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Including power of attorney documents when estate planning

Though most Minnesota residents would like to be in charge of their personal affairs, there may come a time in life when they cannot make important decisions. Luckily, individuals can use estate planning to better ensure that someone they trust is in line to make important decisions on their behalf when they cannot. A power of attorney document can help.

Someone who creates a power of attorney document is known as the principal, and the person he or she chooses to make decisions is known as the agent or attorney-in-fact. Planning ahead can help parties feel more confident that the appropriate person will make legal, financial or health care decisions for them. It is also important to note that more than one agent could be appointed to make decisions in various capacities.

Interested parties may also want to go over the different types of power of attorney documents available. When it comes to estate planning, durable and springing POAs are most common. A durable POA goes into effect immediately after signing and continues until the principal's passing. A springing POA only goes into effect under specified circumstances, such as the principal becoming incompetent. 

Using a power of attorney document can seem intimidating for some. They may think that they are signing away their right to make decisions, but that is not the case. Interested or concerned Minnesota residents may want to discuss this estate planning option further with experienced attorneys who can provide useful information about the uses of POA documents and how they can bring peace of mind for the future.

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