![]() Therefore, the principal might appoint their spouse, a family member, or a close friend as their agent. When selecting an agent, the principal should choose someone that they believe to be trustworthy and that appreciates their values. Step 3 – Complete the Power of Attorney FormĪn agent, also known as an “attorney-in-fact” or “surrogate,” may act on behalf of the principal for financial or medical-related decisions.Once signed, the agent may use the form whenever they act in the place of the principal. The powers and terms of designation are written in a document called a “power of attorney form,” which must be signed under the laws of the state in which it is executed. Getting power of attorney requires a principal to select a trusted person to handle specific responsibilities on their behalf. The flow chart below can be used to decide which power of attorney document best suits one’s needs: It should stated explicitly somewhere on the form whether or not the power of attorney executed by the principals is durable or non-durable. It’s important that the agent comprehends the wishes and preferences of the principal so they can represent them to the best of their ability in the event of incapacitation. Therefore, the agent will have the power to act on the principal’s behalf at their sole discretion. A power of attorney document that is durable gives the principal’s agent the power to make decisions even if the principal is unable to make decisions on their own, a term referred to as being incapacitated. It’s very important to understand the difference between a power of attorney being durable versus non-durable. The most popular type of designation, known as a “durable power of attorney,” allows the appointment to remain active even if the principal should become incapacitated. The document is most commonly used for electing someone else to handle financial transactions or medical decisions. Must be sent to the agent and anyone else that has a copy of the original POA.Ī power of attorney is a form used for providing a person (agent) with the authority to represent another person. Revocation of Power of Attorney – Cancels an existing power of attorney. Vehicle (DMV) Power of Attorney – Can be executed to grant a representative to handle the sale, purchase, or registration of a motor vehicle for the principal. Required by most tax accountants and lawyers when filing on their client’s behalf. Tax Power of Attorney (2848) – For Federal (IRS) or state tax purposes. Real Estate Power of Attorney – Permits a representative to make buying, selling, and leasing decisions on the principal’s behalf. This instrument is effective only for a short period, typically a maximum of 6 to 12 months, but this varies state by state. Minor (child) Power of Attorney – Allows a parent or guardian to allow someone else to make decisions on behalf of their child. ![]() Medical Power of Attorney – Gives an agent the right to act on a person’s behalf for medical decisions (only if the principal can no longer make decisions themselves). Usually coupled with medical power of attorney. Living Will – Sets end-of-life treatment options for a patient. This document becomes void after the agent has fulfilled their duty. Limited Power of Attorney – Allows an agent to act on behalf of the principal for a specific purpose. General Power of Attorney – Permits an agent to take someone’s place for financial decisions, but becomes invalid if the principal becomes incapacitated. Can be used to give a person authority for general life tasks (such as cashing a check).ĭownload: PDF, Word (.docx), OpenDocumentĪdvance Directive – Combines a living will and medical power of attorney into one (1) document.ĭurable Power of Attorney – Allows an agent to take someone’s place for financial decisions and remains valid if the principal should become incapacitated. Simple (1 page) Power of Attorney – A simplified variation of the limited power of attorney form. Can be used for finances, medical matters, taxes, real estate, and more.Durable: does not terminate if the principal is incapacitated.Allows a person to act on behalf of another person.
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