Choosing who should act under a power of attorney and what they should be able to do should be a well thought out decision. An agent under a power of attorney is a fiduciary role and the agent is required to act in the best interests of the principal. This is why it is important to select someone you absolutely trust with this responsibility, whether it be a loved one or a professional fiduciary. There are different types of power of attorney to choose from that give you the option to decide if you want financial decisions to be made on your behalf or not.
Types of Power of Attorney
General Durable Power of Attorney: A general durable power of attorney allows a person chosen by you to handle personal business matters relating to your property, as well as make other financial decisions on your behalf, if you become unable to make those decisions for yourself.
Limited Power of Attorney: This can be a good option if you only wish to have someone act on your behalf for particular matters. This person will only be able to act on your behalf for the items listed in the agreement. Limited power of attorney can be very effective and provide you peace of mind in connection with those specific matters, but you still should have a general power of attorney in place.
Springing Power of Attorney: A springing power of attorney can be set to go into effect only when two medical providers certify that you can’t make your own decisions due to mental or physical incapacitation.
When You Might Need a Power of Attorney in New Mexico
Having a power of attorney in place can be helpful in the event you are ever unable to care for yourself or make decisions. Although this isn’t the most enjoyable thing to think about, setting up a power of attorney while you are able to make decisions can be one of the best decisions you make for yourself. This way you are able to select someone you trust to act in your best interests when you are unable to rather than leaving that decision to a judge in a conservatorship proceeding.
New Mexico Estate Planning Attorneys That Are Here to Help
Setting up a power of attorney is no easy task. With multiple options this can be overwhelming. Our estate planning attorneys are here to help inform of your options, help you choose the option that is best for you, and guide you through the process. We are experienced in all matter of estate planning and can help you draft the appropriate power of attorney form to help you be prepared for the unexpected. If you have any questions about drafting a power of attorney form contact us today.
