A power of attorney authorizes someone else to make decisions on your behalf. For instance, you could use a financial power of attorney to allow someone to pay your taxes or access your bank account. You might use a medical power of attorney to give your agent the authority to make medical decisions or inform your doctors about the types of treatment you would approve.
This can be highly beneficial if you need someone to act on your behalf, making it an essential part of estate planning. However, you might worry about drafting a power of attorney because it involves granting someone else the right to make these decisions. Does this mean you’re giving up control of these decisions permanently?
A springing power of attorney
It is possible to draft a power of attorney that takes effect immediately, but this is not what most people choose to do. Instead, many people use a springing power of attorney. This type of document does not change your rights the moment it is created; it only goes into effect—or “springs” into action—at a later date.
In many cases, the trigger for the power of attorney is incapacitation. For example, as long as you can make your own medical decisions, you retain that right exclusively. But if you become incapacitated—such as suffering a stroke that leaves you in a coma—the power of attorney goes into effect. Your agent then has the legal authority to make choices on your behalf. If you recover and are no longer incapacitated, the agent loses that authority, and you regain the ability to make your own decisions.
Careful planning is essential
Using a springing power of attorney allows you to ensure that assistance is available when you need it, without relinquishing control prematurely. However, it’s crucial to draft your power of attorney correctly and define precisely when it will take effect and how it will operate. Take the time to explore all your legal options while creating your estate plan.
