Creating Your Power of Attorney

What, exactly, is a Power of Attorney?

The Power of Attorney is a document which gives another person, whom you choose, the power to make financial decisions on your behalf. This right can be given to anyone you choose, and is terminated at your death. You will have the option of having this take effect immediately, or if, and only if, you are declared incompetent or incapacitated by a licensed medical professional. The Power of Attorney gives this person broad powers over your financial affairs, such as paying bills, making investments, doing your banking, getting money for you, etc.

Can I Be Sure that My Money and Assets will be Protected?

Yes! First, you designate the time when the Power of Attorney will take effect. Second, it is the duty of the person entrusted with your Power of Attorney to act in your best interests and not what would work best for him or her. If that person acts with gross negligence, recklessness or engages in intentional misconduct, he or she can be held civilly and criminally liable. Furthermore, that person must account for all of your expenses.

To Whom should I give this Power of Attorney?

Someone you trust! Obviously, if this person is going to have power over your financial affairs, you want to know that it will be someone who will take care of you. It is your money, remember. Usually, this is a family member (husband, wife, son, daughter), or a close friend. You choose.

How am I Declared Incapacitated or Incompetent?

Through the language in the Power of Attorney, you will have control over the method by which you will be declared incompetent, should that day ever arrive. Incapacitation or incompetence must be declared by one or more licensed medical professionals. You decide how many. This is a protection from someone just "throwing you into a home." The licensed medical professional must make this determination. You can also require a second opinion, should you so choose. For those Powers of Attorney that are triggered by incapacity or incompetence, the Power of Attorney is ineffective until the declaration by that licensed medical professional.

Can I change the Person with my Power of Attorney?

Absolutely. Like a will, or a trust document, the Power of Attorney can be revoked, should you decide to do so. Obviously, you will be unable to revoke it after you have been declared incapacitated or incompetent. You may also designate more than one person as having your Power of Attorney, or have an alternate in case the primary person cannot, will not, or is unable to serve.

"Where there's a WILL, there's a way!"
"TRUST your estate!"