No matter your age, a personalized estate plan can give you peace of mind. It is a way of protecting your loved ones and ensuring your wishes are honored. Usually, individuals consider wills and trusts when creating their estate plans. Still, other legal documents, such as powers of attorney, can protect yourself and your family in challenging times.
Understanding powers of attorney
Powers of attorney authorize individuals to make decisions on your behalf when you cannot make them yourself. For example, you could allow a family member to make medical decisions on your behalf if you face a challenging illness. A power of attorney can complement other estate planning documents, like living wills and trusts.
You can also establish powers of attorney to allow an individual to make financial decisions on your behalf. This way, you can protect your property and assets, even if you cannot do so yourself. You can designate one or more individuals as your agents, and they will be able to perform the duties you select.
You can limit the agent’s actions and the time limit. For example, you can establish a power of attorney that allows someone to manage your investments if you become incapacitated. Making plans ahead of time can benefit you and your loved ones.
Choosing an agent
When choosing an agent, it is essential to consider someone you trust. For example, you might designate your spouse or your children. You can name more than one individual as an agent; however, they might sometimes disagree when making decisions. Still, if you designate an agent and change your mind later, you can update your power of attorney.
A power of attorney can be part of an estate plan. To create it, you can seek legal counseling. A lawyer can guide you through the process and evaluate your estate planning needs. This way, you can protect yourself and your family if challenging times arise.