The Durable Power of Attorney–What Does it Do?
Estate planning isn’t just for the elderly anymore—it’s always a good idea to be prepared for the worst-case scenario. If you are involved in an accident or become ill, you may not be able to handle your finances or manage your assets on your own. If this is the case, then you will need someone to handle your finances on your behalf. This can be accomplished by creating a durable power of attorney.
What is a Durable Power of Attorney?
A power of attorney is a legal document which gives a person rights to perform certain actions on someone else’s behalf. The maker of the document is called the “principal,” and the person appointed on the principal’s behalf is called the “attorney in fact.”
In contrast to many legal documents, a durable power of attorney is still legally binding even if you become incapacitated or unable to make decisions for yourself. In other words, a durable power of attorney is a legal document which appoints an individual of your choosing to act on your behalf in the event that you become unable to manage your own affairs.
What is a Durable Power of Attorney’s Role?
An attorney in fact can be any person that you feel comfortable handling your affairs. This individual can act on your behalf in certain transactions if you are not able to do so. For example, an attorney in fact can act on behalf of the principal to do things such as:
- Sell a piece of property on behalf of the principal if the principal is incapacitated or unable to come to the closing;
- Sell vehicles, stocks, or other assets which belong to the principal;
- Pay bills on behalf of the principal;
- Manage the principal’s financial assets and property;
- Apply for benefits such as Medicaid; and
- File taxes on behalf of the principal;
Don’t Have a Durable Power of Attorney? We Can Help
If you do not have a durable power of attorney in place, the time to create one is now. Don’t wait until it is too late; the Boger Law Firm can help you create a durable power of attorney to protect your assets in the event that you become incapacitated or otherwise unable to manage your own affairs. To schedule a consultation to speak with an attorney about your durable power of attorney, fill out an online contact form or call (803) 252-2880 today.