Power of Attorney: Types, Costs & How to Create One
Power of Attorney: Types, Costs & How to Create One What happens if you become unable to manage your finances or make medical decisions? A Power of Attorney (POA) ensures someone you trust can act on your behalf. This guide explains types, costs, and how to create one. What Is Power of Attorney? A legal document that authorizes someone (your "agent" or "attorney-in-fact") to act on your behalf in financial, legal, or medical matters. You (the "principal") choose the agent and define their powers. POA can be broad or limited, temporary or permanent. Types of Power of Attorney Durable POA: Remains in effect if you become incapacitated. Most important type. Non-durable POA: Ends if you become incapacitated. Springing POA: Takes effect only when a specific event occurs (e.g., incapacity). Immediate POA: Takes effect as soon as signed. Financial POA: Manages money, bills, property, taxes, investments. Medical / Healthcare POA: Makes medical decis...