When planning your estate in Tennessee, it’s important that all of the details are clear and concise. You and your heirs should know everything about powers of attorney. This includes what they can be used for and knowing their limits. The more information you all have, the better protected your estate.
What is the role of power of attorney?
A power of attorney is a legal document that allows you to designate a person to manage your property, finances and affairs if you become incapacitated and cannot do it yourself. Powers of attorney are included in estate planning to protect you and your assets. It can ensure that your bills are paid and your affairs are managed. A person you name as your agent can ensure that your wishes are met regarding your medical care.
Important facts to remember about power of attorney
Unfortunately, with the increase of fraud, many financial firms have special standards for accepting powers of attorney. When you are in the process of planning your estate, it’s important for you and your heirs to know a few facts. They include the following:
- Your power of attorney won’t be recognized if it was created more than 60 days prior. The only exception to that rule is if it was certified by a bank officer. You may have to create a signed, notarized version regularly in order for your power of attorney to be effective.
- Some financial firms may require your power of attorney be on their forms and executed every year.
- Your power of attorney may not be recognized if you have a designated agent who resides in a different state. Your agent may also have to convince the financial firm that they are, in fact, the designated agent.
You may want to have a revocable living trust along with your power of attorney. It can help you avoid probate and any co-trustee or successor you name can manage your affairs if you are incapacitated. It can minimize or even prevent potential issues that might arise.
Who to turn to for help
You should hire an attorney to help you with your estate planning. An attorney may be able to help ensure that your power of attorney is in order so that your wishes can be carried out.
