Powers of Attorney
What are they?
A Power of Attorney is a document in which you give certain powers to another person to act on your behalf. The powers are typically listed in the Power of Attorney and generally permit your agent to make financial decisions for you. The person you nominate will serve as your "agent" or as your "attorney-in-fact."
When are they effective?
A Power of Attorney can be effective immediately or at a later date; for example, if you are incapacitated or a certain event occurs, such as if you are deployed to work overseas or serve in the military. You can also put an end date on the Power of Attorney, or you can leave it open ended so that it does not expire.
Limitations on powers
Powers of Attorney can grant your agent the ability to do anything that you would be able to do on your own. It is important that you understand which powers you are granting to someone else. You have the ability to limit the powers of your agent by clearly stating that certain powers are not being granted, such as limiting the ability of your agent to change your estate plan or changing the beneficiaries of your insurance policies.