estate planning for young families, including the importance of having a will, EPOA, choosing guardians and touching on structures that provide financial support. 

Why Estate Planning Matters for Young Families 

Young families are often in the early stages of building their financial future. You may have just purchased a home, started a career, or welcomed your first child. It might not seem like the right time to think about what would happen in the event of your death or incapacity—but that’s exactly why it’s important. 

Without a valid will in place, your assets may not be distributed according to your wishes. Worse, if you and your partner pass away unexpectedly, a court or tribunal will decide who raises your children.

Estate planning ensures that your loved ones are cared for in the way you intend and means that your children they are looked after by those you most trust and believe capable.

Similarly, if you do not have an Enduring Power of Attorney in place and you lose capacity then it may be unclear who is to look after your children or whether they can continue to be provided for from your estate in the way that you may have intended.  

The Foundation: Drafting a Family Will 

A legally valid will is the cornerstone of any estate plan. For young families in Brisbane, creating a family will is essential. Your will should: 

• Nominate guardians for your children (more on this below). 

• Specify who receives your assets and property. 

• Appoint an executor to manage your estate. 

If you die without a will in Queensland, the rules of intestacy apply. This means the government decides how your estate is distributed via the laws and regulations they have in place at the time of your death. While your spouse and children are usually first in line, this can lead to unintended outcomes—especially in blended families or situations where both parents pass away together. 

Working with a solicitor who is experienced in family wills in Brisbane ensures your will is drafted correctly, meets all legal requirements, and reflects your unique family structure. 

Guardianship Planning: Who Will Care for Your Children? 

One of the most emotionally difficult but critically important aspects of estate planning is choosing a guardian for your minor children. This is someone who would step in and raise your children if both you and your partner pass away or become incapacitated. 

Here are key considerations for guardianship planning in QLD: 

• Shared values: Do they have similar beliefs, parenting styles, and values? 

• Location: Will your children have to move interstate or change schools? 

• Health and age: Are they physically and emotionally capable of raising children? 

• Willingness and financial ability: Have you discussed this responsibility with them and received their consent? Even if they are willing, if your estate is insufficient to provide for your children then are they financially capable of doing so and/or would it place undue strain on their own life? 

Including a guardianship nomination in your will can significantly ease the legal process should something happen. Including guardianship wishes and directions in your Enduring Power of Attorney document can assist similarly.

However, it’s important to note that while courts in Queensland give strong weight to your wishes, they retain final discretion to ensure the decision is in the best interests of the child.  

Life Insurance: Financial Security for the Unexpected 

Even if you have limited assets now, life insurance plays a major role in estate planning for young families. It ensures your partner and children have financial support if you’re no longer there to provide for them.

This could be made more important if those people you would leave your children in the care of have insufficient assets to look after your children in the same way you can.   

A solid life insurance policy can help cover mortgage repayments, day-to-day living expenses, education costs, childcare, medical bills and other important life expenses.

Consider the following types of life insurance: 

• Term life insurance: Pays a lump sum to your beneficiaries if you die within the policy period. 

• Total and permanent disability (TPD) insurance: Provides a payout if you’re permanently unable to work due to illness or injury. 

• Income protection insurance: Replaces a portion of your income if you’re unable to work temporarily. 

In turn, your Will and enduring power of attorney documents are essential to directing, controlling and managing the benefits of insurance proceeds. Your estate plan should specify how insurance payouts are distributed—either directly to your spouse, into a trust for your children, or handled by your executor. 

Trusts: Managing Money for Young Beneficiaries 

Children under 18 cannot legally manage large inheritances. That’s where trusts come in. A testamentary trust, created through your will, allows you to control how your assets are distributed to your children over time. A Family Trust created while you are alive is another alternative, which provides similar control measures but are less tax effective for minors. 

Benefits of testamentary trusts include: 

• Tax advantages: Especially when income is distributed to minors. 

• Asset protection: Can assist in safeguarding inheritances from legal claims or bankruptcy. 

• Control: You can dictate when and how your children receive their inheritance (e.g., upon reaching a certain age or milestone). 

Your nominated trustee will manage the trust in the best interests of your children. It's wise to appoint someone financially responsible and trustworthy, such as a close family member or professional trustee. 

Powers of Attorney and Advance Health Directives 

Estate planning isn’t just about death—it’s also about planning for incapacity. If you become seriously ill or injured, who will manage your finances or make medical decisions on your behalf? 

In Queensland, you can set up: 

• Enduring Power of Attorney (EPOA): Authorises someone to make personal, financial, or health decisions if you’re unable to do so. 

• Advance Health Directive: Outlines your wishes regarding medical treatment and end-of-life care. 

These documents are vital for ensuring your family is not left navigating difficult decisions without guidance.

The Enduring Power of Attorney is particularly important to ensure you have in place because, similar to a will, if it is not in place then it will ultimately be a court or tribunal that appoints someone to make decisions for you.

Having one in place will remove that uncertainty and ensure you are taken care of be pre-appointed people you trust.  

Digital Assets and Social Media 

While it might not be the first thing you think of, digital assets (such as online banking, social media, and photo libraries) should be included in your estate plan. You can leave instructions on who can access or manage these accounts and how they should be handled. 

Newer types of assets like cryptocurrency and NFTs should also be considered carefully as these often have very strict security measures for access.  

Including a list of your digital accounts, passwords (stored securely), and any wishes for digital legacies will save your family considerable stress and/or potential loss of valuable assets if your loved ones are unable to access them. 

When to Review Your Estate Plan 

Your estate plan is not a “set and forget” document. Life changes, and your plan should evolve accordingly. You should at lease review your will and associated documents: 

• After the birth of a child 

• Upon purchasing property 

• If you separate or divorce (which generally causes existing estate planning documents to become void) 

• If your chosen guardian, executor, or trustee is no longer suitable – perhaps their financial circumstances have changes, they have lost capacity or your values no longer align.  

• Every 3–5 years, as a general rule. 

A solicitor can help you update your documents efficiently, ensuring your plan continues to reflect your current circumstances and wishes. 

Common Mistakes Young Families Make 

1. Putting it off: Many young parents think estate planning is for “later in life.” But unexpected events don’t wait nor is estate planning “only for the rich? 

2. DIY wills: Cheap online templates often lack legal validity in QLD or leave critical issues unresolved. They are ‘better than nothing’ in some cases but usually severely lacking.  

3. Forgetting to nominate guardians: This can lead to family disputes and court delays. 

4. No insurance or outdated cover or nominated beneficiaries: Your family's financial needs may not be covered by default superannuation insurances alone, if those are even in place. 

5. Failing to communicate: Make sure your loved ones know your wishes and where to find your documents. 

The Cost of Doing Nothing 

Without an estate plan: 

• The Public Trustee may become involved, adding time and fees to the process; 

• Family members may face court battles or uncertainty; 

• Your children may not be raised by the person you would have chosen; 

• Financial hardship may result from lack of insurance or proper asset distribution. 

The emotional and financial burden on your loved ones is far greater than the cost of preparing a solid estate plan today.

Even if you have nominal assets, if you die without a will then your family will have to apply to the Supreme Court to obtain ‘Letters of Administration’ simply to obtain the authority to administer your estate. The cost of doing this single step will usually far outweigh the cost of doing a will while living.  

Estate planning isn’t just for retirees or the wealthy. It’s an essential step that gives your family security, clarity, and protection. For young families, the most responsible thing you can do is plan for every possibility. 

Ready to Protect Your Family's Future?

Contact Drakos & Company Solicitors today to speak with our experienced estate planning team. We can guide you through everything from family wills and EPOAs to guardianship planning in QLD, making sure your children and assets are in safe hands—no matter what the future holds.