A durable power of attorney for finances lets you choose someone to take over your financial responsibilities when you become sick or otherwise unable to manage them. Your attorney can tell you what specific steps you need to take to create this important document, but you can get a head start on the process by reviewing our brief checklist.
- Preparation. Take some time to learn about powers of attorney and what they can do for you. Make a list of questions you have and ask your attorney for advice if you can’t decide what you want or need.
- Attorneys-in-Fact. The person who you appoint to manage your finances is called your attorney-in-fact or your agent. Select someone you trust who is responsible and good with financial matters. Though called an attorney-in-fact, the person you choose does not have to be a lawyer. Choose more than one and list the others as alternates who can take over the duties in case the original attorney-in-fact is unable to. Also, ask each candidate before including their names in the document.
- Powers. Your financial power of attorney can be as detailed or as general as you wish. Make sure you review the document to be sure you agree with all the powers outlined within it.
- Documentation and Execution. Your financial POA must meet the requirements as made by the law. You should schedule a meeting with your attorney to formally execute the document.
- Donor Advised Funds: Too Good to Be True? - September 15, 2021
- Changing “Irrevocable” Trusts Through Judicial and Nonjudicial Modification - September 8, 2021
- Reasons to Supplement Your Estate Plan With Life Insurance - September 7, 2021