Have you considered executing a financial power of attorney? Do you have questions about its necessity?
A financial POA is an estate planning tool that everyone should consider. Such enables you to name a person, your agent, to manage your finances if you’re unable to do so on your own. For example, if you’re incapacitated as the result of a serious car accident or other emergency, your agent can step in to manage your affairs until you’re once again able to do so.
Financial Power of Attorney
Remember this: you’re in full control when creating a financial power of attorney. You can give your agent as much or as little power as you want.
You can give your agent the ability to:
- Manage and pay your bills and taxes
- Collect and pay current and future medical bills
- Collect compensation, such as paychecks, disability insurance payments, and Social Security
- Maintain insurance coverage, such as life insurance, disability insurance, and medical insurance
- Manage your financial accounts
- Manage your investments, such as real estate
While these are among the most common responsibilities, it’s within your ability to determine how much power to give your agent and when their authority becomes effective.
Tip: Since your financial power of attorney agent will have many responsibilities, it’s critical that you’re able to trust them. Don’t choose someone who has demonstrated poor financial decision-making in the past or someone who may not be able to keep separate your finances from their own.
If you’re ready to get started, contact our office and we’ll help you design a financial attorney that’s right for you and your family. Our Owings Mills estate planning attorneys are ready to help you and your family plan for your future and protect your legacy. You can call our office at (410) 654-3850 or use our contact page for assistance.