An agent can use assets to pay bills, such as a mortgage, to ensure that you can maintain your lifestyle. Ensures Financial Responsibilities are Metīills will continue piling up, and interest, penalties, and repossession can occur. As an example, without a properly-drafted durable power of attorney, Florida Medicaid-planning becomes impossible (or requires an expensive and time-consuming guardianship). Proper planning will ensure that all of your assets are properly protected. If a POA isn't drafted properly, the agent may not have the power to protect certain assets, leading to significant financial loss. When drafted properly, a POA will allow an agent to protect your assets.

Protection against financial abuse claimsĪsset protection delays can occur if there isn't an agent in place.

If an extensive POA is in place, this allows for: A POA can be extensive, and allow for gifts to be issued and proper asset protection plans to be carried out. Protects Against Financial Abuse ClaimsĪ comprehensive estate plan will prevent the risk of financial abuse claims against the agent chosen. Guardianship can usually be avoided when a well-drafted durable power of attorney has been signed in advance of becoming incapacitated. Otherwise, the issue will go to the court and someone else will petition the court for the guardian to be appointed.

You'll be able to choose the person appointed to be a guardian or conservator if you draft a POA. Avoid Guardianship or Conservatorship Issues The agent can act on your behalf, unless business agreements say otherwise, to ensure that your business interests are protected. Keeping your business operating or choosing what to do with your business can be the responsibility of your chosen agent. Your business interests don't go away when you're unable to make decisions on your own. When you become incapacitated, Medicaid planning may be needed to help pay for home health care, ALF care, or nursing-home care. This may mean giving access to your checking account to pay your mortgage or to make vital estate planning decisions. If you have assets, bank accounts, retirement accounts, or real estate, a POA can ensure that these assets are protected if you're incapacitated. Poorly written Florida POAs are the cause of much frustration.ĭo you have an estate? An estate can include: If the power is not specifically mentioned (and in some cases initialed, such as with the creation of trusts), then the agent will NOT be able to act. Instead, you have to specifically designate what your agent can or cannot do. You cannot just say 'my agent can do everything on my behalf.' But, be aware that a durable power of attorney is not a one-size-fits-all document. A POA will allow an agent to handle all financial and legal matters of an incapacitated individual. Choose an Agent to Handle Your Financial and Legal Mattersįinancial and family problems often occur when someone's estate isn't properly planned. Health care decisions can also be delegated through a Florida Health Care Surrogate Designation. The agent will not be able to make medical decisions on your behalf if you are able to communicate your wishes.Ī POA is your chance to allow someone to act in your best interest when you're unable to make decisions on your own. If you're unable to make your own medical decisions, you can grant a POA to a trusted family member, loved one, or spouse to make decisions on your health care. Choose a Trusted Person to Make Medical Decisions on Your Behalf

‍ 9 Reasons to Discuss a Florida Power of Attorney With Your Estate Planning Lawyer If you're retiring, diagnosed with a major health issue, or want to plan your estate now while you're fully cognizant and able to, a Power of Attorney is a must-have. You may also want to sign a POA if you're elderly or in bad health. And more (or less) depending on what you want (or don’t want) your agent to be able to do.Īnyone can benefit from a POA, and it's encouraged that anyone who is estate planning sign a POA.Create trusts to care for your children.In my opinion, the POA is the most important document in your estate plan. If you had a POA created before this time, it's still valid, but you may want to consult with an attorney if you need to make any changes to your POA. Florida Power of Attorney rules changed in 2011 legislation. The agent is granted control of your assets on your behalf if you're unable to control them yourself. A power of attorney (POA) is a powerful form of estate planning that grants broad power to a person you choose, called an agent.

Power of attorney for finances