Do not forget the powers of attorney when creating an estate plan
Estate planning is about more than just what will happen to a Nevada resident’s property after his or her death. However, there is another aspect to it that also needs to be included in order to complete an estate plan. Powers of attorney will ensure that someone is available to make decisions on behalf of an individual if he or she becomes unable to do so.
A health care power of attorney allows someone the individual trusts to make medical decisions for him or her if necessary. It would be beneficial to discuss the matter with the person intended to handle these decisions to ensure that the individual’s wishes are clear and the other person is willing to carry out those desires. Medical directives should also be included to provide a road map for the agent to follow.
A durable power of attorney allows a trusted agent to handle financial issues on an individual’s behalf. This document is effective when it is signed. In the alternative, a springing power of attorney only becomes effective when an event such as incapacitation occurs. These powers of attorney can grant the agent as much or as little power as the individual is comfortable giving.
Determining what kind of powers of attorney will work best for an individual depends on many factors. The matter should be discussed with an attorney who can outline the pros and cons of each. Once addressed, both the individual and family members can have peace of mind that contingencies are in place should anything render a Nevada resident unable to make decisions for him or herself.
Source: nerdwallet.com, “5 Key Items for Your Estate Plan“, Heather Castle, Oct. 27, 2016