As you make an estate plan, your main focus is likely curating your estate in anticipation of your passing. You may be considering who would be your executor of your estate and beneficiaries.
You may also consider using your estate plan to focus on important matters while you’re alive. If you develop an illness or suffer an injury that leads to your incapacitation and can no longer care for yourself, how would you make important decisions? You could name a power of attorney to act on your behalf to handle matters until you recover.
Here’s what you should know about powers of attorney:
Financial power of attorney
You can name a power of attorney to handle your financial matters. They may help pay rent, mortgage bills and utilities. They may also deal with your debts and taxes and manage investments.
You may also use a financial power of attorney to make investments while you’re in sound mind. This could be used to sign checks, sell property or file taxes when you are not available to do so.
Medical power of attorney
You could have a power of attorney to handle your medical matters. They could decide what kind of medical treatment you would undergo, such as surgery, therapy or medication.
General power of attorney
Many people believe that they can trust the role of financial and medical powers of attorney to one person. This can be done by naming a general power of attorney.
Limited power of attorney
You could name a limited power of attorney who handles specific matters. For example, a limited power of attorney may only be allowed to pay debts on your behalf.
You may need to reach out for legal help to learn more about your power of attorney options.
