What if the effects of aging or some severe illness leave you in a state where you are unable to tell the doctor which medical treatment you require?
Sometimes, when your mental state doesn’t allow you to make key financial decisions, maybe that is the time when a durable power of attorney comes into play. Nobody likes the interference of others in personal, legal, or financial matters.
According to studies, as you’re aging it becomes pretty hard for you to solve basic math problems and to manage your finances. So, instead of wasting your hard-earned money, it is better to opt for durable power of attorney. It would help you to plan out your medical emergencies and your finances would be taken care of.
In this article, we will provide you with detailed information as to why durable power of attorney is important and how it could prove to be helpful for you in health and financial affairs.
What is a durable power of attorney?
A durable power of attorney, allows an individual (principal) to appoint someone else, (an agent or attorney-in-fact) to deal with his/her financial matters when the principal is alive. This happens when you are not in the state of making decisions whether it’s due to an accident or some crucial health condition.
Luckily, the preparation of power of attorney is not a difficult task. A very little time and effort are required to compose this important document. When the document is valid, it gives the power to another person of all your important matters – such as taking care of your medical bills, efficiently handling your money matters, and much more.
To save your loved one’s time and hassle of going to the court to fulfill all the legal procedures to get your power of attorney, make the right choice, and do it beforehand.
Let’s understand what kind of different durable power of attorney are present in the legal books and how they can be used.
A durable power of attorney for healthcare
This document is prepared for the worst situation of your life. For example, if you had a major accident or you’re going through a serious medical condition, so your wishes are explained through this document.
The person who you would choose to look after your health care matters or affairs in the absence of your decision-making power are called agent, health-care proxy, and attorney-in-fact.
Sometimes, people don’t want to be on ventilators while they are fighting for their lives. It is why healthcare agents make sure that you attain the medical treatment according to your wishes. The second type of health care directive makes it easier for you to get your wants satisfied with the ‘living will’.
In some states, the durable power of attorney and the health care declaration are integrated into a single form which is known as ‘advance health care directive’.
A durable power of attorney for finances
The person you appoint to handle your finances doesn’t need to be a lawyer necessarily. Sometimes the work duties of the finance handler might not be that complex. However, when you pass on your power of attorney to your loved one, so he/she will be looking into all your financial affairs.
The person looking over your money matters shouldn’t be qualified enough to secure your interests. As they need to deal with the tough matters of filing your tax, checking on other investments, or watching over your retirement accounts.
On the other hand, if your attorney is finding it difficult to manage your financial issues, so he/she could seek other professionals or experts from the relative field.
How to remove durable power of attorney?
Sometimes, a situation might arise that you find your chosen person crossing the line. At this point, you might want that person to step down from his/her position.
This can only happen if the person is in the right mental state. It is appreciated by the law that this revoking of the power of attorney should be done in writing. This way it becomes easier for the court to take legal action against the misconduct of the person.
Moreover, an attorney who specializes in both financial and health matters can help you to get rid of that person.
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