Financial Administration

A financial administrator can be an individual or organisation, who manages the financial affairs of another.

 

When a member of the community is having difficulty managing their finances or is unable to make important financial decisions because of disability or illness, a financial administrator can be appointed to help.

 

The Tasmanian Civil and Administration Tribunal appoint the Public Trustee as a financial administrator to help a person manage their finances. This is a legal decision and is called a Financial Administration Order.

 

At the Public Trustee we are proud to help people from all over Tasmania manage their finances. Our team is experienced in supporting people from all different backgrounds and are experts in investments, financial planning, property management, taxation, and legal matters.

 

As an administrator, we will work with our clients to help them manage their money.

It is our job to make sure that:

  • their bills and debts are paid;
  • they are receiving the correct income;
  • their financial well-being is being protected;
  • their budget respects personal goals and wishes; and
  • Support them to become capable of managing their own finances.

 

Are there laws involved?

The Guardianship and Administration Act 1995 sets out the powers and duties of a Financial Administrator. This law has states what an administrator can do and how an administrator must act.

As your administrator we must:

  • Act and make decisions that are in our client’s best interests;
  • Support our clients to manage their own finances as much as possible; and
  • Consult with our clients and take into account their wishes wherever possible.

 

For more information on How an administrator is appointed in Tasmania?  Click here

If you would like to know more about a financial administration order, please fill out our CONTACT US FORM.

Alternatively, please contact your nearest Public Trustee branch.

 

  • The Public Trustee has been appointed as your administrator - what's next?

    The first thing we will do is arrange to speak with you and/ or your support person/s so that we can find out more about you and start helping you with your finances.

     

    In this conversation we will:

    • Talk about our role and responsibilities.
    • Explain the financial administration process.
    • Ask you questions about your financial goals (like what you like to spend money on and if you are saving up for anything in the future)
    • Discuss your budget.
    • Identify and deal with any urgent financial matters.
    • Explain our fees and charges.

     

     

    To help you prepare for our first conversation we recommend you have the following information with you.  Some of these things might not be applicable to you, so don’t worry if you don’t have everything listed here.

    • Your identification – like your birth certificate or your passport or your proof of age card
    • Your Medicare Number and/or your Private Health Insurance Number (if you have one)
    • Your Tax File Number or a copy of your last Tax return or a copy of your latest Notice of Assessment
    • Your latest bank account statement
    • Details about any direct debits that are set up from your bank account or any regular bills you pay
    • Information about any money you are owed
    • Invoices for any debts that you have not paid
    • Information about any pensions or superannuation you receive (Australian and/ or foreign)
    • If you own a car, your registration and car insurance details
    • Information about where you live (like a copy of your rental contract or tenancy agreement).
    • If you own your own home a copy of your property title, mortgage and insurance details.
    • Share certificates or information about investments, if you have any
    • Information about anyone who you think might leave money or assets to you in their Will
    • Any other important information that you think we should know about your financial goals. You may want to think about activities you like doing (like going to the movies or traveling) so that we can include them in your budget.

     

    Who will help you

    While your Financial Administration Order is in place one of our team members will be your dedicated Client Account Manager and will help you with the management of your finances.

     

    You can contact your Client Account Manager by phone or email, or make an appointment to visit them at our office. Your Client Account Manager may also talk with your support person/s and family about your

    financial matters.

     

    We also have a team of experts in investments, financial planning, property management, taxation and legal matters who can help you achieve the best possible financial outcomes.

     

    When will it start?

    Your Financial Administration Order starts as soon as the Tasmanian Civil and Administration Tribunal makes its decision, however, it will take some time for us to make sure everything is arranged - this can take up to six (6) weeks. During this time you will be working with your Client Account Manager and can contact them at any time if you have any questions or financial requests.

     

     

     

  • How will the Public Trustee help?

    While under a financial administration order, the Public Trustee will help you manage your money. If there is something not listed here, or there’s something you have more questions about, you can always ask your Client Account Manager.

     

    We will help you develop a budget

    Once we have spoken with you and have more information about you and your finances, we will work together to develop an affordable budget. The budget will include a plan to make sure all of your bills (like food, electricity, insurance and accommodation) are paid. Depending on what money is left, you may receive a personal spending allowance to meet your other expenses such as clothing and entertainment.

    While your Financial Administration Order is in place your money will be held in a separate and secure account at the Public Trustee. We will only use your money to pay your bills or any debts you owe. We can pay these bills directly and contact organisations like your pharmacy or landlord to them know that we will deal with them on your behalf.

    If you have money for personal spending it will be put into your own bank account (via Electronic Funds Transfer) so that you can access it directly whenever you need to.

     

    We will help to make sure you are getting the correct income

    We will work with you to find out what income you should be getting and make sure that you are receiving what you are entitled to. This might be things like government support, a foreign pension, or if someone owes you money. We will deal with organisations (like Centerlink) on your behalf and coordinate any payments.

    We will also make sure all your income is being collected into your dedicated account at the Public Trustee.

    No extra money is given to you as part of the Financial Administration Order.

     

    We will manage any debts

    If you owe anyone money, where possible, we will contact them and work out a payment plan, this might include organisations such as Aurora, Telstra or TasWater.

     

    We will look into any financial legal matters

    If there are any legal matters to do with your finances, we can find out what is involved and how to deal with them. This might be things like seeking compensation or making sure you receive anything you may be entitled to when someone passes away.

     

    We will prepare annual statements

    At least once a year we will prepare an annual statement for you that shows all your income, bills, expenses, and assets (like a car, house or investments).

     

    We will help you with your tax and any investments

    We will complete your Income Tax Return each year on your behalf. We will also help you manage and make decisions about any investments you may have.

     

    We will help if you own real estate

    If you own real estate, we will make sure your mortgage and any household bills are paid. We can also organise property inspections and make sure that any repairs or maintenance are carried out and paid for.

    We will work with you and your family to make decisions about buying, selling or renting any real estate. If you would like to keep and maintain your property, we will help you to do this whenever possible. We will only have to coordinate the sale of your real estate if it is in your best financial interests, for example, if the money is needed to pay your care home deposit or payment.

     

    We will help if you are moving to an aged care facility

    If you are moving to an aged care facility, we can complete the Income and Assets Assessment form that you will need for your admission and arrange payment of your bond.

    We can also work with you and your family to organise for your home to be cleaned and your belongings to be moved, rehomed or sold.

     

    How you can help

    While your Financial Administration Order is in place you can help us manage your finances and achieve the best outcomes by letting us know if:

    • you change your phone number, address or name
    • you receive a bill or request for payment (in the mail or electronically)
    • you need additional money to make a special purchase

     

    Things we are not able to help you with

    While your Financial Administration Order is in place there are some things that we are not able to help you with:

    • We are not able to make any personal decisions for you (eg: health care or medical decisions). That is the role of a guardian or person responsible.
    • We are not able to decide where you are going to live. We can tell you if you can afford to live somewhere or not.
    • We are not able to organise health care or support services for you. For example, you or your support person/s will need to make appointments, go shopping or get quotes for purchases. We can organise payment for services.

    While we are not able to help with these matters, Your Client Account Manager may be able to assist you in finding out who can help.

     

    Things you are not able to do

    While your Financial Administration Order is in place there are some things that you are not able to do:

    • You are not able to take out any loans. This includes loans from a bank, credit union, personal finance company or Centrelink (unless the Tasmanian Civil and Administration Tribunal has decided that you will manage your own pension).
    • You are not able to sign a hire purchase agreement.
    • You are not able to sign a lease for where you are going to live. The Public Trustee will assist you with this process.

  • Financial Administration Fees and Charges

    Emergency Orders

    If the Tasmanian Civil and Administrative Tribunal (the Tribunal) makes an emergency order to appoint the Public Trustee as your financial administrator, the following fees apply

    • management fees are to be charged on an hourly rate basis ($120);
    • no capital commission will be taken; and
    • income commissions will be taken in accordance with standard rate.

     A time sheet is kept on file for these matters.

    If an Emergency Order is converted to a Full Order

    • the hourly fees charged to the date of the conversion will be waived; and
    • capital commissions will be taken in accordance with standard rates.

    Permanent Appointment

    From 1 January 2016, if the Tribunal appoints the Public Trustee as a financial administrator, the following fees will be charged:

     For clients with assets under $10,000

    • no capital commission;
    • no monthly account fees; and
    • no income commissions.

     For clients with assets between $10,000 and under $100,000

    • no capital commission;
    • no monthly account fees; and
    • a 2.75% reduced fee is charged on the receipt of all income such as interest, dividends and pensions.

     For clients with assets over $100,000

    • $601.00 one-off establishment fee;
    • when the administration ends, a commission of 2.2% is taken on the current value of the assets which have not been realised during the administration;
    • a fee on any assets realised during the financial administration (e.g. collection of bank account, property sale) is charged at the same rate as administering an estate (see the chart below)

     

    On the first $200,000 or part

    4.5%

    On the next $200,000 or part

    3.5%

    On the next $200,000 or part

    2.5%

    On amounts above $600,000

    1.5%

     

    • a $65.00 fee is charged for completing the annual report required by the Tribunal; and
    • a $150.00 fee is charged for completing the 3 yearly review and report required by the Tribunal.

     Income Commission

    • The Public Trustee charges a 6.6% fee on the receipt of all income such as interest, dividends, pensions and rental income (where the Public Trustee is managing the property). The fee is reduced to 2.75% for represented person clients with assets between $10,000 and under $100,000. No fee is charged for clients with assets under $10,000.
    • A 3.3% fee is charged on rental income where the Public Trustee is not managing the property.
    • If income is received from an estate administered by the Public Trustee there is a 3.3% fee.

    Investment Management Fee

    A 1.1% investment management fee may apply to invested funds not directly managed by the Public Trustee.

    The following fees and charges may apply: 

    • account keeping fee ($13.50 per month);
    • domestic cheque drawing ($6.00) and direct credit ($3.20);
    • international bank transfers ($24.00) and international bank drafts ($32.00), excluding any 3rd party transaction and processing fees;
    • investment review fees for developing an investment strategy for the client portfolio. The fee charged is dependent upon the complexity of individual circumstances;
    • depending on the complexity of the matter a fee will be charged for the preparation and lodgment of income tax returns and other taxation services including the establishment of the acquisition details of assets for capital gains tax purposes;
    • fee for conveyancing and other services provided in relation to the sale, purchase or transfer of a property; and/or
    • work of a particularly complex nature not covered above will be charged at an hourly rate.

    Legal Services

    Services provided by our legal practitioners are charged at a rate determined by the Public Trustee but not exceeding the maximum hourly attendance rate set out in the Supreme Court Rules 2000.

  • Financial Administration FAQs

    We have compiled a list of the most commonly asked questions regarding financial administration. 

    • Public Trustee has been appointed Financial Administrator – what happens next?

      The first thing we will do is arrange to speak with you and/ or your support person/s so that we can find out more about you and start helping you with your finances.

       

      In this conversation we will:

      • Talk about our role and responsibilities.
      • Explain the financial administration process.
      • Ask you questions about your financial goals (like what you like to spend money on and if you are saving up for anything in the future)
      • Discuss your budget.
      • Identify and deal with any urgent financial matters.
      • Explain our fees and charges.

      The administration order is effective immediately, but it does take time to ensure everything is set up for us to manage your financial affairs. We need to re-direct your income to us, confirm your assets and liabilities, and establish budget arrangements, which can take up to six weeks.

    • How can I access my money?

      In many cases a personal budget will be set up for you and you may receive an allowance for personal spending. The allowance will generally be put into your bank account via Electronic Funds Transfer (EFT) so that you can access the funds directly.

    • What if I want to spend money on a special purchase that is not in my budget?

      To make sure that your money is only spent on things that you can afford, and that support your interests and goals, special purchases will need to be discussed in advance with your Client Account Manager.

       

      If the special purchase is suitable and affordable, we can approve it and arrange for the payment to be made. We will usually pay the bill or invoice directly on your behalf but if your support person pays for the purchase, we will need them to give proof of the payment (like a receipt or bank statement) before we can pay them back.

       

      While your Financial Administration Order is in place, we can only use your funds to benefit you. This means that we cannot approve extra money to be spent on gifts for other people. If it is appropriate for someone else to benefit from your assets or income, we can help you to arrange an application to the Tasmanian Civil and Administrative Tribunal.

      • What if I want to spend money on a special purchase that is not in my budget?

        To make sure that your money is only spent on things that you can afford, and that support your interests and goals, special purchases will need to be discussed in advance with your Client Account Manager.

         

        If the special purchase is suitable and affordable, we can approve it and arrange for the payment to be made. We will usually pay the bill or invoice directly on your behalf but if your support person pays for the purchase, we will need them to give proof of the payment (like a receipt or bank statement) before we can pay them back.

         

        While your Financial Administration Order is in place, we can only use your funds to benefit you. This means that we cannot approve extra money to be spent on gifts for other people. If it is appropriate for someone else to benefit from your assets or income, we can help you to arrange an application to the Tasmanian Civil and Administrative Tribunal.

    • How can a support person arrange a necessary purchase?

      You may wish to request money for a special purchase that was not included in your initial budget.  You and/or your support person must tell us of any additional purchases you wish to make, before making them.  We will then discuss the suitability of this purchase with you and/or your support person.

      This is to ensure that each purchase is affordable for you. If the purchase is approved, we will determine the best way for payment to be made. We usually pay the bill direct.

      If necessary, we can reimburse any money that your support person may have spent.  To do this, we will need evidence of the payment (such as receipts or a bank statement) before they can be reimbursed.

    • How can I have an administration order reviewed?

      The Tribunal will review the Financial Administration Order before it ends. At the review, the Tribunal will check to see that your needs are being met and will decide if you still need our help.

      If you (or another interested person) would like to have your order reviewed before that time, or would like to have the Public Trustee removed as your administrator, you will need to complete a ‘Review of Order’ application with the Tasmanian Civil and Administrative Tribunal.

      You will also need a medical practitioner, psychologist, neuro-psychologist or psychiatrist to complete a Health Care Professional Report to make sure that you are capable of making your own decisions.

      Before completing the form, you or your support person/s should contact the Tasmanian Civil and Administrative Tribunal to talk about the process:

      Tasmanian Civil and Administrative Tribunal

      Phone: 1800 657 500
      Address: 38 Barrack Street, Hobart, TAS, 7000
      Email: guardianship@tascat.tas.gov.au

    • How is a Financial Administrator appointed?

      A financial administrator is appointed by the Tasmanian Civil and Administrative Tribunal (the Tribunal).

      The the Tribunal will only appoint a financial administrator when a person is aged 18 years and over and:

      • has disability; and
      • cannot make reasonable decisions about financial and property matters because of his or her disability; and
      • there is no less restrictive way of providing assistance.

      The power to act as administrator will cease on the death of the person.

      If you would like more information in relation to the process of appointing an administrator and/ or application forms please contact:  

      Tasmanian Civil and Administrative Tribunal 

      Phone: 1800 657 500
      Address: 38 Barrack Street, Hobart, TAS, 7000
      Email: guardianship@tascat.tas.gov.au

    • Duties and responsibilities of a Financial Administrator

      There are three main duties of a financial administrator:

      • Act in the best interests of the person whose affairs they are managing;
      • Encourage and assist that person to become capable of managing their financial affairs;
      • Consult with that person and take into account, as far as possible, their wishes.

      Some tasks a financial administrator may be required to undertake include:

      • protecting assets;
      • dealing with personal property and real estate;
      • collecting income, such as dividends from shares, rents, pension entitlements or interest;
      • developing a budget management plan;
      • paying bills and accounts;
      • developing and maintaining an appropriate investment portfolio;
      • completing tax returns and pension reviews;
      • liaising with government, community and private agencies; and
      • providing full financial statements to the client and appropriate authorities.

    • Financial Administration & an Enduring Power of Attorney

      If a person over the age of 18 years with disability was unable to manage their own financial affairs, a financial administration order can be made by the Tasmanian Civil and Administrative Tribunal (the Tribunal).


      In contrast, an enduring power of attorney is a legal document where an individual appoints another person/ or a statutory trustee company (such as the Public Trustee) to manage their financial affairs if they were to lose capacity or no longer wanted the responsibility.


      The distinct advantage of an enduring power of attorney is that it allows you to choose who will manage your financial affairs. In order to make an enduring power of attorney you need to have the necessary mental capacity to understand the meaning and effect of the document.


      The Tribunal will not appoint an administrator if there is a valid enduring power of attorney in place UNLESS the attorney is not acting in the best interests of the person concerned.

    • What ongoing support does the Public Trustee provide to its clients?

      When managing your everyday finances, we work hard to ensure your best interests are supported. We will carefully consider all the requests you make.

      We will send you a statement at least once a year showing all your transactions. If you have any questions about your finances please contact our team.

    • How long will the Public Trustee act as your administrator?

      The Tasmanian Civil and Administrative Tribunal (the Tribunal) makes an order for a period of time (usually three years). The Tribunal will review the order before it ends. At the review, the Tribunal will check to see that your needs are being met and will decide if you still need our help.

    • Where you can go if you have a concern?

      If you have any questions, please contact your client account manager.

      If you are dissatisfied with the response from your client account manager, please go to see our Feedback and Complaints process

    • How is your privacy protected?

      As your Financial Administrator, we may need to collect personal information about you so that we can understand your financial matters in detail.

       

      We will only use the personal information that we collect about you for the purpose of managing your finances. We may need to share some of your information with others (like contractors or agents of the Public Trustee), so that they can provide advice or a service for your benefit.

       

      All of our actions have to follow the laws about privacy to make sure that you are protected and that we can do our job. The Public Trustee is governed by the laws set out in The Personal Information Protection Act 2004, The Public Trustee Act 1930, and The Guardianship and Administration Act 1995.

    • What are the Public Trustee Service Standards?

      The Public Trustee has adopted the following standards in communicating with our clients.

       

      RETURNING TELEPHONE CALLS

      • When you leave a message we will return your call promptly, but in any event within one working day of receipt of the message

      • Voicemail messages will state if the person you are calling is away for more than one working day and will provide an alternative contact number

      • We will make every effort to provide you with a response as quickly as possible

      • If we are unable to deal with your query we will try to put you in contact with someone who can assist you

         

      RESPONDING TO LETTERS, EMAIL AND FAX

      • We will reply to non-urgent correspondence within 10 working days

      • We will contact you to inform you of progress if a final reply is not issued within 10 working days

      • We will reply to urgent correspondence where possible on the same day, but in any event within 1 working day

      • We will communicate clearly providing you with a response to the matters raised.

         

      FACE-TO-FACE CONTACT

      • We will ensure that our reception and meeting facilities are clean, accessible and maintained to a high standard of comfort and safety

      • We will provide you with the maximum level of privacy possible

      • We will meet you at the appointed time, or let you know if there are any delays and be helpful and courteous in our dealings with you

       

      YOUR VIEWS ON OUR SERVICE

      The Public Trustee places a high level of value on feedback from our clients and also has a formal policy for dealing with any concerns or complaints.

      To provide feedback PLEASE CLICK HERE TO GO TO THE FEEDBACK AND COMPLAINTS PAGE

       

  • Information for private Administrators in Tasmania

    As a private administrator, you are responsible for managing the financial and legal affairs of someone who is not able to make decisions on their own. This is a position of great trust and responsibility. 

    The Tasmanian Civil and Administrative Tribunal (Tribunal) have developed a handbook to be used as a guide and to provide general instructions and information for appointed private Administrators.

    Please click here to view the Tribunals Administrator’s Handbook If this link is unavailable please try searching Administrator’s Handbook on the Tribunals website.

    For more information about making an application to the Tribunal, please go to: https://www.tascat.tas.gov.au/guardianship/process or call on 1800 657 500.

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