- Posted by Jennifer Kennedy
- On December 10, 2023
The significance of a power of attorney cannot be emphasized enough. A power of attorney grants someone the authority to act on behalf of another person in specific or all legal and financial matters. The importance of a power of attorney may vary depending on the specific circumstances and the type of power of attorney granted. It is impossible to predict when this document will be required.
Power of attorneys are commonly utilized as part of estate planning to ensure that a trusted individual can handle the principal’s affairs, including property and financial matters, in the event of incapacity. They can also be used in business settings, where a power of attorney authorizes someone to act on behalf of a business entity, facilitating smoother and more efficient business transactions.
In situations where the principal is incapacitated or unable to make decisions, a power of attorney allows an appointed individual (the agent or attorney-in-fact) to make decisions on behalf of the principal. When the principal is unavailable, such as during travel, a power of attorney enables the designated agent to manage the principal’s affairs and make necessary decisions.
While we only have today, it is still important to plan for the future. Therefore, it is advisable to consult with a trust and estate attorney to obtain a power of attorney and all the necessary documents for an estate plan that suits your requirements. This way, you and your family can have peace of mind knowing that your personal property and finances are in capable hands.