Knowledge Bank
10 Common Estate Planning Mistakes Western Australian Families Make
Quick Answer
Most estate-planning mistakes arise because:
- something important was never put in place;
- an arrangement no longer reflects current circumstances; or
- separate parts of the plan lead towards different outcomes.
The following ten mistakes provide a practical way to check whether your arrangements remain complete, current and connected.
Introduction
Estate-planning problems do not always arise because a document is invalid.
A Will may remain valid but no longer reflect the family. A superannuation nomination may still exist but point in a different direction. The person appointed years ago may no longer be suitable or available.
Sometimes the problem is not one document.
It is the gap between the different parts of the plan.
The following ten mistakes identify where those gaps commonly arise.
Practical Point
A document can be legally valid and still be practically outdated or disconnected.
A useful review asks not only whether each document remains valid, but whether all parts of the plan still work together.
Mistake 1 – Not Having A Valid Will
Without a valid Will, Western Australian law determines who may administer the estate and how estate assets are distributed.
The result may be different from what the person intended.
A Will is therefore the foundation for carrying their decisions forward after they pass.
Mistake 2 – Assuming The Will Controls Every Asset
A Will generally controls assets that form part of the estate.
Superannuation, jointly owned property, trust assets, company-owned assets and some insurance benefits may follow separate arrangements.
Those pathways should be identified and checked rather than assumed.
Mistake 3 – Leaving Superannuation Disconnected From The Plan
Superannuation may be paid under a beneficiary nomination or a decision by the fund rather than under the Will.
The mistake is not simply forgetting superannuation.
It is failing to check whether its destination supports the rest of the estate plan.
Mistake 4 – Failing To Review The Plan As Life Changes
Relationships, family responsibilities, assets and the people available to act can all change over time.
A plan should be reviewed after a significant change and periodically even where no obvious event has occurred.
The question is whether the plan still reflects the person’s current intentions—not merely whether the documents still exist.
Mistake 5 – Using A Standard Will Without Checking Whether It Fits
A simple Will may be entirely suitable for a straightforward family and asset structure.
A more detailed Will may be needed where there are blended-family interests, vulnerable beneficiaries, trusts, businesses or particular succession objectives.
The correct question is not whether the Will is simple.
It is whether it fits the circumstances.
Mistake 6 – Assuming A Direct Inheritance Is Always Appropriate
Leaving an inheritance directly to a beneficiary may be entirely appropriate.
In other circumstances, age, disability, financial vulnerability, relationship risks or difficulty managing money may justify a different arrangement.
The mistake is choosing the method of inheritance without considering the person who will receive it.
A Testamentary Trust is one possible option where additional management, flexibility or separation is needed.
Mistake 7 – Failing To Plan The Sequence For A Blended Family
In a blended family, the surviving spouse or partner may need support immediately while children are intended to benefit later.
Leaving everything outright to the survivor may be appropriate, but it does not guarantee what will eventually remain for the first person’s children.
The timing and sequence of benefits should therefore be deliberate.
Mistake 8 – Not Planning For Decision-Making During Life
A Will operates after passing.
It does not authorise someone to manage financial, personal or treatment decisions during life.
An Enduring Power of Attorney and an Enduring Power of Guardianship perform different roles if the person can no longer make the relevant decisions themselves.
Without appropriate arrangements, authority may need to be determined through another process.
Mistake 9 – Choosing People Without Considering The Role Or A Backup
Executors, attorneys, enduring guardians and Trustees perform different roles.
The closest relative is not automatically the best person for every appointment.
Each choice should consider trust, judgement, availability, practical ability and whether a suitable substitute is named if the first choice cannot act.
Mistake 10 – Treating Estate Planning As A Collection Of Documents
A Will, EPA, EPG, superannuation nomination and trust arrangement do not operate merely because they have been placed together in a folder.
Each performs a different function and may operate at a different stage.
Estate planning is the process of making sure those separate arrangements carry the same considered intentions forward without avoidable gaps or contradictions.
Final Thoughts
Most estate-planning mistakes are not caused by one obviously defective document.
They arise because something is missing, circumstances have changed or separate arrangements no longer support the same outcome.
A sound estate plan remains current, connected and practical.
The people carrying responsibility and the documents giving them authority may change from one stage to the next, but the person’s underlying intentions should remain clear throughout.