Don’t Wait Until It’s Too Late: Why Setting Up an EPA Is one of the Smartest Things You’ll Do This Year (Even If You’re Under 40)

4 Jul 2025

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Let’s talk about something that’s more thrilling than it sounds: Enduring Powers of Attorney.

Wait - don’t click away.

We get it. "Enduring Powers of Attorney" (EPAs) sounds like paperwork, lawyers, and conversations you’d rather avoid until you're retired, retired again, or watching Shortland Street reruns on full volume. But here's the twist: EPAs are not just for your Nana. In fact, setting one up is the ultimate grown-up flex - smart, practical, and surprisingly empowering (pun very much intended).

So, what is an EPA?

In New Zealand, EPAs are legal documents where you appoint someone you have confidence in to make decisions for you if you lose the ability to make decisions yourself. There are two types:

1. EPA for Property - This lets your chosen person manage things like your bank accounts, your house, or even that classic car you swear you’ll restore one day. This EPA can kick in while you have mental capacity and continues to be in effect if you lose mental capacity or solely if you lose mental capacity.
2. EPA for Personal Care and Welfare - This one covers health, accommodation, and general wellbeing decisions. Importantly, it only kicks in when you’re no longer mentally capable.

You could say that EPAs are the legal version of choosing your “designated driver for life decisions.”

But I'm young(ish) and healthy - do I really need one?

Yes. Here’s why:

• Accidents happen. You could get hit by a rogue e-scooter on Queen Street tomorrow.

• It avoids court applications. Without an EPA, your family would need to apply to the Family Court for the right to manage your affairs. That’s stressful, time-consuming, and expensive - just when they should be focusing on you.

• You stay in control. You get to pick who acts for you, what they can do, and when they can do it. That’s much better than a judge deciding later who should take the reins.

Choose your people wisely

This isn’t the time to pick your flakiest cousin because she “did law for like one semester.” You want someone you trust absolutely - a sibling, a spouse, a BFF who’s really good with spreadsheets. For your property EPA, you can even appoint more than one attorney and require them to act jointly (together) or severally (individually).

Hot tip: If you’re appointing someone for property, make sure they understand finance. If you’re appointing someone for personal care, make sure they care, and know what your wishes around medical decisions would be.

It doesn't have to be 'All or Nothing'

You can place conditions or restrictions on your EPAs. For example:

• “I only want you to sell my house if I’m in permanent residential care and there are no other viable options.”

• “Put me in a home that has decent wi-fi or at least a weekly pub quiz.”

You can also specify who your attorney must consult before making decisions - your partner, your kids, your accountant or lawyer, or even your local comedy club (okay, maybe not the comedy club).

The paperwork isn't that bad

Yes, lawyers are involved. But it’s really a straightforward process:

1. Talk to a lawyer (or a legal executive under supervision).
2. Choose your attorneys.
3. Ask your lawyer to prepare the documents for you based on your conversations with them.
4. Sign in front of a lawyer (they make sure you’re not being pressured and ensure you understand the importance of what you’re signing).
5. Store the documents somewhere safe, but not so safe you forget where.

Bonus: You can change or cancel your EPA anytime, as long as you’re mentally capable.

Final thoughts

Setting up an EPA is like buying insurance: you hope you’ll never need it, but if you do, you’ll be so glad it’s there. It’s about futureproofing your life, protecting your loved ones from unnecessary stress, and making sure your decisions are made by people you trust.

So next time you’re updating your Spotify playlist or re-watching The Office, maybe also book an appointment to sort your EPAs. You’ll thank yourself later.

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Trust and Asset Planning