Benefits Of Having A Power Of Attorney

Power of attorney can be somewhat troublesome to navigate if you don’t have any prior knowledge about the topic, below are some commonly asked questions regarding power of attorney and their answers in order to make this process as easy as possible for you. What is power of attorney?

Power of attorney, also referred to as POA, is a legal document that allows someone to make decisions on behalf of an individual if they are unable to. The person given the authority to make decisions is called the agent and the person giving that authority is called the principal. This can be helpful for older people or others who may not be able to make their own decisions at some point, allowing a trusted decision-maker to be chosen. If a power of attorney is not made before incapacitation, then a family member or friend may have to go to court to get an appointed guardian. The process of doing that could be very drawn out and more expensive, so it’s a good idea to get a power of attorney earlier on.

Are All POAs The Same?

There are different types of POAs that are used for varying situations and include distinct degrees of authority for the agent. A general POA is in effect until you become unable to make your own coherent decisions and you choose what decisions your agent is allowed to make for you. You can choose to be extremely specific if that’s what is more helpful to you. Durable power of attorney goes into effect when it’s signed and stays in effect for your lifetime unless you choose to initiate a cancellation. In the document it should specify that your agent’s authority stays if you become incapacitated.

Springing power of attorney is more specific regarding when the agent is in charge, with a springing POA your agent gains authority when a specific event occurs. This could be your

incapacitation for example, but since it relies on a certain event occurring it must be crafted very carefully to ensure there will be no confusion as to when it is to be applied. A medical POA is both a springing POA and a durable POA, it is sprung into action when certain medical situations occur which will be specified in the document. This power of attorney document will be specifically regarding medical decisions whereas the other could apply to finances, bank accounts, and properties owned by the principal.

How Long Does Power Of Attorney Last?

The answer to this question depends on the type of POA you have, if you have a general POA then it will expire once the principal becomes incapacitated. If the power of attorney is revoked by the principal then that will end the power of attorney document but generally the power of attorney document is no longer valid after a specific event occurs or an amount of time passes that is specific in the document.

How Do I Get Power Of Attorney?

To get a power of attorney it is fairly easy, you can choose a generic form template to fill out yourself and depending on the state’s laws you may need to follow different guidelines. Generally the requirements for signing a power of attorney document is that you must be 18 years or older, must sign it before a notary public, and you must be of sound mind when you sign the document. As long as your document follows the legal guidelines, it’s not necessary for you to get an attorney. If you require a POA as part of estate planning or prefer to get an attorney to make sure that your document is correct, then an attorney can be a big help for you.

Thank you to the estate planning lawyers at Brandy Austin Law Firm for the above blog.