Empowering Your Loved Ones: Choosing the Right Agent for Your Power of Attorney
Every adult should consider creating a Power of Attorney, a legal document that enables someone else – known as your “Agent” – to act on your behalf in financial or healthcare matters. It is a powerful tool that can prove invaluable during emergencies or if you find yourself suddenly incapacitated.
Choosing the right agent is a critical decision that one should not take lightly. Without careful consideration, you may end up entrusting someone who is unsuited or incapable of managing your affairs. In this article, we aim to provide you with valuable information to empower your loved ones by choosing the right agent for your Power of Attorney.
What is Power of Attorney?
The Power of Attorney (POA) is a legal instrument that permits someone to act on your behalf. It gives the individual you select – your “Agent” – the legal power to make decisions on your behalf, including financial, medical, and other matters of importance. It is an essential tool for people of all ages, as no one can predict what the future will bring.
Types of Power of Attorney
There are two types of Power of Attorney, each with specific provisions and requirements, which you should understand before selecting your agent:
1. Financial Power of Attorney: This type of POA gives your agent the authority to manage your financial affairs such as banking, investments, and real estate transactions.
2. Healthcare Power of Attorney: This type of POA gives your agent the ability to make medical decisions on your behalf. Your agent would act as your advocate, ensuring that your medical decisions align with your preferences, even if you are unable to communicate.
How to Choose the Right Agent for Your Power of Attorney
Choosing an agent for your Power of Attorney is a complex decision that requires careful consideration. Here are some useful tips to help guide you in selecting the right agent:
1. Trustworthiness: Choose someone you trust implicitly. Your agent will have access to your finances, medical records, and other sensitive personal information, so you need to pick someone who values your trust and will act on your behalf accordingly.
2. Responsibility: Your agent should be someone who is responsible and has a track record of managing their own affairs. If they have a history of recklessness or poor financial decisions, then they may not be suitable to manage your affairs.
3. Availability: Your agent needs to be someone who is available to assist you when required. If your first choice is someone who is frequently out of the country or unable to be contacted regularly, then you should consider choosing someone else.
4. Communication Skills: An agent with excellent communication skills will ensure that your wishes are conveyed correctly. They should be able to articulate your desires to healthcare providers or financial institutions in a clear and concise manner.
5. Compatibility: Your agent should be someone who understands your values, beliefs, and preferences. They should be able to make decisions that align with your wishes, even if that means going against their own beliefs.
6. Experience: Your agent should have some experience in managing finances, medical decisions, or both. If your agent has already acted as an agent for another individual, then they would have gained valuable experience that would be useful when acting on your behalf.
7. Disinterestedness: Your agent should be someone who is not interested in profiting from your assets or decisions. They should understand that their role is to act in your best interest, not to enrich themselves at your expense.
Selecting a backup Agent
In case your primary agent is unavailable or unable to act on your behalf, you should select a backup agent. A backup agent is especially important if your first choice lives far away or is frequently unavailable. When choosing a backup agent, ensure that they meet the same criteria as your primary agent and that they are aware of their role in your affairs.
Conclusion
Creating a Power of Attorney is a vital step in empowering your loved ones to manage your affairs in case of incapacity. Selecting the right agent is a crucial decision that requires careful consideration, trust, and compatibility. By following the tips discussed in this article, you will be able to empower your loved one to make the right decisions on your behalf when you are no longer able.