Planning For A Secure Future

Requirements for power of attorney

On Behalf of | Jul 26, 2021 | Estate Planning

Power of attorney documents are an important consideration when making an estate plan in California. If someone is unable to manage their affairs temporarily or permanently, power of attorney allows another designated person to make financial or medical decisions for them. There are several important considerations when creating a power of attorney. These include what form it should take and what wording should be included in the document.

Decisions to make about POA

Power of attorney is a big part of the estate planning process for most people. The first important decision to make is who to designate as your power of attorney. It’s possible to designate just one person as POA, but it’s equally possible to name more than one. If you select two people to act in the power of attorney, it’s important to outline how that should work. Do they need to make decisions together, or can they each act under their own steam?

Another important thing to realize is that you can set parameters on what your POA can do. For example, you can decide whether or not your agent can make changes to your beneficiaries on documents like trusts and insurance policies. You can also determine what they’re able to do in terms of making monetary gifts.

Creating a POA document

It’s always prudent to discuss these issues with an attorney. Powers of attorney are legally binding documents, so it’s important to get professional advice on what language to include and exclude so that your power of attorney does exactly what you want it to. An estate planning lawyer may advocate for you and help you create the right estate plan for your circumstances.