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Limited and General Financial Power of Attorney Designations

Largo estate planning lawyer signing documentsMany estate plans focus on what will happen after the client dies and virtually ignore what financial arrangements should be made during the client’s lifetime. If you would like to appoint another person to be able to make financial decisions on your behalf, a Largo estate planning lawyer can help establish a power of attorney for you.

Definitions

A Largo estate planning lawyer may define the following terms:

  • agent or attorney-in-fact – the individual who is given the right to make financial decisions on another person’s behalf
  • principal – the person who is giving the other individual the right to make financial decisions on his or her behalf
  • financial power of attorney – the legal document that provides the powers that the principal gives the agent

As the principal, you can determine which powers you want to give the agent, when you want the person to start having those powers and when you want them to cease having these powers.

Some FPOAs Address Specific Situations

Your Largo estate planning attorney can explain that some financial power of attorney designations are limited in nature. These special power of attorney designations may limit the powers, such as only giving the agent the right to write checks on your behalf or the amount of time that the agent will have these powers. For example, if you inform your Largo estate planning lawyer that you will be out of the country, he or she may recommend that you provide a start and end date for the agent.

Specific Designations

Statutory power of attorney forms usually provide for general powers to be provided to the agent without you having to do much more than initial the page. However, there are certain powers that you may have to specifically list on your power of attorney document. For example, you may have to specifically state that you give your financial power of attorney the right to change your beneficiaries, trusts or will.

Commencement and Termination of Financial Power of Attorneys

A Largo estate planning attorney can explain that there are ways that you can ensure that your financial power of attorney be able to act on your behalf when needed. For example, by making the power of attorney durable in nature, your agent will continue to be able to act as your agent in this capacity even if you become disabled or incapacitated. Additionally, your power of attorney can start taking action immediately. If you are worried only about someone handling your affairs if you are incapacitated, your attorney may recommend that you use a “springing” power of attorney. All power of attorney designations naturally expire at death.

If you would like assistance in establishing your power of attorney, contact the Coleman Law Firm at 727-461-7474.

Durable Power of Attorney Designations

Safety Harbor estate lawyer meeting with clientsA durable power of attorney may be one document that your Safety Harbor estate lawyer recommends as part of a comprehensive estate plan. Your Safety Harbor estate attorney can explain the dynamics of this legal designation.

General Guidelines

Your Safety Harbor estate lawyer can explain that a durable power of attorney gives you, the principal, the power to designate another person, the agent, to take care of your personal financial affairs. The powers that you give the agent are at your discretion. There are general rights that a power of attorney usually receives, such as the ability to file your tax returns, execute contracts on your behalf, complete bank account transactions and register motor vehicles unless you have different instructions. You may also prefer to limit your power of attorney to a particular task, such as selling real estate.

Durability

A Safety Harbor attorney can explain the special term “durable.” Generally, a power of attorney expires upon the incapacitation of the principal. However, a durable power of attorney endures after the principal becomes incapacitated. This means that the individual will retain the right to take care of your financial affairs if you become incapacitated.

Types of Power of Attorney Designations

There are several ways that you can establish a power of attorney relationship, as your Safety Harbor estate lawyer can explain. For example, you can grant a special durable power of attorney. This provides for the completion of tasks related to a specific project, such as the sale of a house. A springing power of attorney allows you to designate an agent of your choice, but the individual does not get the power to conduct your financial affairs until you become incapacitated or until another event transpires that you establish ahead of time. You can also grant a general durable power of attorney if you would like the individual to be able to make financial decisions on your behalf and to have general powers.

If you would like more information on a durable power of attorney and how this can help your estate plan, contact the Coleman Law Firm by calling 727-461-7474 and setting up a confidential consultation.

Durable Power of Attorney Designations

A durable power of attorney may be one document that your Safety Harbor lawyer recommends as part of a comprehensive estate plan. Your Safety Harbor attorney can explain the dynamics of this legal designation.

General Guidelines

Your Safety Harbor lawyer can explain that a durable power of attorney gives you, the principal, the power to designate another person, the agent, to take care of your personal financial affairs. The powers that you give the agent are at your discretion. There are general rights that a power of attorney usually receives, such as the ability to file your tax returns, execute contracts on your behalf, complete bank account transactions and register motor vehicles unless you have different instructions. You may also prefer to limit your power of attorney to a particular task, such as selling real estate.

Durability

A Safety Harbor attorney can explain the special term “durable.” Generally, a power of attorney expires upon the incapacitation of the principal. However, a durable power of attorney endures after the principal becomes incapacitated. This means that the individual will retain the right to take care of your financial affairs if you become incapacitated.

Types of Power of Attorney Designations

There are several ways that you can establish a power of attorney relationship, as your Safety Harbor lawyer can explain. For example, you can grant a special durable power of attorney. This provides for the completion of tasks related to a specific project, such as the sale of a house. A springing power of attorney allows you to designate an agent of your choice, but the individual does not get the power to conduct your financial affairs until you become incapacitated or until another event transpires that you establish ahead of time. You can also grant a general durable power of attorney if you would like the individual to be able to make financial decisions on your behalf and to have general powers.

If you would like more information on a durable power of attorney and how this can help your estate plan, contact the Coleman Law Firm by calling 727-461-7474 and setting up a confidential consultation.