People can group estate planning documents into two main categories. There are testamentary instruments that take effect after a person dies. Wills and trusts are usually beneficial for those hoping to control the descent of their property and arrange for the protection of their dependents.
There are also living documents that can protect people experiencing incapacitation. Powers of attorney are relatively common estate planning documents. Many people are familiar with the idea of medical and financial powers of attorney. These legal documents allow a trusted person to make medical choices, manage assets and pay bills on behalf of an incapacitated person.
However, durable powers of attorney do not always receive the recognition that they deserve. Durable powers of attorney differ from other documents because they remain enforceable after the principal who drafted the documents becomes permanently incapacitated.
When night adults potentially need to consider drafting durable powers of attorney?
When facing major medical challenges
Serious injuries and debilitating medical conditions can leave people vulnerable and at risk of future medical complications. They may want to plan in advance for the possibility of their condition worsening.
People preparing to undergo cancer treatment, for example, may have an elevated risk of incapacitation in the future. Those dealing with chronic, progressive or terminal medical conditions often draft durable powers of attorney to protect themselves from the possibility of permanent incapacitation and involuntary guardianship.
When preparing for retirement
Long-term incapacitation does not always follow a diagnosis or injury. Sometimes, an individual’s medical status changes abruptly. Strokes and cardiac events are among the unpredictable medical incidents that could leave people incapacitated and incapable of managing their own affairs. Others may experience a gradual decline as they age that eventually leaves them in need of support.
People thinking about their support needs as they prepare for retirement may want to add durable powers of attorney to their estate plans. They can then confidently navigate life, knowing that an agent of their own choosing has the authority to act on their behalf should an emergency arise.
Adding the right documents to an estate plan can make a significant difference for people who may eventually require outside support. Durable powers of attorney are invaluable in scenarios where people lose the ability to manage their own affairs due to sudden emergencies or gradual decline.