Tax Effective Estate Planning Bundles

1. Couples Testamentary Trust Bundle (press the blue button to start building)

This online bundle, is for a couple, it includes 6 documents:

1. two tax effective 3-Generation Testamentary Trust Mutual Wills;
2. two Enduring Power of Attorneys; and
3. two Medical POAs.

Each of the six documents come with a covering letter on how to sign each document. Select the blue button above to start building the couple’s Estate Planning bundle online.


2. Singles Testamentary Trust Bundle

Single? Then instead build online the single person bundle. It includes:

1. a tax effective (3-Generation Testamentary Trust) Single Will;
2. a Power of Attorney; and
3. a Medical POA.

Non-tax-effective (i.e. not including testamentary trust) Wills and individual documents can be built separately by clicking here.

1. Tax effective Wills with 3-Generation Testamentary Trust Wills

The two Tax Effective Mutual Wills both contain a 3-Generation Testamentary Trusts. In the first instance, you leave everything to each other. After you both die, you leave everything to the same beneficiaries.

And to the tax man, I leave…


Every year, Australian taxpayers voluntarily pay the government millions of dollars in ‘death taxes’. The 4 defacto death duties are:

  1. Capital Gains Tax
  2. Stamp Duty
  3. Income tax
  4. up to 32% in non-dependency Superannuation tax

Are you going to be one of them? Proper Estate Planning ensures that your estate goes to those you care about. Not the Tax Man.

3-Generation Testamentary Trusts

Professor Brett Davies invented Testamentary Trusts in 1994. In 1997 he then invented the 3-Generation Testamentary Trust. The 3-Generation Testamentary Trusts’ additional advantages include:

  1. better tax advantages
  2. generally, pay no tax on the estate income for 80 years
  3. works for three generations: spouse, children and grandchildren
  4. discretionary in nature: a beneficiary can choose not to set up any trusts
  5. wound up when no longer required
  6. each beneficiary gets their own 3-Generation Testamentary Trust
  7. the children when acting unanimously can divide up the class of assets differently. Say you have $1m in shares, $1m in property and $1m in cash. One of your children can take all of the shares. The other the property. The remaining child takes the cash. There is no CGT and stamp duty.

32% Tax on Super going to adult children

After you die your adult children pay 17% or 32% on your Superannuation.  That is a non-dependancy tax. It is on your concessional superannuation. Our Super Testamentary Trust, which you get in your Will, seeks to reduce this tax to zero.

Divorcing children

The Divorce Protection Trust delays or stops any capital or income going to a beneficiary who is suffering divorce or separation proceedings. It is designed to reduce the opportunity for the Family Court to get its hands on your money.

The Divorce Protection Trust sits dormant in the Will until needed. The Divorce Protection Trust activates for the benefit of the married person and that person’s children and grandchildren. It removes that person’s power to control the trust while they are suffering the separation.

The Divorce Protection Trust benefits the current and succeeding generations. This helps protect the assets from the Family Court.

The trusts in your Will include:

  1. 3-Generation Testamentary Trusts – reduces CGT & stamp duty
  2. Superannuation Testamentary Trust – reduces the 17% or 32% tax on Super going to adult children
  3. Bankruptcy Trusts – if a beneficiary is bankrupt
  4. Divorce Protection Trust – if a child separates it stops the Family Court taking your money
  5. Maintenance Trust – if a beneficiary is under 18 or vulnerable

2. Enduring Power of Attorneypower of attorney

The second group of documents you are building are enduring POAs. An Enduring Power of Attorney (POA) is a legal document. It allows you to appoint a person to make decisions about your assets. The POA deals with your assets e.g. real estate and bank accounts. A POA stops the government from meddling in your affairs.

[blockquote author=”” link=”” target=”_blank”]Your spouse automatically holds both your Enduring and Medical POA in the first instance. If your State does not allow for substitutes (Victoria, Qld or Tasmania) then you have no other choice. In the other States, you can name your own substitutes if mum and dad can no longer look after each other.[/blockquote]

3. Medical Power of Attorney

While your Enduring POA looks after money, property and wealth, your Medical POA deals with your body. Who looks after you, when you can’t? The government, retirement home or doctors? Should they control your body? Do you trust your family more? If so make a Medical POA (Power of Guardianship).

Wife trapped in a retirement facility?medical poa

Our client had a wife. She was trapped in a high-end aged care facility. She had Alzheimer’s Disease. Our client wanted to get her out. The home said he had no right to touch or move a person. Not even a wife. He rang me in tears. I told him to go home and get the Medical Power of Attorney. He got it. The retirement facility saw it. He got his wife out.

Escape a bad hospital

Our client’s wife was in a hospital. The doctors were ‘behaving like Gods, not doctors’. Our client presented the Medical POA. And he moved her to another hospital. There was nothing the doctors could do.

The Medical POA allows you to appoint loved ones. If you lose mental capacity then they decide your:

  • personal lifestyle
  • where you live
  • medical treatment

But only if you can’t make decisions yourself.

A Medical POA is also called:

  • Enduring Power of Guardianship
  • Enduring Guardianship
  • Medical Enduring POA

An enduring guardian makes decisions about:

  • where you live, whether permanently or temporarily
  • who you will live with
  • whether you work
  • consent to medical & dental treatment
  • protecting life or ‘flicking the switch when in a vegetable like state’

Business Structures for Personal Services Income, tax and asset protection

Family trust v Everett’s assignments
Unit trust vs Everett’s assignments
Corporate structures and Everett’s assignments
Service trust and Independent Contractors Agreements