A financial power of attorney is a legal document that allows you (the principal) to assign specific financially based decision-making power to someone else (the agent or attorney in fact). This agent need not be an attorney, however. A financial power of attorney is a legal mechanism that provides you with the peace of mind that comes from knowing someone will take care of your financial affairs if you cannot take care of them yourself. A financial power of attorney can be a powerful tool in your estate planning lineup. If you have questions about obtaining a power of attorney in Texas, the experienced estate planning attorneys at Ibekwe Law, PLLC (512-505-2753) are here to help.
The Primary Reasons for Having a Financial Power of Attorney
There are two primary reasons for having a financial power of attorney (POA), and they fill different and distinct needs, including:
- If you need to take care of a financial transaction but cannot be physically present to do so, you can execute a financial POA that explicitly allows the assigned agent to address only the financial matter at hand on your behalf. If, for example, you are out of the country when a deed to transfer title of property needs to be signed, you can assign a financial POA to take care of the matter for you.
- A financial POA allows you to assign someone you trust implicitly to handle your financial matters if mental or physical incapacity prevents you from doing so; this is called a durable power of attorney.
The Type of Power Granted
Your durable financial POA grants a person you trust completely to make financial decisions on your behalf if you cannot do so. For example, suppose a car accident were to leave you seriously injured and temporarily unable to address your financial dealings. In that case, your POA could step in and manage your financial affairs until you are ready to resume the task. It would work the same way if you were permanently incapacitated.
While these are not pleasant matters to consider having a financial POA in place assures that in the unlikely event you are incapacitated, your financial affairs will be taken care of –following your intentions and in support of your legacy. Addressing the issue of a financial power of attorney can be daunting, but the dedicated Texas estate planning attorneys at Ibekwe Law, PLLC have the experience, legal insight, and drive to help you make the right decisions for you and to help you establish a financial POA that provides you with the peace of mind you seek.
Is Now the Right Time?
Yes. It is always the right time to address a financial power of attorney. It is essential to point out that estate planning does not apply only to the wealthiest among us. If you have begun to establish a career, it is an excellent time to consider estate planning. Estate planning is not fancy or mysterious. Instead, it refers to addressing your financial legacy and how everything you have worked so hard to amass will flow to your loved ones –with the fewest tax implications and the least amount of governmental intervention possible –when the time comes.
If this resonates with you, now is a great time to address the matter of estate planning (if you have not yet done so) and to consider assigning a financial power of attorney. Life is nothing if not unpredictable, and although it is unlikely that your financial POA will be implemented any time soon, proactively approaching the matter is paramount.
How to Obtain a Power of Attorney in Texas
Suppose the question of obtaining a power of attorney in Texas is on your mind. In that case, first, make the preliminary decision of whom you trust to take over your financial affairs if the need should arise. The agent of your financial POA must be someone you trust without reservation to make financial decisions on your behalf that comport with your intentions and that are in your best interests. This, in other words, is not a decision that you should make lightly. Assigning a spouse or another close family member is common. As long as your decision sits well with you and does not give you a moment’s hesitation, you will have chosen wisely.
The next step in obtaining a power of attorney in Texas is discussing the matter with your chosen agent to ensure they feel comfortable accepting the tremendous responsibility required. From here, you will move forward with an exacting form and filing that you are well-advised to address with an experienced Texas financial planning attorney.
Seek the Professional Legal Counsel of an Experienced Texas Estate Planning Attorney Today
Your estate plan symbolizes and protects your legacy, and it is an important tool that can help ensure your financial intentions are carried out when the time comes. Having a financial power of attorney in place is an essential piece in the estate planning puzzle. The financial POA assigns financially based decision-making power to someone you trust to make decisions on your behalf if you are physically or mentally incapable of managing your financial affairs on your own.
Suppose the question of how to obtain a power of attorney in Texas is on your mind, the accomplished estate planning attorneys at Ibekwe Law, PLLC. In that case, PLLC has reserves of experience helping clients like you gain the peace of mind they are looking for. To learn more about the financial power of attorney, please do not wait to contact or call us at 512-505-2753 today.