Nobody likes to think about being medically incapacitated. However, when it comes to managing your estate, it is vital to plan for the worst case scenario. For instance, if you know that dementia runs in your family, creating a plan early is of paramount importance.
Comprehensive incapacity planning is a must for anybody, no matter what your health pedigree is. It is possible for anybody of any age to end up incapacitated. Proper incapacitation planning provides necessary guidance for your family in the event the unthinkable happens.
What does “power of attorney” mean?
There are two main types of power of attorney concerning incapacitation planning: financial and medical.
Financial power of attorney gives a directed entity the ability to pay bills, make financial decisions, sell real estate, file tax returns and do other financial maneuvering on your behalf.
Medical power of attorney is sometimes called a healthcare proxy. This is when you give a directed entity the ability to make medical decisions for you if something incapacitates you. The person you give medical power of attorney to will be the one to “pull the plug” if you indicate in your documents that you do not wish to continue medical interventions on your person after a certain point.
Are there other documents?
Yes. It is a good idea to create a revocable living trust if you have not. With a revocable living trust, three main parties come together to manage your assets. You as a person who creates the trust, the person who manages the assets that are in the trust and the person who ultimately benefits from the trust. Assets you place in a revocable living trust bypass probate and help make distribution of your assets easier and much faster. Otherwise, there is a risk that key elements of your estate will end up in probate for years.
You should also create a living will. This is the document that your power of attorney will use when executing your directives. It is possible that some physicians may try to override the wishes of your family members without a living will. Additionally, if you are experiencing an unexpected incapacitation, your family members will be going through a difficult time. Having a living will in place will make it easier on them during a rough situation. AmeriEstate Legal’s healthcare directive ensures that your end of life decisions are made and that you have appointed a person to ensure those wishes are met.
Who should I pick to manage my assets?
This is a very personal process and the answer is different for every individual. You should pick somebody that you trust will act in an impartial manner toward all potential beneficiaries. It is also wise to pick somebody who is generally responsible with paperwork and a good communicator.
Make sure you have a comprehensive incapacitation plan in place for this chosen person to follow. Contact us today at AmeriEstate to learn more about how we can help you create a comprehensive estate plan for all eventualities.