Planning Financially for Life's Changes
PROTECTING YOUR FINANCIAL INDEPENDENCE
Why Planning Ahead is So Important
Life can change, sometimes very quickly. You might have an illness or an accident that means you need extra help for a while. Planning ahead for these moments is the best way to make sure you stay in charge of your money and your choices.
It's easier to make clear decisions when you are feeling well. This guide gives you simple steps to create a plan that protects you and gives you peace of mind.
Key Steps to Take Now
1. Choose Your Supporters
Having people you trust to help you with decisions is a smart way to stay in control of your life. This is called "supported decision-making."
You are always in charge: A supporter's job is to help you understand your options and communicate your choices. They don't take over or decide for you.
You can have more than one supporter: You might choose one person to help with health decisions and another to help with money matters. Supporters can be family, close friends, or professionals.
The most important rule: A supporter must always respect your wishes and values.
Making it Official (Power of Attorney)
For big financial decisions, it can be a good idea to make the arrangement official. A "Power of Attorney" is a legal document that lets you name a supporter who can make financial decisions for you, but only if you can't make them yourself. Think of it as a formal plan for "just in case." To set this up, please see Setting Up Legal Directives.
2 Create Your Important Papers Folder
Keep all your important papers together in one safe place. This folder should include your Financial and Legal Master List.
This folder is the map to your affairs. Make sure your trusted supporter knows exactly where to find it.
3 Make a Plan for Illness
If you know you are going to be in the hospital or unwell, you can take extra steps to protect your money and make life easier.
Ask your bank for extra monitoring: Let your bank know you will be in the hospital and ask if they can put extra monitoring or alerts on your accounts, just to be safe.
Consider a temporary "credit ban": If you are going to be very unwell for a while, you can ask for a temporary ban on new credit being taken out in your name. This is a strong step to protect you from scams.
Make sure someone can check your mail: A trusted person should check your mail for important bills or letters. You don't want to miss anything important while you're focused on getting better.
Set up key payments: If you can, set up automatic payments for important bills like rent or electricity before you go. This means you don't have to worry about them.
4 Think About Future Care (Aged Care)
Thinking about if you'll need extra care in the future can feel big, but a little planning now keeps you in control of your choices later.
Understand the costs: It's a good idea to get a general sense of what aged care might cost. Please see Planning for Aged Care.
Talk about your wishes: Have a gentle conversation with your family or trusted supporter about what is important to you for the future. Do you want to stay at home for as long as possible? Writing these wishes down can be very helpful for them. Please see Templates: Wishes.
Get some advice: You can talk to a financial advisor who understands aged care. They can help you understand your options and make a plan that works for you.
5 The Emergency Fund (For Your Supporter)
It’s wise to have a small amount of money set aside for emergencies, like a leaky roof or an urgent medical need. It’s even smarter to make sure your Attorney can get to it if you’re unwell and can't get to the bank yourself.
Set Up a Separate Account: Open a simple savings account with a small amount of money in it—just enough to cover an urgent cost.
Tell Your Attorney: Let the person you appointed in your Power of Attorney know that this account exists for emergencies. They can only use this money for your benefit.
A Simple Yearly Check-up
Once a year, ask yourself these simple questions to make sure your plan is up to date.
[ ] Do I have a Power of Attorney document, and is it up to date?
[ ] Does my trusted supporter know where my important papers are?
[ ] Have I written down my wishes about my money and future care?
[ ] Are my contact details up to date with my bank?
Where to Get Help When You Need It
You don't have to do this alone. There are many free services that can help you.
Community legal centres
My Aged Care
Senior support phone lines
Your local council
Putting a plan in place is a true gift to yourself and the people you trust.
Disclaimer: This guide provides general information only and is not a substitute for professional advice. The information is provided "as is," without any guarantee of its accuracy or completeness.
Any action you take based on the contents of this guide is at your own risk. We are not liable for any loss or damage resulting from its use. Please consult a qualified professional to address your individual circumstances.