When it comes to planning for the future, especially in legal and medical matters, understanding the difference between power of attorney and enduring arrangements is crucial. Many Australians are confused by the variety of terms used — including general power of attorney, enduring power of attorney, and enduring guardianship. While these documents may seem similar, they serve distinct purposes and are used under different circumstances.
This guide will walk you through what each term means, how they differ, and why having the right documents in place matters — especially if you’re planning for aged care, serious illness, or simply want peace of mind for your family.
What Is a Power of Attorney?
A Power of Attorney (POA) is a legal document that allows you (the principal) to appoint another person (the attorney) to make decisions on your behalf. These decisions can relate to financial or legal matters, such as:
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Paying bills
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Managing property
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Handling business transactions
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Accessing bank accounts
Types of Power of Attorney in Australia
There are two main types:
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General Power of Attorney
This is used when you need someone to act on your behalf temporarily — for example, if you’re travelling overseas. It ends if you lose mental capacity. -
Enduring Power of Attorney
This type continues to operate even if you lose the ability to make decisions yourself, such as due to dementia or a serious accident. This is where the term enduring becomes important.
What Is an Enduring Power of Attorney?
An Enduring Power of Attorney (EPA) is similar to a general POA, but with one key difference: it remains in effect if you lose capacity.
In Australia, EPAs are regulated at the state level. For example:
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In Queensland, you can appoint someone to make decisions about financial and personal (including health) matters.
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In New South Wales, financial matters are covered by an EPA, but personal/health matters require a separate document called an Enduring Guardianship.
Difference Between Power of Attorney and Enduring
Let’s clarify the difference between power of attorney and enduring power of attorney in practical terms:
| Feature | General Power of Attorney | Enduring Power of Attorney |
|---|---|---|
| Purpose | Legal/financial decisions | Legal, financial, and sometimes personal decisions |
| When it starts | Immediately or from a set date | Immediately or when you lose capacity |
| When it ends | If you lose mental capacity | Continues after loss of capacity |
| Covers health decisions? | No | Only in some states (e.g., QLD) |
| Legal recognition | Valid while the principal has capacity | Recognised even after incapacity |
In short, a general POA is ideal for temporary use, while an enduring power of attorney is essential for long-term planning.
What Is Enduring Guardianship?
Another common point of confusion is the difference between power of attorney and enduring guardianship. Let’s explore this.
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An Enduring Guardianship is a legal document that appoints someone to make lifestyle and health decisions on your behalf, such as:
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Where you live
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What medical treatment you receive
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Who you have contact with
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Unlike a POA, it does not cover financial decisions.
This document is only activated when you lose the capacity to make personal decisions.
State Differences Matter
In NSW, enduring guardianship is entirely separate from an enduring power of attorney. You often need both if you want full coverage of your affairs. In Queensland, however, an enduring power of attorney can include personal matters.
Common Misunderstandings Cleared Up
1. “Power of attorney gives someone control over everything.”
Not true. A general POA is limited and ends if you lose capacity. Only an enduring power of attorney continues if you can’t make decisions anymore — and even then, only in the areas you’ve authorised.
2. “Enduring guardianship and enduring power of attorney are the same.”
Incorrect. They apply to different decision-making areas:
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EPA = financial and legal
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Enduring guardian = health and lifestyle
3. “You only need these documents when you’re old.”
Wrong again. Anyone can have an accident, serious illness, or sudden disability. These legal tools are for everyone, not just seniors.
Why You Should Have an EPA and an Enduring Guardian
It’s not about expecting the worst. It’s about preparing for the unexpected. With an enduring power of attorney and an enduring guardianship, you have peace of mind that:
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Your wishes will be followed
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Someone you trust will manage your affairs
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Your family avoids legal complications through QCAT or a tribunal
How to Set Up a Power of Attorney or Enduring Guardianship in Australia
Each Australian state and territory has its own forms and rules. Here’s a brief overview:
| State | EPA Covers Health? | Enduring Guardian Separate? | Key Body |
|---|---|---|---|
| NSW | No | Yes | NSW Trustee & Guardian |
| QLD | Yes | No | Queensland Government |
| VIC | No | Yes | Office of the Public Advocate |
| SA | Yes (limited) | No | Legal Services Commission |
| WA | Yes (personal matters) | No | Department of Justice WA |
Basic Steps
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Download the correct form from your state government’s website
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Choose your attorney/guardian carefully — must be 18+, not bankrupt (for financial), and not your health provider
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Sign in front of a witness (usually a lawyer, JP, or commissioner for declarations)
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Register the document if required (e.g., for real estate decisions in NSW)
Choosing the Right Person: What to Look For
You’re giving someone a lot of responsibility. Choose someone who:
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Understands your values and preferences
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Can handle conflict and stress
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Is financially responsible and trustworthy
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Will communicate with your family or healthcare providers
You can also appoint multiple attorneys or guardians, and specify how they must act (jointly, independently, or by majority).
Frequently Asked Questions
Can you have both a power of attorney and an enduring power of attorney?
Yes, but usually an enduring POA replaces the general one once you need long-term protection. You don’t need both active at the same time unless there’s a specific reason.
Can I cancel a power of attorney?
Yes, as long as you have mental capacity, you can revoke it at any time in writing.
What happens if I don’t have one and lose capacity?
A family member may need to apply to a tribunal (e.g., QCAT in Queensland or NCAT in NSW) to be appointed as your decision-maker — which can take time and may not reflect your wishes.
Final Thoughts
Understanding the difference between power of attorney and enduring power of attorney — and how they differ from enduring guardianship — is essential for anyone planning for the future. Whether you’re protecting your assets, managing healthcare choices, or just wanting to reduce stress on loved ones, these legal tools are your safety net.
Don’t wait for a crisis. Set up your enduring power of attorney and enduring guardianship documents now and rest easy knowing you’ve made informed, protective choices for yourself and your family.
