Estate planning can be beneficial for almost any adult. However, people in certain circumstances may need specific documents more than others. Powers of attorney are some of the most important and commonly-overlooked estate planning instruments.
All too often, people take for granted that others can provide them with adequate support in an emergency scenario. Powers of attorney help ensure that there is someone with the necessary legal authority to manage someone’s finances or oversee their medical care after an incapacitating incident.
Some groups of people may benefit more than others by drafting powers of attorney. Who may find these crucial estate planning documents to be particularly valuable?
Young adults
Those who have just turned 18 typically do not have a spouse. They also lack the support that parents can provide minors. Once a child becomes an adult, their parents can no longer access their medical records or make medical decisions on their behalf even in an emergency scenario. Powers of attorney are therefore very valuable to people who have recently turned 18. Whether they intend to leave home for college or start a career, they can create documents that empower others to support them in an emergency.
Adults on the cusp of retirement
As people age, they sometimes experience a decline in cognitive ability. They may eventually become permanently incapacitated due to Alzheimer’s disease or other medical challenges. People preparing for retirement may want to draft durable powers of attorney to protect themselves from involuntary guardianship. If their health declines as they age, someone they trust can assume responsibility for them if they have the right paperwork in place.
Recently divorced adults
Spouses are frequently the only people capable of accessing an individual’s financial accounts or making choices about their medical care. After an adult divorces, they are in a vulnerable position should an emergency arise. By choosing someone they trust, such as a sibling or adult child, to serve as their attorney-in-fact, they can ensure that they have support in a personal emergency.
Adding powers of attorney to an estate plan can be a smart move for people of all ages and medical conditions. Robust estate plans protect people in many scenarios, including medical emergencies.