A Power of Attorney gives another person (your “agent”) the power to manage your finances for you while you are still alive. This gives them the ability to pay your bills, to make investment decisions, and, with your express permission, to make gifts to others. The form must be signed by you in the presence of others, and must be signed and accepted by your agent.
Who Should You Choose?
Your agent must be impeccably honest, careful, good with money, and willing to be held accountable for her or his actions. It is helpful if the agent has attitudes towards money that are similar to your own, or at least would follow the direction to spend or invest the way you would. Many people choose their spouse or partner, or one or more children as their agent(s). You may name a successor agent in case your first choice is not available. If you name more than one agent, remember that they may disagree or may not both be available to act when the time is necessary.