What is a Power of Attorney?

In a Power of Attorney, you appoint a trusted person to make legal and financial decisions on your behalf. It helps trusted loved ones to be able to handle your affairs if you become injured or sick, or if you are unable to manage your own affairs. If you become incapacitated and you do not have a Power of Attorney, your family may need to go to court to have a guardian or conservator appointed for you, which can be expensive, time consuming, and emotionally exhausting for your loved ones. 

 

Typically, a Power of Attorney is “general” because it authorizes broad powers to:

• Pay your bills and keep your household running;
• Manage your bank accounts, investments, and other financial assets;
• Handle real estate transactions like buying or selling property; 
• Work with Medicare, social security, and other benefits; and 
• File your taxes and address any tax-related issues.

 

A Power of Attorney is also typically “durable” because it continues even if you become incapacitated. A Power of Attorney terminates at your death, but you can revoke or update it during your life. 

 

The person you name to act on your behalf will have access to your sensitive financial information so it is essential that you choose someone you completely trust. You can name a spouse, a family member, a close friend, or a professional. You may also name someone as a backup in case your first choice is unable to serve. Although it may be hard to choose who you want to act on your behalf, qualities to look for include someone who is dependable, responsible, organized, maintains good records, and most importantly is willing to serve in your best interest. The person you name does not need to live close by, but it may be helpful in an emergency.    

 

Printable Power of Attorney forms can be found on the internet, but they are not reliable because they may be based on the laws of other states and not valid in Virginia, and they were not prepared with your individual circumstances or wishes in mind. Partnering with an experienced local attorney ensures your estate plan is tailored to your specific needs, accomplishes your goals, and is compliant with Virginia law. If you need help preparing a Power of Attorney or other estate planning documents, please contact Berdan Law today for a free consultation.