Understanding roles: Power of Attorney, Financial Manager and Enduring Guardian
People often have trouble distinguishing between the roles of a Financial Manager, Power of Attorney and a Guardian, as well as understanding what decisions each can legally make and when they should be appointed.
Put simply, each one has its own set of responsibilities, and there’s a right time to appoint each type. It’s smart to think about these things early so your wishes are clear, and your loved ones know what to do if things get tough.
Appointing a Power of Attorney or Enduring Guardian while you still have capacity helps avoid drama later and ensures your choices are respected.
Power of Attorney
A Power of Attorney enables you to appoint a person or trustee organisation of your choice to manage your legal or financial affairs, should you become unable or unwilling to control these yourself.
Financial Manager
A Financial Manager is typically appointed by the Supreme Court or NSW Civil and Administrative Tribunal (NCAT) to manage your financial and legal affairs if you have lost your decision-making capacity, did not appoint a Power of Attorney when you had the capacity to do so, and are no longer able to make those decisions for yourself. You should note that a Financial Manager or Power of Attorney cannot make medical, health and lifestyle decisions on your behalf.
Enduring Guardian
An Enduring Guardian is a person you choose to make medical, health and lifestyle decisions on your behalf if you lose the capacity to make those decisions for yourself.
If you did not appoint a person to be your Enduring Guardian and you lose capacity to make your own medical, health and lifestyle decisions, an application can be made by anyone to NCAT or the Supreme Court to appoint a guardian on your behalf. NCAT or the Supreme Court may appoint a Private Guardian or the NSW Public Guardian.
Private Guardian vs NSW Public Guardian
A Private Guardian is generally someone who has a close and continuing relationship with you and is willing and able to make those medical, health and lifestyle decisions on your behalf if required.
If there is no significant person in your life who is willing or able to take on the role of a Private Guardian, NCAT or the Supreme Court can appoint the NSW Public Guardian to make medical, health and lifestyle decisions on your behalf.
NCAT and the Supreme Court will always prioritise the appointment of a willing and able Private Guardian rather than the NSW Public Guardian.
Please remember, neither the Private Guardian nor the NSW Public Guardian can make financial or legal decisions on your behalf.
For more information, visit: NSW Trustee and Guardian | NSW Government