Important Documents: Durable Power of Attorney

Don't let the word attorney scare you. When you create a Durable Power of Attorney you don't have to be an attorney or assign them as your agent. I want to clarify something first. This document is here to help ensure your finances are protected if you can't speak for yourself. And this is what we are going to talk about today.

Durable Power of Attorney

A Durable Power of Attorney is a document that allows an agent to make fiscal choices for you.¹ What does fiscal mean? And what is an agent? Fiscal is another word for money. Additionally, an agent is someone you have chosen to make fiscal choices for you.² This agent is someone that you trust and who has your best interests at heart.

Also, a Durable Power of Attorney is distinct from a General Power of Attorney. The big difference between the two is that a Durable Power of Attorney does not end if you become incapacitated because of illness or an accident.³

How to create this document

Now that you know what a Durable Power of Attorney is, you might want to know how to create one. There are requirements, just like with a Last Will and Testament. But they are distinct for the Durable Power of Attorney. These requirements protect you and your agent. Texas Law Help has provided the following requirements when making a Durable Power of Attorney.

1. It must be in writing.
2. It must be the person that you want to be your agent.
3. It must say how the power of attorney is to be used.
4. It must be signed and notarized.

After learning about these requirements, you might want help making your Durable Power of Attorney. You can ask a law office for help. Another option is the internet. For example, websites like Legal Zoom are available. Legal Zoom isn’t a law office. It is a technology company that helps people with legal documents without requiring them to hire a lawyer.⁴ This may be a good option if hiring a lawyer is not possible.

Making changes

Additionally, you can cancel or change a Durable Power of Attorney. This is called revoking a Durable Power of Attorney.³ You must tell your agent if you make changes or cancel your Durable Power of Attorney. Remember, your agent is the person you assigned to make financial choices for you. Also, you must tell the people who work with your agent that it has been canceled. For example, the people who work with your agent may be a family member, a doctor, or hospital staff.

If you want to make changes, your new document must follow the initial document requirements.⁵ That means it has the same requirements as the first Durable Power of Attorney.  For example, it must be in writing, and you must specify who you want as your agent. Additionally, it must say how the Durable Power of Attorney is to be used, and it must be signed and notarized. Make sure any changes to your Durable Power of Attorney are done correctly and legally. You don't want to create a new Durable Power of Attorney only to learn it was done incorrectly. Recall that there are people you can talk to if you have questions.

It takes a lot of time and energy to create legal documents. Additionally, it is important that you understand why you need each document. And you need to know what they are for. Recall that learning new things takes time and patience.

It is okay if you don't have all the answers when you make your Durable Power of Attorney. Asking for help is a good thing. And know that there is no such thing as a bad question. At the end of the day, it is vital to make sure that you are taken care of if you cannot speak for yourself.