Written by Benjamin Kingsley
Do you have questions about or need assistance with a power of attorney? Please click here to email us at contact@legalandme.com.
Do you need a power of attorney form? We make a do-it-yourself power of attorney: finance power of attorney or healthcare power of attorney.
When considering what type of power of attorney (POA) is needed, it is important to understand that there are two main categories: financial power of attorney and medical power of attorney. The specific type required will depend on the individual’s circumstances and needs.
A financial power of attorney, also known as a durable power of attorney for finances, grants an agent the authority to manage financial affairs on behalf of the principal. This can include tasks such as paying bills, managing investments, and handling real estate transactions. A medical power of attorney, also called a healthcare power of attorney, designates an agent to make medical decisions on behalf of the principal if they become incapacitated.
Within these categories, there are several types of power of attorney that can be established:
1. General Power of Attorney: This grants broad powers to the agent to act on behalf of the principal in various matters. It typically ends if the principal becomes incapacitated.
2. Durable Power of Attorney: This type remains in effect even if the principal becomes incapacitated. It can be either financial or medical in nature and is often the preferred choice for long-term planning.
3. Springing Power of Attorney: This becomes effective only when a specific event occurs, such as the principal becoming incapacitated. It can be either financial or medical and provides a safeguard against premature transfer of authority.
4. Limited Power of Attorney: This grants the agent authority to act on behalf of the principal for specific, limited purposes or for a set period of time. It can be useful for temporary situations or specific transactions.
The choice of power of attorney will depend on the individual’s needs, preferences, and circumstances. It is advisable to consult with a legal professional to determine the most appropriate type of power of attorney for one’s specific situation.
Do you have questions about or need assistance with a power of attorney? Please click here to email us at contact@legalandme.com.
Do you need a power of attorney form? We make a do-it-yourself power of attorney: finance power of attorney or healthcare power of attorney.