Estate Planning

Protect Your Legacy

If you’re a doctor, dentist or healthcare professional in Australia, chances are you’ve spent years building up wealth through hard work, long hours, and probably a fair bit of sacrifice. But here’s something that often gets pushed to the side… what actually happens to that wealth when you’re no longer around?It’s not the most comfortable topic, but it’s an important one. And this is where testamentary trusts come in.

What Is a Testamentary Trust?

In simple terms, a testamentary trust is a trust that is created through your Will after you pass away.
Instead of your assets going directly to your spouse or children in one lump sum, your Will sets up a trust that holds and manages those assets on their behalf. There’s a trustee you choose (often your spouse or a trusted family member), and they manage the assets based on the rules you set out in your Will. So instead of everything being handed over at once, your wealth is looked after and distributed in a more structured way.

Why Does This Matter For Doctors?

Most doctors and healthcare professionals don’t have simple financial lives. Over time, you might build:A medical or dental practice, buy Investment properties , Shares and other investments and large superannuation balances. With that comes both opportunity and risk. So estate planning for doctors usually needs to go beyond a basic “everything goes to my spouse” type of Will. Thats the biggest mistake Doctors make.

Tax Savings For Your Family

One of the main advantages is how income is taxed for children. Normally, if kids receive investment income directly, they’re taxed at very high penalty rates. But with a testamentary trust, income distributed to children can often be taxed at adult marginal tax rates instead. Over time, that can make a meaningful difference.

Protection For Your Wealth

Another big one is protection. Because the assets sit inside a trust (rather than directly in someone’s personal name), they can be better protected if something goes wrong down the track, like: A divorce or relationship breakdown. Financial difficulty or bankruptcy. Legal or creditor claims against a beneficiary

For doctors, who already have some exposure to professional risk during their working life, this can be particularly relevant for protecting family wealth.

Your Wealth Took a Lifetime to Build. Protect It for Generations

For doctors and healthcare professionals, estate planning is about more than simply having a Will. It’s about protecting the wealth you’ve worked hard to build and ensuring it is passed on and managed in the way you intend. A testamentary trust can provide greater protection, flexibility and control for your family’s future.

As Estate Planning Specialists, we help doctors and healthcare professionals develop comprehensive estate plans designed to protect assets, provide for loved ones and preserve your legacy. Working with our trusted legal team, we can assist with organising your Will and estate planning documents without the need to visit a lawyer’s office.

Contact us today to discuss your estate planning needs. Simply complete your details in the enquiry form and we’ll be in touch.