Many estate planning documents address what happens after someone dies. Others protect people from emergencies while they are alive. Powers of attorney take effect when people have incapacitating emergencies that leave them incapable of meeting their own needs or communicating with others.
Powers of attorney can authorize another competent adult to pay an incapacitated individual’s bills, communicate with medical professionals and make determinations about their treatment. As is true for many types of estate planning documents, most people might benefit from drafting powers of attorney.
Certain people may have more reason to plan for incapacity than others. Who may be more likely to require the support of others after a personal emergency?
1. Adults in their teens and 20s
Those who are just starting their careers or completing their education often expect to remain healthy throughout that process and for many years afterward. Unfortunately, people never know when they might get diagnosed with cancer or get hit by a car in a parking lot.
Young adults who are over the age of 18 can no longer rely on their parents to address their legal and financial needs in an emergency. Their parents lose that authority when they become legal adults. Powers of attorney allow young professionals and college students to empower others to act on their behalf in an emergency.
2. Recently divorced adults
People who are already well-established in life may take for granted that they have protection. Frequently, spouses have the authority to handle financial matters or medical affairs for one another.
After a divorce, an individual who previously had support may need to consider drafting powers of attorney. They can name someone to assist them if they become incapacitated unexpectedly.
3. People preparing for retirement
Alzheimer’s disease and other conditions related to dementia are common concerns among older adults. Even those who do not have diagnosable medical conditions may begin struggling to manage their own affairs.
They could then be at risk of others trying to seek control over their daily lives and finances. Aging adults may want to establish durable powers of attorney to ensure that someone they trust assumes that authority if they can no longer manage their own affairs.
Creating or updating powers of attorney can be important estate planning steps for people in a variety of different circumstances. Adults with robust estate plans can often feel more confident about their protection regardless of what transpires in their lives.