While life should be lived with hope and optimism, it is important to be prepared for anything. It can be particularly painful to picture worst-case scenarios when it comes to your beloved children, but ultimately being prepared and formulating a plan is in their best interests. Taking action now ensures they’ll be taken care of later.
Even an energetic young person can become incapacitated from an injury suffered in an accident or they might fall seriously ill. Out in the world on their own, some young adults can make poor choices, leaving them to battle addictions or fight for their lives.

What Does Power of Attorney Mean?

A Power of Attorney (POA) is a legally binding document that allocates one person the responsibility and authority to manage the affairs of another. POAs are typically issued for those who can no longer handle their affairs due to disability, illness or old age.

 

2 Types of Powers of Attorney

POAs can be for medical or financial decision making and can also be made effective immediately, or in the event of an unforeseen disability. The powers gained by a POA can be temporary, as can be the case in circumstances such as a single real estate transaction, or can be designated for the long term to manage things like healthcare.

Healthcare Power of Attorney

A healthcare Power of Attorney appoints a specific person or agent to make decisions related to health care on behalf of another should they become incapacitated. This might mean the inability to communicate or make sound decisions themselves. Agents can help make decisions based on the preferences of the appointing person, which are documented in a healthcare POA.

Financial Power of Attorney

A financial Power of Attorney is similar with the exception that it allows an agent to make decisions that affect the finances of an incapacitated person. Funds can be accessed and used to pay bills, settle debts and make decisions about income and expenses. While young people who are just starting out may not have a lot of assets, they do have financial obligations and resources like debit and credit cards, bank accounts, student loans and apartment leases that can have financial implications. Many also have digital assets, such as social media accounts, that bring in income.

Setting Up a Power of Attorney

When you or a loved one can no longer make your own decisions, you want to be assured that someone you trust will be making the right ones. Securing this choice in a legally binding document protects your assets, and those of your loved ones from the hands of anyone trying to take advantage of a situation to claim or mismanage them.
A POA must be made legally binding as stipulated by state law. This typically means having it signed in front of two witnesses and having it notarized. The appointed agent should also be made aware of how to access it if it’s ever needed. It’s also noteworthy that a POA can always be altered and updated.

Conclusion

If you live in or around the Metro Detroit Area, Foley Law Offices is the name to trust to get your Power of Attorney right. With law offices in Southeastern Michigan, you can easily get started with a free case evaluation. A family law practice that will put 30 years of experience into getting your POA done the way it should be, this reputable and reliable legal team can also handle related matters such as setting up a will or other estate planning and probate matters. Call 734-462-7500 to set up a POA for a graduate today.