At our office, we see many old powers of attorney documents. Typically, they’re about one to three pages each. Often, these Financial Powers of Attorney documents are missing key language in the beginning and end. Additionally, the powers that are granted to the agent are often vague.
Your powers of attorney should be customized, detailed and complete.
For instance, do you want your agent to be able to make unlimited gifts to any person or entity? Do you want your agent to be able to change the beneficiary of your IRA or life insurance policy? These types of powers can be dangerous, even with a trusted agent.
Make sure your attorney is counseling you on what is in your power of attorney. Our powers of attorney document is usually not less than twenty pages. Why? We carefully define each power, and we also include several limitations, depending on the needs of the client.
Remember, these documents need to be reviewed and possibly updated every few years. Don’t put it away and forget about it.