Alternatives to the Public Trustee for Enduring Power of Attorney in South Australia

The Short Answer

The best alternative to the Public Trustee managing your financial affairs in South Australia is executing an Enduring Power of Attorney (Form P2) while you still have legal capacity. This lets you choose your own attorney — a trusted family member, a friend, or a private trustee company — instead of having the South Australian Civil and Administrative Tribunal (SACAT) appoint the Public Trustee on your behalf. The Public Trustee charges a capital commission of up to 4.4% on the first $200,000 of assets plus ongoing administration fees. A private EPA costs nothing to execute beyond a witness and, with structured guidance like the South Australia Power of Attorney Kit, can be completed in a single day.

The Public Trustee may be appointed when an individual has lost capacity without an EPA and SACAT cannot appoint a suitable private administrator — for example, when no family member comes forward, a proposed administrator is unsuitable, or family members disagree.

Why the Public Trustee Gets Appointed

The Public Trustee does not seek out appointments — SACAT assigns them. This happens through a specific chain of events:

1. An individual loses cognitive capacity (dementia, stroke, traumatic brain injury)
2. No Enduring Power of Attorney was executed while they had capacity
3. A family member, the Office of the Public Advocate, or a concerned institution applies to SACAT for administration and guardianship orders
4. SACAT assesses the application, holds a hearing, and appoints an administrator

At step 4, SACAT will appoint a private administrator (usually a family member) if they are suitable, willing, and uncontested. But if family members disagree on who should manage the person's affairs, if SACAT has concerns about the proposed administrator's suitability, or if no family member comes forward, the tribunal appoints the Public Trustee as administrator of last resort.

Once appointed, the Public Trustee manages the person's financial affairs under statutory authority — and the fee structure begins.

The Public Trustee's Fee Structure

The Public Trustee's fees are set by regulation and apply when the Public Trustee administers an order:

For a protected person with $300,000 in assets (the family home plus superannuation), the capital commission alone is $12,100 under the published tiered schedule — before any ongoing administration fees. The commission applies to the gross asset base, and ongoing fees continue for the duration of the administration order.

The Five Alternatives

1. Execute an Enduring Power of Attorney Now (Best Option)

What it is: Form P2 under the Powers of Attorney and Agency Act 1984 — a legal instrument that appoints one or more attorneys to manage your financial affairs if you lose capacity.

Cost: Free (the form is a free download from Land Services SA or the Legal Services Commission). Witnessing by a JP at Service SA is free. A structured completion kit like the South Australia Power of Attorney Kit costs $24.

Why it works: An EPA can avoid SACAT. If a valid EPA is in place and its commencement condition has been met when you lose capacity, your nominated attorney can manage financial affairs without a tribunal hearing or Public Trustee involvement. The EPA must be executed while you have legal capacity, which is why acting before a crisis is essential.

Limitation: Requires legal capacity at the time of signing. If capacity is already lost, this option is unavailable.

2. Apply to SACAT as a Private Administrator

What it is: A family member or trusted person applies to SACAT to be appointed as the incapacitated person's administrator, instead of the Public Trustee.

Cost: $0 SACAT application fee, plus legal costs if using a solicitor to prepare the application. Processing time: four to six weeks with complete medical evidence.

Why it works: SACAT prefers private administrators when they are suitable and willing. A family member who presents a complete application with supporting medical evidence, a clear plan for managing the person's finances, and no competing claims from other family members will generally be appointed over the Public Trustee.

Limitation: If other family members contest the appointment, SACAT may default to the Public Trustee to avoid taking sides. The application also requires a comprehensive medical report confirming incapacity — a GP letter alone may be insufficient.

3. Appoint a Private Trustee Company

What it is: Instead of nominating a family member as attorney in your EPA, you appoint a private trustee company (such as Perpetual, Australian Unity Trustees, or Equity Trustees).

Cost: Private trustee companies charge fees, but these are typically negotiable and often lower than the Public Trustee's statutory rates. Fee structures vary by provider and asset complexity.

Why it works: Private trustee companies provide professional financial management without the Public Trustee's statutory commission structure. They also offer continuity — unlike a family member who may become ill, move interstate, or predecease you, a corporate trustee is a permanent entity.

Limitation: Requires capacity to execute the EPA. Private trustees may decline appointments for small estates where their minimum fees exceed what the estate can support.

4. Use Informal Family Arrangements (Limited)

What it is: Family members manage day-to-day financial tasks (paying bills, managing the pension) without formal legal authority, relying on existing joint accounts, pre-authorised direct debits, and Centrelink nominee arrangements.

Cost: Free, but carries significant risk.

Why it works: For simple financial situations — a pension, direct debits for utilities, no property transactions — informal management can sustain basic financial operations without any legal instrument.

Limitation: Banks will not allow informal access to individual accounts once they become aware of incapacity. Property cannot be sold, investments cannot be changed, and tax returns cannot be filed without formal authority. If the incapacitated person needs residential aged care and their home must be sold to fund it, informal arrangements collapse immediately. This is a temporary stopgap, not a solution.

5. Centrelink Nominee Arrangement (Pension Only)

What it is: Services Australia (Centrelink) allows you to apply as a payment nominee or correspondence nominee for someone receiving income support payments.

Cost: Free.

Why it works: A payment nominee receives the person's Centrelink payments into a nominated bank account and manages the funds. A correspondence nominee handles all Centrelink mail and reporting obligations. For someone whose only income is the Age Pension and whose bills are covered by direct debits, this arrangement handles the financial essentials.

Limitation: Covers Centrelink payments only. Does not give authority over bank accounts, property, superannuation, investments, or any non-Centrelink financial matter. Not a substitute for an EPA.

Who This Guide Is For

• Anyone in South Australia who wants to avoid the Public Trustee's 4.4% commission by executing an EPA while they still have capacity
• Families where a relative has recently lost capacity and the family wants to apply as private administrator instead of accepting the Public Trustee's appointment
• Proactive planners who want to understand the full range of options before choosing an attorney under an EPA
• Adult children researching the consequences of inaction for a parent who has not yet executed estate planning documents

Who This Guide Is NOT For

• People already under a Public Trustee administration order who want to challenge it — that requires a SACAT review application; consider legal advice for the review
• Families where the incapacitated person has complex business interests requiring professional management — in these cases, the Public Trustee or a private trustee company may be the appropriate choice
• Situations where elder financial abuse by a family member is suspected — the Public Trustee provides safeguards that a private EPA does not

Frequently Asked Questions

Can I remove the Public Trustee once they've been appointed?

You can apply to SACAT for a review of the administration order. If you can demonstrate that a private administrator is available and suitable, SACAT may vary the order. However, this requires a formal hearing, and SACAT will consider the protected person's best interests — not just the family's preference. If SACAT changes the order, ask the Public Trustee how any fees already charged are treated.

Is the Public Trustee's 4.4% commission negotiable?

The capital commission is set by regulation — it is not negotiable on a case-by-case basis. The commission rate depends on the gross asset value; complexity affects additional administration charges. The 4.4% rate applies to the first $200,000; rates may decrease on higher tiers.

What if my family members disagree about who should be attorney?

An EPA requires the donor's decision while they have capacity — there is no family vote. The donor chooses their attorney. If the donor loses capacity without an EPA and family members disagree on who should apply to SACAT, the tribunal will assess each applicant and may appoint the Public Trustee if the dispute cannot be resolved.

Can I appoint the Public Trustee as my attorney in an EPA voluntarily?

Yes. Concession card holders can have the Public Trustee prepare an EPA at no cost, with the Public Trustee named as attorney. This gives you control over the appointment terms (conditions and limitations) while using the Public Trustee's professional management. The fee structure for voluntary appointments differs from SACAT-ordered administrations.

Does an Advance Care Directive protect me from the Public Trustee?

An ACD covers healthcare, residential, and personal decisions — not financial matters. The Public Trustee's role is financial administration. To prevent the Public Trustee from managing your finances, you need an EPA. To prevent state-appointed guardianship over your personal decisions, you need an ACD appointing your own Substitute Decision-Makers. The two instruments protect against different types of state intervention.

How long do I have to execute an EPA before it's too late?

There is no fixed deadline — the window closes when you lose legal capacity to understand and execute the document. For someone with early-stage dementia, this could be months or years. For someone who suffers a sudden stroke, it could close overnight. The consistent advice from every legal, medical, and advocacy organisation in South Australia is the same: execute the EPA while the question is still theoretical, not urgent.

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