It can be difficult to think about the future. It can be especially difficult to consider a time in which you are unable to make important decisions for yourself. But it is important to plan for all possible outcomes and be prepared for whatever the future brings. As a result, you may want to create a power of attorney (POA). This entails choosing a close friend or family member to take care of certain things and make decisions on your behalf in the event that you are unable. Powers of attorney can be used in other circumstances as well. For example, if you need someone to sign important documents on your behalf when it comes to buying a house or car. Regardless, you may be wondering how much control a power of attorney can give your loved ones. Read on to find out.
What Can a Power of Attorney Do?
Depending on the type of POA that you choose, a power of attorney may be able to handle the following tasks:
- Making bank deposits, withdrawals, and other transactions
- Paying bills
- Buying and selling property
- Filing medical claims
- Filing tax returns
- Dealing with Social Security issues
- Hiring caretakers for in-home care
- Obtaining medical records
- Transfering assets to a trust
How Much Control Does a Power of Attorney Have?
The amount of control a power of attorney has is up to you. There are different types of POAs in New York. The main types include:
- General power of attorney: A general power of attorney allows your agent to conduct the same fiscal actions you would perform, such as executing contracts, borrowing money, and filing taxes.
- Limited power of attorney: A limited power of attorney authorizes a person to only take certain actions of your choosing. Your agent’s authority is limited to these actions alone.
- Springing power of attorney: A springing power of attorney only becomes effective after a triggering event, such as a physical disability.
- Durable power of attorney: A durable power of attorney will allow your agent to act on your behalf regarding your financial affairs and property management, remaining fully effective if you become incapacitated. To ensure your end-of-life medical care choices are carried out, a separate document known as a healthcare proxy or medical power of attorney must be established.
Requirements for a Valid Power of Attorney in New York
To execute a legally enforceable power of attorney, the document must be executed in writing and properly notarized. Furthermore, New York state law requires that the principal must obtain the agent’s written consent and notarized signature on the document before the power of attorney is considered legally valid and active.
If you have any questions or concerns, reach out to our firm today. We are here to walk you through every step of the estate planning process.
Contact Our Rockland County Estate Planning Firm
If you are considering establishing a power of attorney in Rockland County, enlisting the assistance of an experienced attorney with the Lauterbach Law Firm is in your best interest. Our firm understands how complicated these matters can be to navigate, which is why we will help you explore your options to help you obtain peace of mind for the future. Contact us today to learn how we can assist you.
