What Decisions Can An Enduring Power Of Attorney Make?

An Enduring Power of Attorney (EPOA) is one of the most important future planning documents many Australians can put in place.

It allows you to appoint someone you trust to make certain financial and legal decisions on your behalf if you lose the capacity to make those decisions yourself.

Many people assume an Enduring Power of Attorney can make every decision in your life. However, that is not usually the case.

Understanding what an attorney can and cannot do can help you choose the right person and create a more effective future planning strategy.

In this guide, we explain the types of decisions an Enduring Power of Attorney may be able to make and why the document plays an important role in protecting your interests.

What Is An Enduring Power Of Attorney?

An Enduring Power of Attorney is a legal document that allows you to appoint someone to manage certain financial and legal matters on your behalf.

The exact rules vary between Australian states and territories, but the purpose is generally the same.

The document is designed to continue operating if you lose decision-making capacity, which is what makes it “enduring.”

The person you appoint is commonly known as your attorney.

This role is different from an Enduring Guardian, who generally deals with personal, lifestyle, health and care decisions.

Why Would Someone Need An Enduring Power Of Attorney?

Life can change unexpectedly.

A serious illness, accident, stroke, dementia diagnosis or other health event may affect your ability to manage important financial and legal matters.

Without an Enduring Power of Attorney, family members may face additional challenges if they need to assist with your affairs.

Having the right document in place can help ensure someone you trust can step in if required.

Financial Decisions An Attorney May Make

One of the main responsibilities of an attorney is managing financial matters.

Depending on the authority provided in the document and the laws in your state or territory, this may include:

Managing bank accounts.
Paying bills and ongoing expenses.
Managing investments.
Handling insurance matters.
Managing pension or income-related matters.
Keeping financial affairs organised.

The attorney is generally expected to act in the best interests of the person who appointed them.

Property Decisions An Attorney May Make

An attorney may also be involved in property-related matters.

This can include activities such as:

Managing property ownership matters.
Paying property-related expenses.
Handling property paperwork.
Communicating with professionals involved in property matters.
Managing practical financial aspects of property ownership.

The exact powers available will depend on the document and the laws that apply in your state or territory.

Legal And Administrative Decisions

An attorney may also assist with various legal and administrative matters.

Examples may include:

Signing certain documents where permitted.
Managing financial records.
Communicating with banks and service providers.
Managing government-related paperwork.
Handling administrative responsibilities connected to financial affairs.

Many of these tasks become particularly important if a person can no longer manage them independently.

Can An Attorney Make Health Or Medical Decisions?

In general, an Enduring Power of Attorney is usually focused on financial and legal matters rather than health and medical decisions.

Health and personal decisions are often covered by different documents, depending on the state or territory.

This may include:

Enduring Guardianship.
Advance Care Directives.
Medical treatment decision-maker appointments.
Other state-based future planning documents.

This is one reason many Australians choose to have several planning documents working together.

Can An Attorney Change Your Will?

Generally speaking, an attorney cannot simply rewrite your will because they think something should be changed.

Wills operate under separate legal rules and requirements.

If circumstances become complicated, professional legal advice should be obtained.

Can An Attorney Give Away Your Money?

An attorney is not appointed for their own benefit.

The role exists to help manage the affairs of the person who appointed them.

There are usually legal responsibilities and limits that apply to attorneys, and they are generally expected to act appropriately and in the person’s best interests.

The exact rules vary between Australian jurisdictions.

Why Choosing The Right Attorney Matters

An Enduring Power of Attorney can involve significant responsibility.

The person you appoint may potentially manage important financial matters during difficult periods of your life.

For that reason, many people choose someone who:

Is trustworthy.
Can manage money responsibly.
Communicates clearly.
Understands their responsibilities.
Will act in the person’s best interests.

The decision should not be rushed.

Choosing the right attorney can help create greater confidence for both you and your family.

How An Enduring Power Of Attorney Fits Into Estate Planning

An Enduring Power of Attorney is often just one part of a broader future planning strategy.

Many Australians also consider:

A will.
An Enduring Guardian.
An Advance Care Directive.
Superannuation beneficiary nominations.
Other estate planning arrangements.

Together, these documents can help create a more complete approach to future planning.

Real-Life Example

Susan lived independently and managed her own finances for many years.

After experiencing health complications, she found it increasingly difficult to stay on top of paperwork, banking and ongoing expenses.

Because she had previously appointed her son as her attorney, there was already a framework in place to help manage her financial affairs if needed.

Her family had greater clarity about who should handle important financial matters and what role each planning document played.

Frequently Asked Questions

Can an Enduring Power of Attorney access bank accounts?

Depending on the authority granted and the laws that apply, an attorney may be able to assist with banking and financial matters.

Can an attorney sell property?

The powers available depend on the document and state or territory laws. Professional advice should be obtained regarding specific circumstances.

Can an attorney make medical decisions?

In many situations, medical and personal decisions are covered by separate documents such as Enduring Guardianship or Advance Care Directives.

Can I appoint more than one attorney?

The options available vary between jurisdictions. Some people choose multiple attorneys, depending on their circumstances.

Does an Enduring Power of Attorney continue if I lose capacity?

That is generally the purpose of an Enduring Power of Attorney. However, rules vary between Australian states and territories.

Sources

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Disclaimer

This article provides general information only and is not legal advice. Enduring Power of Attorney laws vary between Australian states and territories. Professional legal advice should be obtained before creating, changing or relying on legal documents.