What a power of attorney actually does

A power of attorney (POA) is a written document that gives one person the authority to act for another. It is a practical tool for handling money, property or healthcare when the person who signed it cannot, or chooses not to, act themselves.

The main types

• Financial POA — manage bank accounts, bills and property
• Healthcare POA — make medical decisions
• Durable POA — stays valid if the person becomes incapacitated
• Springing POA — only takes effect when a condition is met

This site gives you a starting structure. Because a POA is a legal document and the rules vary by state, have yours reviewed by someone qualified in your state before you rely on it.

A POA does not replace a will, does not change property ownership, and does not give unlimited power. The authority is as broad or as narrow as the document says. A well-drawn POA says exactly what the agent can and cannot do.

This site gives you a starting structure. Because a POA is a legal document and rules vary by state, have yours reviewed by someone qualified in your state before you sign.