Common Uses for a Power of Attorney

A power of attorney (POA) is a document that gives another person or party the authority to act on your behalf as your “agent.” Creating one or more power of attorney documents, and naming one or more agents, is common in any estate plan. While powers of attorney are critical to ensure that you have another person you trust to handle your financial affairs and to make important health care decisions on your behalf if you become incapacitated, there are also many other common uses for a power of attorney that might not immediately come to mind. Why might you need a POA? Consider all of the following common reasons for POAs from our Gwinnett County estate planning lawyers.

Handling Your Financial and Personal Matters in the Event of Your Incapacity 

An agent in a power of attorney can step in to handle the financial affairs of the principal in the event the principal becomes incapacitated. This type of POA is often known as a “springing” power of attorney because it only springs into effect when the principal becomes incapacitated, and not before.

Making Health Care Decisions in the Event of Your Incapacity 

Georgia’s advance directive for health care allows a person to name a health care agent who can make critical medical and other health-related decisions on their behalf in the event that the person becomes incapacitated or otherwise cannot make such decisions for themselves.

Filing Your Taxes 

You can create a POA to name an agent who annually files your taxes, or you can authorize a person each year to file your taxes for you with a POA.

Handling Your Insurance Claims 

Handling insurance claims of all types can be complicated and frustrating. Depending on your situation, you may be able to name an agent through a POA who can handle any personal or business insurance claims on your behalf, and can ensure that you receive the proper payout from the insurance company. Your agent often can also negotiate with the insurance company on your behalf.

Taking Care of Various Issues in Georgia for Your Child Who is an Out-of-State College Student

For many Gwinnett County residents, it is important to ensure that their children who are out-of-state college students create POAs that name them as agents to handle any matters in Georgia that might arise while the child is away at school.

Managing Certain Accounts and Investments 

An agent named in a POA can manage a range of accounts owned by the principal (i.e., the person who has created the power of attorney document. Agents commonly manage certain intangible investments, as well as investment properties, as well as retirement accounts.

Finalizing Real Estate Transactions 

An agent can supervise real estate transactions on behalf of the principal, and can often finalize certain aspects of real estate transactions.

Contact a Norcross Estate Planning Attorney 

If you have any questions about creating a power of attorney, or if you want to find out more about including a power of attorney in your estate plan, an experienced Norcross estate planning lawyer at Bowman Law Firm can help. We provide a wide range of estate planning services to residents of Gwinnett County, and we can begin working with you today on your Georgia estate plan.

Source:

law.justia.com/codes/georgia/title-10/chapter-6b/