Answers To Your Questions About Establishing Powers Of Attorney and Why It Is So Important During The Coronavirus Pandemic
The coronavirus pandemic continues to take a terrible toll on New York. As people of all ages are at risk, it is important to put the proper estate planning documents in place. This can help ensure your financial affairs are attended to and that your loved ones are provided for in the event you get sick. Naming someone to act as your Power of Attorney should be a top priority.
The Importance Of Naming Someone To Act As Your Power of Attorney
Naming a Power of Attorney (POA) is a basic task in estate planning. The New York Senate advises consulting with an experienced attorney to ensure it is done properly. In creating this document, you authorize someone to act on your behalf in business and financial matters in the event you are incapacitated. As this needs to be someone you can trust, people often pick a family member.
While this is perfectly acceptable, you do want to be sure they have the time, knowledge, and willingness needed to take on this important task. You also want to be sure they will handle matters in a way you would want while protecting your best interests. Areas in which they will be authorized to act on your behalf include:
- Managing investments and funds in bank accounts;
- Managing any government benefits you receive;
- Paying monthly bills and other debts;
- Collecting on debts that may be owed to you;
- Attending to any businesses you own;
- Managing your personal property and real estate;
- Selling or purchasing additional property as needed;
- Making decisions regarding any legal claims or litigation you are involved in;
- Filing federal tax returns and handling tax matters in New York State.
Common Questions About Powers of Attorney
A Power of Attorney can help to ensure your family is provided for and your affairs continue to run smoothly in the event of a serious accident or illness. Common questions our legal team often hears in regard to creating this document include:
- Can I name more than one person to act as my power of attorney? You can appoint more than one person but will need to decide if they work jointly or separately.
- How do I know they will make good decisions on my behalf? The person you select has a duty to act in your best interests. If they fail to do so, they can face legal actions.
- Can I revoke my power of attorney? You may revoke it once you recover or if you feel your affairs are not being managed properly.
- When does it go into effect? It generally goes into effect if you are hospitalized or otherwise unable to attend to business and financial matters on your own.
Let Us Help You Today
Cavallo & Cavallo provides the trusted legal guidance you need in creating a Power of Attorney and other important documents. To discuss your options, call or contact our Bronx & Westchester estate planning attorneys online today.