It’s vital to name a party to make decisions on your behalf regarding your finances, real estate, tax, and other matters related to finances and property when you are unable to. The California Statutory Power of Attorney (POA) form allows you to appoint this agent. Once you sign this form, the agent can manage, dispose of, sell and convey your real and personal property.
You need to be adequately informed before making any decisions. Here are some of the things you should know:
Choose the right party
Who among your loved ones can you give such power over your finances?
You want to choose someone you can trust and are comfortable sharing your financial information with. Additionally, choose someone whose financial management skills are great. Someone with excellent communication skills can also be suitable for this role.
You can choose more than one agent if you have two or more parties with the needed characteristics. Or if you have a complicated estate. If you opt for this route, you will specify on your form if the chosen agents will work separately (each can act alone) or jointly (all agents must act together; for example, they must all sign a property before it’s sold).
Know when they will need to serve
You should be clear about when your agent will need to assume their duties. Typically, they will serve when you become incapacitated, for example, when you develop dementia or are involved in an accident and sustain a traumatic brain injury (TBI). Thus, a POA is not only for older individuals.
You should consider filling out the POA form when drafting other estate planning documents. Get legal help to ensure you follow the required steps to validate your decisions.