Establishing an estate plan can protect you as you age, as well as give guidance and support to your family members. Many people might contribute to your strategy and fulfill specific roles on your behalf.
A power of attorney can aid you in making critical financial decisions should you suffer incapacitation. Understanding the benefit of this person might help you make a confident decision about your selection.
Imagine saving your whole life and carefully curating your finances to optimize their value and sustain your needs. Something unexpected happens that leaves you in critical condition or you begin to age and can no longer make coherent financial decisions. Suddenly, everything you have worked so hard for rests in the hands of a court. Naming a power of attorney can eliminate this unfortunate outcome.
Some of the responsibilities a power of attorney might perform on your behalf include the following:
- Selling your home
- Selling securities
- Closing a personal bank account
- Managing business affairs
- Overseeing trusts
Finding the right person for the job will require thought and careful consideration. According to the American Bar Association, a power of attorney is also referenced as an “agent” or “attorney-in-fact.” You may name more than one person to manage financial obligations.
You will want to select a person or persons that you can trust and who have integrity. Prioritize skills including organization, attention to detail, time management and financial prowess. With someone lined up to help you manage your finances in an emergency, you can have confidence that things will continue to align with the goals you have set.