Familiarizing yourself with the functions of a power of attorney can help you prepare for the future. An individual who has power of attorney over another can make decisions about that person’s finances, estate, and healthcare. Power of attorney and healthcare power of attorney is used when an individual is incapacitated and unable to make decisions independently. Below, we will discuss the different types of power of attorneys (POA) and when would be the best circumstances to use them.
1. Durable Power of Attorney
This type of power of attorney is the most common. An individual will be assigned as an agent to oversee various financial and medical decisions for the incapacitated person. This decision can be of any person they choose. It will remain in effect until the person holding the POA revokes it(executing a revocation of power of attorney) or it reaches the expiration date included upon signing the document. The person choosing their POA agent must do so with utmost trust, as they have signed over their rights to legal and medical decisions.
2. Special or Limited Power of Attorney
If you need an agent to act as your POA, but only for a limited time or for specific purposes, then you will need a special or limited power of attorney. In the agreement for power of attorney, you will want to specify what powers you want to grant your agent and what decisions they should make on your behalf. If you’re unsure of what to include, contact your estate planning attorney for a consultation.
3. Healthcare or Medical Power of Attorney
Healthcare or medical POA is a type of power of attorney where you authorize a trusted agent the ability to make medical treatment decisions (specifically) on your behalf. There might be a situation where you cannot communicate your wishes. You will want a trusted agent to carry out your predetermined decisions. This type of POA can be set up while building your estate plan and drafting your Advanced Directives. Having your medical wishes in writing can reduce the worry and stress on your family during an already stressful event.
4. Florida Real Estate Power of Attorney
A Florida real estate power of attorney is a limited POA. It can grant an agent authorization to handle your affairs regarding entering real estate contracts or buying or selling real estate. The best time to explore your medical, legal, and financial estate planning options is when you are healthy. Contact a trusted estate planning attorney at The Boutty Law firm to assist you with your estate planning journey.