What is a Durable Power of Attorney? Why to I need to get one?

POWER OF ATTORNEY

Authorize Someone to Act on Your Behalf

A Power of Attorney (POA) is a legal document that you (as the “principal”) create. It gives another person (your agent, or “attorney-in-fact”) the legal authority to act on your behalf. You can give your
agent broad, ongoing powers, such as handling all of your finances, or limit him/her to specific actions and dates, for example selling your car while you are away. Your agent may not represent you in court. He or she may not write, change, or revoke your will.

Basic Types of Powers of Attorney

• General Financial Power of Attorney: permits the
agent to transact any or all business, other than
health care, for the principal.

• Durable Financial Power of Attorney: remains
active if the principal becomes incapacitated.

• Durable Power of Attorney for Health Care:
sometimes called Health Care Power of Attorney,
which California combines with a living will to
create an Advance Health Care Directive.

• Limited (or Special) Power of Attorney: used to
allow an agent to perform specific tasks. A
common example is a POA for childcare, which
allows the agent to make decisions in place of the parents about school or health care for the children. Incarcerated persons may need one or
more POAs for this and other specific tasks of limited duration.

• Military Power of Attorney: Federal law makes special provisions for the drafting of powers of attorney for military personnel, who should contact their Armed Services Legal Assistance Office for information. https://www.militaryonesource.mil/fin...

• Financial Institution Power of Attorney: some banks and other financial institutions (such as CalPERS and the IRS) require that you use their own forms.
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Rex L. Crandell Firm
Walnut Creek Office
3000 Citrus Circle Suite 207
Mail: P O Box 30305
Walnut Creek, CA. 94598
(925) 934-6320
(800) 464-6595
E-Mail: rexcrandell@astound.net
http://www.taxrexcrandell.com;
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