Power of Attorney in Massachusetts
Understanding Power of Attorney in MassachusettsA durable power of attorney is a vital component of your comprehensive estate planning strategy. It's a legal document that designates a trusted individual to act on your behalf concerning legal and financial matters if you become incapacitated. Let's explore the nuances of power of attorney, the types available, and the considerations for selecting the most suitable one for your needs.
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Types of Power of Attorney
- Durable Power of Attorney: This type of power of attorney becomes effective immediately upon execution, granting your chosen agent full authority to make decisions on your behalf. It remains in effect until you decide to revoke it.
- Springing Power of Attorney: Unlike the durable version, a springing power of attorney only takes effect once a specific determination is made that you are unable to make decisions on your own.
- Limited Power of Attorney: This form specifies the particular decisions your agent is authorized to make on your behalf.
All three of these types of power of attorney have certain limitations that you should be aware of, most importantly that they become ineffective as soon as the person granting the power dies.
Choosing the Right Power of Attorney
For most individuals, a durable power of attorney is the preferred choice for their estate plan. The reason lies in its immediate effectiveness, allowing your designated agent to seamlessly handle your affairs without delay or uncertainty. However, this broad authority requires the utmost trust in the chosen individual.
It's crucial to keep the signed durable power of attorney document in a secure location alongside your will and other essential estate planning documents. If the comprehensive power granted by a durable power of attorney makes you uncomfortable, you may opt for a springing power of attorney. In such cases, working closely with your attorney to define the triggering conditions is vital.
Limited power of attorney, on the other hand, is not typically utilized in estate planning but can be employed for specific transactions. For instance, if you're unable to attend a real estate closing, you might grant a limited power of attorney to someone trustworthy to sign documents on your behalf. A limited power of attorney is something you might also consider if you are a small business owner and want to give someone authority specific to your business.
It's crucial to keep the signed durable power of attorney document in a secure location alongside your will and other essential estate planning documents. If the comprehensive power granted by a durable power of attorney makes you uncomfortable, you may opt for a springing power of attorney. In such cases, working closely with your attorney to define the triggering conditions is vital.
Limited power of attorney, on the other hand, is not typically utilized in estate planning but can be employed for specific transactions. For instance, if you're unable to attend a real estate closing, you might grant a limited power of attorney to someone trustworthy to sign documents on your behalf. A limited power of attorney is something you might also consider if you are a small business owner and want to give someone authority specific to your business.
Authorizing Medical Decisions
It's essential to note that a power of attorney document does not grant authority for making health care decisions. To address medical matters, you'll need a separate document known as a health care proxy, sometimes referred to as a medical power of attorney. Often, individuals choose to assign different responsibilities to various family members, dividing tasks among a personal representative, a health care proxy, and a durable power of attorney.
Appointing Multiple Agents
Assigning identical authority to multiple agents simultaneously is generally discouraged, as it may lead to conflicting decisions and confusion. However, you can designate a primary power of attorney and as many alternate agents as necessary. In cases where the primary agent is unavailable or unwilling to fulfill their role, the authority would then transfer to the next designated individual on your list.
Standalone Power of Attorney
While comprehensive estate planning is advisable, a power of attorney can exist as a standalone document. If you're not ready to address all your estate planning needs at once, you can still establish a power of attorney. The same flexibility applies to a health care proxy.
Meet Our Estate Planning Lawyers
Emily Smith-Lee is the owner and founder of slnlaw. She is a 1996 graduate of Boston College Law School. She was previously a partner at the Boston office of a large international firm, where she worked for thirteen years before starting the firm that became slnlaw in 2009. She has been recognized as Massachusetts Superlawyer each year since 2013, and in 2018 earned recognition as one of Massachusetts Lawyers Weekly's Lawyers of the Year.
Jenna Ordway: Jenna is a 2013 graduate of Quinnipiac Law School, and also earned an LLM in Taxation from Boston University in 2015. She has been affiliated with slnlaw since 2011, first as a law clerk and then as an attorney. Jenna has been recognized since 2019 as a "Rising Star" by Massachusetts Superlawyers. Jenna wrote a book on estate planning: The Road to Peace of Mind: What You Need to Know About Estate Planning. Jenna has helped many individuals and families with planning to protect their legacies and loved ones, and planning for the future and succession of their businesses.
Sharleen Tinnin: Sharleen is a 2010 graduate of Northeastern University School of Law, and earned her LLM in estate planning from Western New England Scool of Law in 2016. She has been with slnlaw since 2023. Prior to joining slnlaw, she worked with King, Tilden, McEttrick & Brink, P.C. on complex civil litigation matters. She previously worked for the United States Department of Justice, and received an "Excellence in Justice" award in 2017. Sharleen has helped many clients with planning for their legacies and their future, and navigating the probate process in Massachusetts after the death of a loved one.
How We Can Help
A power of attorney is a powerful legal tool that provides you with peace of mind, knowing that someone you trust can manage your affairs if you're unable to do so. It's a crucial element of your estate plan, offering you protection and assurance in challenging times. We are ready to help. You can use the button below to schedule a free information call, or simply give us a call at 781-784-2322.
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