Estate Planning Why is it so Important?

1. Estate Planning Why is it so Important? PRESENTED BY Jeff Bowman Director and Financial Planner Adv. DIP FP (FS)

2. General advice warning This presentation has been prepared by Wealth Tree Solutions. Wealth Tree Solutions Pty Ltd trading as Wealth Tree Solutions ABN 21 625 293 530 is a Corporate Authorised Representative 1266 299 of Alliance Wealth Pty Ltd ABN 93 161 647 007, Australian Financial Services Licence No. 449 221 Alliance Wealth telephone 1300 557 598, email – aw@cpal.com.au, website -  www.centrepointalliance.com.au/aw. Information contained within this presentation has been prepared as general advice only as it does not take into account your investment objectives, financial situation or particular needs. The presentation is not intended to represent or be a substitute for specific financial, taxation or investment advice and should not be relied on as such. You should consider whether the information is appropriate to your situation, and where appropriate, seek professional advice from a financial adviser and/or tax agent before making an investment decision. Before deciding whether to acquire or to continue to hold any investment mentioned in this presentation, a Product Disclosure Statement (PDS) should be obtained and considered. Past performance is not a reliable indicator of future performance. All assumptions and examples are based on current laws (as at June 2018) and the continuance of these laws and Wealth Tree Solutions interpretation of them. Wealth Tree Solutions does not undertake to notify its recipients of changes in the law or its interpretation. All examples are for illustration purposes only and may not apply to your circumstances.

3. Agenda WHAT IS ESTATE PLANNING? AVOIDING DISPUTES & PROVIDING CERTAINTY THE RIGHT WILL DYING WITHOUT A WILL IMPORTANT ESTATE PLANNING CONSIDERATIONS

4. What is estate planning? WILLS ENDURING POWER OF ATTORNEY TRUSTS My Estate Plan ENDURING GUARDIANSHIP TAXES SUPER NOMINATIONS AND OTHER BENEFICIARIES

5. What happens if you die without a Will? I forgot to write my Will

6. THE RIGHT WILL FOR YOU?? WHAT SHOULD A GOOD WILL DO? • My Will covers all my assets, doesn’t it? • Well…. NO • a Will cannot gift: • assets owned as joint tenants • assets held in a trust • assets held in a company • AND often these assets are not gifted in a Will: • superannuation death benefits • life insurance proceeds • Appoint appropriate executors and trustees • Take into account a beneficiary’s circumstances • Be flexible • Be tax efficient • (Where appropriate) provide asset protection • Adjust for non-estate assets (e.g. superannuation) Not all Wills are the same

7. Some important considerations… Blended Families

8. Some important considerations… Choosing the right executor

9. Avoiding disputes and providing certainty Consider an independent professional trustee •Unbiased •Professional Disputes best avoided by creating certainty All estate plans must consider family dynamics and pre-empt issues ‘Can anyone challenge your Will?’

10. Superannuation Death Benefit Nominations •Binding nominations = certainty but inflexibility •Ensures payment to nominated beneficiary •Avoids Superannuation Complaints Tribunal •Minimal delay in payment •Blended families •Non-binding nominations = flexibility but uncertainty •Leaving decision to a later date •Claim staking procedure undertaken •Risk Trustee will make a decision inconsistent with the nomination •Complaints may be lodged with superannuation complaints tribunal

11. Enduring Power of Attorney ‘Why should you have an enduring power of attorney?’ • Substituted decision making • Who you know and trust will act in your best interests • Who knows you and what you want • Who you can rely upon to be there and to get things done • Who has the time and is willing to accept the burden • Who doesn’t have any conflicts of interest • Who will consult with and take advice from your trusted advisers • Who has the appropriate experience and business acumen to make decisions • Who will act to maintain family relations • Who you know and trust will act in your best interests

12. Planning for your incapacity • • Power of Attorney (medical treatment) – attorney has the power to give and in certain circumstances, withhold consent to medical treatment on your behalf. • • Enduring Guardianship – guardian has the power to make personal and lifestyle decisions for you should you lose mental capacity, including decisions as to where you live and who with • Enduring Power of Attorney – attorney has the power to act on your behalf during your life, in relation to your investments and other financial matters. • • Advance Health Directive – a document in which you can express your wishes about medical treatment and how you would like your body to be dealt with in the event that you are unable to make these decisions for yourself. • Living Wills- It is a statement of my preferences to my enduring guardian(s) and if no guardian(s) being appointed, then to my physicians and other healthcare providers as to my wishes with regard to specific treatments or procedures to use in the event of my incapacity.

13. Estate planning doesn’t need to be complicated but it needs to be right for you • Best laid plans often fail because … • The Will wasn’t tailored to your family’s circumstances • Non-estate assets are not appropriately addressed • Estate planning didn’t keep pace with changing circumstances • Threats were not addressed • Insufficient consideration was given to who to put in charge Getting the right advice and estate planning documents is critical

14. Any Questions? Suite 1, 294/296 Rokeby Road Subiaco, Western Australia Phone: 08 9388 3600 Web: www.wealthtreesolutions.com.au