Passing Away Without an Estate Plan: What Happens in Australia
What the law decides, how assets are distributed, and why planning ahead matters.
Most people assume their assets will “just go to family” when they pass away.
In Australia, that is not how it works.
When someone dies without a valid estate plan, the law steps in and decides who receives what, when they receive it, and how long it takes. The outcome is often very different from what the person would have chosen.
This article explains what happens if you pass away without an estate plan, why it matters, and how a little planning can prevent unnecessary stress for the people you care about.
What It Means to Pass Away Without an Estate Plan
Passing away without a valid Will is known as dying intestate.
When this happens:
You do not choose who inherits your assets
You do not choose who manages your estate
You do not control timing or structure of distributions
Instead, state intestacy laws determine the outcome.
When there is no plan, the law becomes your plan.
What It Means to Pass Away Without an Estate Plan
Passing away without a valid Will is known as dying intestate.
When this happens:
You do not choose who inherits your assets
You do not choose who manages your estate
You do not control timing or structure of distributions
Instead, state intestacy laws determine the outcome.
When there is no plan, the law becomes your plan.
What It Means to Pass Away Without an Estate Plan
Passing away without a valid Will is known as dying intestate.
When this happens:
You do not choose who inherits your assets
You do not choose who manages your estate
You do not control timing or structure of distributions
Instead, state intestacy laws determine the outcome.
When there is no plan, the law becomes your plan.
What It Means to Pass Away Without an Estate Plan
Passing away without a valid Will is known as dying intestate.
When this happens:
You do not choose who inherits your assets
You do not choose who manages your estate
You do not control timing or structure of distributions
Instead, state intestacy laws determine the outcome.
When there is no plan, the law becomes your plan.
Who Decides What Happens Next?
If you pass away without a Will:
The Supreme Court appoints an administrator
This person is often a family member, but not always the one you would choose
The process is typically slower and more expensive than administering a Will
During this time, assets are usually frozen. Loved ones may not be able to access funds when they need them most.
Who Decides What Happens Next?
If you pass away without a Will:
The Supreme Court appoints an administrator
This person is often a family member, but not always the one you would choose
The process is typically slower and more expensive than administering a Will
During this time, assets are usually frozen. Loved ones may not be able to access funds when they need them most.
Who Decides What Happens Next?
If you pass away without a Will:
The Supreme Court appoints an administrator
This person is often a family member, but not always the one you would choose
The process is typically slower and more expensive than administering a Will
During this time, assets are usually frozen. Loved ones may not be able to access funds when they need them most.
Who Decides What Happens Next?
If you pass away without a Will:
The Supreme Court appoints an administrator
This person is often a family member, but not always the one you would choose
The process is typically slower and more expensive than administering a Will
During this time, assets are usually frozen. Loved ones may not be able to access funds when they need them most.
How Assets Are Distributed Under Intestacy Laws
Each Australian state and territory has its own intestacy rules, but the outcomes are broadly similar.
General Distribution Outcomes (Simplified)
Family Situation | What Typically Happens |
|---|---|
Married or de facto, no children | Spouse usually receives the estate |
Married or de facto, with children | Estate is split between spouse and children |
No spouse, children only | Children inherit the estate |
No immediate family | More distant relatives may inherit |
No eligible relatives | Estate may pass to the state |
This process does not consider:
Personal relationships
Estrangements
Stepchildren not legally adopted
Verbal wishes or promises
The law follows a formula. It does not understand families.
How Assets Are Distributed Under Intestacy Laws
Each Australian state and territory has its own intestacy rules, but the outcomes are broadly similar.
General Distribution Outcomes (Simplified)
Family Situation | What Typically Happens |
|---|---|
Married or de facto, no children | Spouse usually receives the estate |
Married or de facto, with children | Estate is split between spouse and children |
No spouse, children only | Children inherit the estate |
No immediate family | More distant relatives may inherit |
No eligible relatives | Estate may pass to the state |
This process does not consider:
Personal relationships
Estrangements
Stepchildren not legally adopted
Verbal wishes or promises
The law follows a formula. It does not understand families.
How Assets Are Distributed Under Intestacy Laws
Each Australian state and territory has its own intestacy rules, but the outcomes are broadly similar.
General Distribution Outcomes (Simplified)
Family Situation | What Typically Happens |
|---|---|
Married or de facto, no children | Spouse usually receives the estate |
Married or de facto, with children | Estate is split between spouse and children |
No spouse, children only | Children inherit the estate |
No immediate family | More distant relatives may inherit |
No eligible relatives | Estate may pass to the state |
This process does not consider:
Personal relationships
Estrangements
Stepchildren not legally adopted
Verbal wishes or promises
The law follows a formula. It does not understand families.
How Assets Are Distributed Under Intestacy Laws
Each Australian state and territory has its own intestacy rules, but the outcomes are broadly similar.
General Distribution Outcomes (Simplified)
Family Situation | What Typically Happens |
|---|---|
Married or de facto, no children | Spouse usually receives the estate |
Married or de facto, with children | Estate is split between spouse and children |
No spouse, children only | Children inherit the estate |
No immediate family | More distant relatives may inherit |
No eligible relatives | Estate may pass to the state |
This process does not consider:
Personal relationships
Estrangements
Stepchildren not legally adopted
Verbal wishes or promises
The law follows a formula. It does not understand families.
Why This Often Creates Problems
Intestacy can create outcomes that feel unfair, confusing, or distressing.
Common issues include:
Assets split in ways the deceased never intended
Family conflict over decisions and timing
Long delays before funds are released
Increased legal and administrative costs
Even close families can struggle under the pressure of uncertainty.
Why This Often Creates Problems
Intestacy can create outcomes that feel unfair, confusing, or distressing.
Common issues include:
Assets split in ways the deceased never intended
Family conflict over decisions and timing
Long delays before funds are released
Increased legal and administrative costs
Even close families can struggle under the pressure of uncertainty.
Why This Often Creates Problems
Intestacy can create outcomes that feel unfair, confusing, or distressing.
Common issues include:
Assets split in ways the deceased never intended
Family conflict over decisions and timing
Long delays before funds are released
Increased legal and administrative costs
Even close families can struggle under the pressure of uncertainty.
Why This Often Creates Problems
Intestacy can create outcomes that feel unfair, confusing, or distressing.
Common issues include:
Assets split in ways the deceased never intended
Family conflict over decisions and timing
Long delays before funds are released
Increased legal and administrative costs
Even close families can struggle under the pressure of uncertainty.
What Happens to Specific Assets?
Not all assets are treated the same way.
Asset Treatment at Death
Asset Type | What Happens Without Planning |
|---|---|
Property | Distributed under intestacy laws |
Bank accounts | May be frozen until administration is granted |
Superannuation | Trustee decides, not automatically part of the estate |
Life insurance | Depends on ownership and beneficiaries |
Joint assets | Often pass to the surviving owner |
Personal items | Included in estate distribution |
Superannuation is a common surprise.
It does not automatically follow intestacy laws and is often decided separately.
What Happens to Specific Assets?
Not all assets are treated the same way.
Asset Treatment at Death
Asset Type | What Happens Without Planning |
|---|---|
Property | Distributed under intestacy laws |
Bank accounts | May be frozen until administration is granted |
Superannuation | Trustee decides, not automatically part of the estate |
Life insurance | Depends on ownership and beneficiaries |
Joint assets | Often pass to the surviving owner |
Personal items | Included in estate distribution |
Superannuation is a common surprise.
It does not automatically follow intestacy laws and is often decided separately.
What Happens to Specific Assets?
Not all assets are treated the same way.
Asset Treatment at Death
Asset Type | What Happens Without Planning |
|---|---|
Property | Distributed under intestacy laws |
Bank accounts | May be frozen until administration is granted |
Superannuation | Trustee decides, not automatically part of the estate |
Life insurance | Depends on ownership and beneficiaries |
Joint assets | Often pass to the surviving owner |
Personal items | Included in estate distribution |
Superannuation is a common surprise.
It does not automatically follow intestacy laws and is often decided separately.
What Happens to Specific Assets?
Not all assets are treated the same way.
Asset Treatment at Death
Asset Type | What Happens Without Planning |
|---|---|
Property | Distributed under intestacy laws |
Bank accounts | May be frozen until administration is granted |
Superannuation | Trustee decides, not automatically part of the estate |
Life insurance | Depends on ownership and beneficiaries |
Joint assets | Often pass to the surviving owner |
Personal items | Included in estate distribution |
Superannuation is a common surprise.
It does not automatically follow intestacy laws and is often decided separately.
The Superannuation Trap
Superannuation is held in trust, not owned personally.
If you do not have a valid beneficiary nomination:
The super fund trustee decides who receives the benefit
This may not align with your family structure or wishes
Many Australians think their super is covered by default. It often is not.
This is one of the most common and costly oversights in estate planning.
The Superannuation Trap
Superannuation is held in trust, not owned personally.
If you do not have a valid beneficiary nomination:
The super fund trustee decides who receives the benefit
This may not align with your family structure or wishes
Many Australians think their super is covered by default. It often is not.
This is one of the most common and costly oversights in estate planning.
The Superannuation Trap
Superannuation is held in trust, not owned personally.
If you do not have a valid beneficiary nomination:
The super fund trustee decides who receives the benefit
This may not align with your family structure or wishes
Many Australians think their super is covered by default. It often is not.
This is one of the most common and costly oversights in estate planning.
The Superannuation Trap
Superannuation is held in trust, not owned personally.
If you do not have a valid beneficiary nomination:
The super fund trustee decides who receives the benefit
This may not align with your family structure or wishes
Many Australians think their super is covered by default. It often is not.
This is one of the most common and costly oversights in estate planning.
Minor Children: One of the Biggest Risks
If you pass away without an estate plan and have young children:
You do not appoint a guardian
The court decides who will care for them
Funds may be held in trust until a certain age
This can create uncertainty at the worst possible time.
Estate planning is as much about care as it is about money.
Minor Children: One of the Biggest Risks
If you pass away without an estate plan and have young children:
You do not appoint a guardian
The court decides who will care for them
Funds may be held in trust until a certain age
This can create uncertainty at the worst possible time.
Estate planning is as much about care as it is about money.
Minor Children: One of the Biggest Risks
If you pass away without an estate plan and have young children:
You do not appoint a guardian
The court decides who will care for them
Funds may be held in trust until a certain age
This can create uncertainty at the worst possible time.
Estate planning is as much about care as it is about money.
Minor Children: One of the Biggest Risks
If you pass away without an estate plan and have young children:
You do not appoint a guardian
The court decides who will care for them
Funds may be held in trust until a certain age
This can create uncertainty at the worst possible time.
Estate planning is as much about care as it is about money.
The Financial Cost of Not Planning
Dying intestate is usually more expensive than having a Will.
Costs can include:
Court applications
Legal fees
Administrative delays
Additional tax complexity
Scenario | Typical Outcome |
|---|---|
Valid estate plan | Faster, clearer, lower cost |
No estate plan | Slower, more complex, more expensive |
The emotional cost to family is often far greater than the financial one.
The Financial Cost of Not Planning
Dying intestate is usually more expensive than having a Will.
Costs can include:
Court applications
Legal fees
Administrative delays
Additional tax complexity
Scenario | Typical Outcome |
|---|---|
Valid estate plan | Faster, clearer, lower cost |
No estate plan | Slower, more complex, more expensive |
The emotional cost to family is often far greater than the financial one.
The Financial Cost of Not Planning
Dying intestate is usually more expensive than having a Will.
Costs can include:
Court applications
Legal fees
Administrative delays
Additional tax complexity
Scenario | Typical Outcome |
|---|---|
Valid estate plan | Faster, clearer, lower cost |
No estate plan | Slower, more complex, more expensive |
The emotional cost to family is often far greater than the financial one.
The Financial Cost of Not Planning
Dying intestate is usually more expensive than having a Will.
Costs can include:
Court applications
Legal fees
Administrative delays
Additional tax complexity
Scenario | Typical Outcome |
|---|---|
Valid estate plan | Faster, clearer, lower cost |
No estate plan | Slower, more complex, more expensive |
The emotional cost to family is often far greater than the financial one.
Why People Put Estate Planning Off
Common reasons include:
“I don’t have enough assets yet”
“My situation is simple”
“I’ll get to it later”
Discomfort talking about death
The reality is that estate planning becomes more complex and more urgent as life progresses.
Why People Put Estate Planning Off
Common reasons include:
“I don’t have enough assets yet”
“My situation is simple”
“I’ll get to it later”
Discomfort talking about death
The reality is that estate planning becomes more complex and more urgent as life progresses.
Why People Put Estate Planning Off
Common reasons include:
“I don’t have enough assets yet”
“My situation is simple”
“I’ll get to it later”
Discomfort talking about death
The reality is that estate planning becomes more complex and more urgent as life progresses.
Why People Put Estate Planning Off
Common reasons include:
“I don’t have enough assets yet”
“My situation is simple”
“I’ll get to it later”
Discomfort talking about death
The reality is that estate planning becomes more complex and more urgent as life progresses.
What an Estate Plan Actually Does
A well-structured estate plan allows you to:
Decide who inherits your assets
Appoint trusted decision-makers
Protect vulnerable beneficiaries
Minimise delays and disputes
Align super, insurance, and personal assets
Estate planning is not about expecting the worst. It is about protecting the people you love.
What an Estate Plan Actually Does
A well-structured estate plan allows you to:
Decide who inherits your assets
Appoint trusted decision-makers
Protect vulnerable beneficiaries
Minimise delays and disputes
Align super, insurance, and personal assets
Estate planning is not about expecting the worst. It is about protecting the people you love.
What an Estate Plan Actually Does
A well-structured estate plan allows you to:
Decide who inherits your assets
Appoint trusted decision-makers
Protect vulnerable beneficiaries
Minimise delays and disputes
Align super, insurance, and personal assets
Estate planning is not about expecting the worst. It is about protecting the people you love.
What an Estate Plan Actually Does
A well-structured estate plan allows you to:
Decide who inherits your assets
Appoint trusted decision-makers
Protect vulnerable beneficiaries
Minimise delays and disputes
Align super, insurance, and personal assets
Estate planning is not about expecting the worst. It is about protecting the people you love.
A Smarter Way to Think About Estate Planning
Instead of asking:
“Do I really need an estate plan?”
Ask:
What would happen to my family if something happened to me tomorrow?
Would my wishes be clear, or assumed?
Would this make things easier, or harder, for the people I care about?
Clarity is one of the greatest gifts you can leave behind.
A Smarter Way to Think About Estate Planning
Instead of asking:
“Do I really need an estate plan?”
Ask:
What would happen to my family if something happened to me tomorrow?
Would my wishes be clear, or assumed?
Would this make things easier, or harder, for the people I care about?
Clarity is one of the greatest gifts you can leave behind.
A Smarter Way to Think About Estate Planning
Instead of asking:
“Do I really need an estate plan?”
Ask:
What would happen to my family if something happened to me tomorrow?
Would my wishes be clear, or assumed?
Would this make things easier, or harder, for the people I care about?
Clarity is one of the greatest gifts you can leave behind.
A Smarter Way to Think About Estate Planning
Instead of asking:
“Do I really need an estate plan?”
Ask:
What would happen to my family if something happened to me tomorrow?
Would my wishes be clear, or assumed?
Would this make things easier, or harder, for the people I care about?
Clarity is one of the greatest gifts you can leave behind.
Remember This
Passing away without an estate plan hands important decisions to the law, not to you.
For most Australians, that outcome is not intentional, and not ideal.
A simple, well-considered estate plan can:
Reduce stress
Prevent conflict
Protect loved ones
Ensure your wishes are respected
You do not need a perfect plan. You just need a clear one.
And the best time to create it is before anyone needs it.
Remember This
Passing away without an estate plan hands important decisions to the law, not to you.
For most Australians, that outcome is not intentional, and not ideal.
A simple, well-considered estate plan can:
Reduce stress
Prevent conflict
Protect loved ones
Ensure your wishes are respected
You do not need a perfect plan. You just need a clear one.
And the best time to create it is before anyone needs it.
Remember This
Passing away without an estate plan hands important decisions to the law, not to you.
For most Australians, that outcome is not intentional, and not ideal.
A simple, well-considered estate plan can:
Reduce stress
Prevent conflict
Protect loved ones
Ensure your wishes are respected
You do not need a perfect plan. You just need a clear one.
And the best time to create it is before anyone needs it.
Remember This
Passing away without an estate plan hands important decisions to the law, not to you.
For most Australians, that outcome is not intentional, and not ideal.
A simple, well-considered estate plan can:
Reduce stress
Prevent conflict
Protect loved ones
Ensure your wishes are respected
You do not need a perfect plan. You just need a clear one.
And the best time to create it is before anyone needs it.
Disclaimer:
This article has been prepared by Granada Wealth Advisory and is intended to provide general information of an educational nature only. It does not take into account your objectives, financial situation, or needs and should not be relied upon as personal financial advice.
Any views expressed are general in nature and may not be suitable for your individual circumstances. Before making any financial decisions, you should consider whether the information is appropriate to your situation and seek independent professional advice, including financial, legal, and tax advice where appropriate.
While every effort has been made to ensure the information contained in this article is accurate and up to date at the time of publication, information may change and Granada Wealth Advisory makes no representations or warranties as to the ongoing accuracy or completeness of the content.
No part of this article may be reproduced, distributed, or copied without prior written permission from Granada Wealth Advisory.
For further information about our services, including our Financial Services Guide and how we provide advice, please visit granadawa.com.au or contact Granada Wealth Advisory directly.
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Frequently Asked Questions
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Most Asked
Getting Started
Process & Fees
How do I get started with Granada Wealth Advisory?
What does a financial planner actually do? How do they help?
Why should I work with a financial planner?
How are financial planners regulated in Australia?
How do financial planners charge for their services?
How often should I meet with my financial planner?
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