One of the important parts of Estate Planning in Wheat Ridge and Jefferson County is creating a durable financial power of attorney. This document allows you to choose another person to manage your finances if you become incapacitated or unable to do so yourself. Let’s look at the different tasks the person you choose in your durable power of attorney will be responsible for.
Responsibilities of the Agent Chosen in Your Durable Power of Attorney in Arvada
Assigning an agent in your durable financial power of attorney does not give that person free reign on your finances. They are required to follow the guidelines and directions provided in the durable power of attorney. These are some of the tasks your agent may take on for you:
- Paying your taxes
- Paying your bills
- Investing your money
- Paying medical expenses
- Managing your real estate
- Purchasing and managing insurance policies
- Managing your bank accounts
- Managing your business
- Hiring help if necessary
You can decide which tasks and responsibilities you want your agent to handle. The idea is that the person you choose will have your best interest in mind when making any decisions regarding your finances.
Durable Financial Power of Attorney: When Does My Agent Take Control of My Finances?
Remember, the agent you choose in your durable power of attorney only becomes active as your agent if you become incapacitated. It’s not like they can just take over your finances whenever they choose. However, this is a big responsibility and it is a position of trust. You need to think through your choice and make sure that the person you choose is trustworthy and up for the task. It’s important to have a conversation with your chosen agent as well. Explain to them why you chose them and what your expectations and wishes are. This will give you peace of mind if something should happen that all your bases are covered.