Learn About Using a Financial Power Of Attorney / Statutory Durable Power of Attorney for Estate Planning in Houston, TX
A statutory durable power of attorney is an exclusive type of power of attorney. A “durable” power of attorney means that it remains in effect even if the Principal (i.e. the person making the power of attorney) becomes incapacitated. These are especially helpful in matters concerning one’s own personal finances. When someone becomes ill from sickness or disease, and becomes incapacitated, the Statutory Durable Power of Attorney designates who can make the financial decisions for the individual. This makes it critical to prepare a statutory durable power of attorney as part of the estate planning process.
Preparing an estate plan is about much more than planning for what happens after your death. Financial powers of attorney, or statutory durable powers of attorney allow you to name a certain individual to have decision-making power and direction over your financial interests and business concerns should you become incapacitated. They provide a seamless continuity in the access of funds and the handling of your affairs. At Law Office of Troy M. Moore, PLLC, our Houston financial power of attorney lawyer can help you establish a financial power of attorney directive that provides assurance that your finances will be handled correctly should you become incapacitated.
Houston Financial Powers Of Attorney — Establishing A Statutory Durable Power Of Attorney
The person you establish as your financial power of attorney will typically be able to access your funds to take care of daily concerns, such as paying bills, mortgages, taxes and arrangements. He or she is often allowed to monitor your accounts and pull statements as needed. As a result, it is important to choose the right agent for your needs. You are allowed to place whatever restrictions or parameters you choose, limiting access to your finances.
Some individuals entrust a great amount of authority to their durable power of attorney, allowing him or her to make investment decisions or take over shareholder responsibilities. We will listen to your needs in this area and help you establish a directive that is customized to your financial needs and comfort level.
Without a financial power of attorney, a guardianship is generally sought to provide someone close to you these powers. Having a guardian appointed can be a time-consuming and expensive process that involves going to court, a costly inconvenience during a time when you are incapacitated, family members are stressed and time is of the essence in dealing with financial concerns. Having a financial power of attorney avoids these headaches and provides you confidence that your affairs will be handled in a timely manner and in accordance with your wishes.
You should really consult with an experienced Houston estate planning lawyer to assist with your Statutory Durable Power of Attorney because if it is not done correctly, it can be a problem when your designated Agent goes to use it. Do not settle for a home-made power of attorney that will not protect you.
This is particularly important for same-sex couples. Same-sex marriage is not legally recognized in Texas, and without this directive, your partner or spouse will not be able to handle your affairs.
Q&A with Houston Financial Power of Attorney Lawyer Troy M. Moore
Why is a financial power of attorney important?
A financial power of attorney is important for lots of reasons. Fundamentally, having a financial power of attorney in place ensures that a trusted person will be able to make important decisions about your finances should you be unable to do so (this is referred to as a “springing” power of attorney).
Your chosen agent will only be able to make certain decisions on your behalf as specified in in your financial power of attorney—ensuring that you retain control over the circumstances in which your loved one (or any other designated individual) has agent authority with respect to your bank accounts and other financial assets during your lifetime.
What should a financial power of attorney document contain?
A financial power of attorney document should contain several key provisions to ensure that it properly names an attorney-in-fact and that it is enforceable in accordance with your wishes. Some key provisions include:
· Designation of the document as either a general power of attorney or limited power of attorney
· Designation of your attorney-in-fact (this may be an adult child or anyone else you choose (minor children are not eligible))
· A written statement that you have prepared the document while you are of sound mind and capable of making legal decisions about your assets and property
In Texas, a power of attorney must also be signed by two adult witnesses.
Should I also have a healthcare power of attorney?
Yes, in addition to appointing someone to manage your financial affairs should the need arise, it is also important to appoint someone to make medical decisions on your behalf if necessary. This involves preparing a healthcare power of attorney, also known as a medical power of attorney. Just like a financial power of attorney, this is a legal document crafted under Texas law that only comes into play if and when it is needed, including (but not limited to) when your healthcare agent needs to make decisions about end-of-life care.
A healthcare power of attorney is different from an advance directive, which provides direct guidance regarding your wishes for medical care to your medical providers. When you sit down with estate planning lawyer Troy M. Moore, he will help you consider all of your options and help you make informed decisions with your and your loved ones’ best interests in mind.
Schedule a Confidential Initial Consultation Today
Our firm represents Texas residents in all estate planning matters. If you have questions about preparing a financial power of attorney naming a loved one to make important decisions on your behalf, we strongly encourage you to get in touch. We provide straightforward and custom-tailored advice, and we never charge any hidden costs or fees. To get started with a confidential consultation, call 281-400-5270 or contact us online today.
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