Power of Attorney

Depending on the kind of relationship you have with the person who will be acting as your Agent, you will have to consider how they should be paid for their services. You can stipulate in your document that your Agent will not receive any payment except the reimbursement of out-of-pocket expenses as this is the starting point for compensation, or you can agree to pay your Agent a specified amount. If you prefer, you can authorize your Agent to pay him or herself a reasonable amount for acting for you.

Out-of-pocket expenses are expenses that your Agent pays out of his or her own pocket while performing tasks related to this Power of Attorney. These expenses would include gasoline, parking, administration fees, etc.

A co-owned asset is property that is jointly owned between two or more people. Often a husband and wife are joint owners of the family home. It is important to state this in your document, so that third parties dealing with your Agent understand that the Agent is entitled to co-own assets with you. Otherwise, the co-owning of assets could give the impression of improper motives.

If the person you are appointing as your Agent is also a beneficiary in your Last Will, you may want that person to be able to personally benefit from managing your assets, since you intend that person to become owner of the assets eventually anyway. Generally, however, it is not a good idea to allow your Agent to personally benefit from managing your assets as this creates a conflict of interest for your Agent, who is legally obligated to act only in your best interest.

The conservator of the person (guardian) is responsible for your physical care. You may nominate your Agent to be your conservator, in case the need should arise. The court will probably appoint the person you nominate unless the judge decides that it would be contrary to your best interests.

You can require your Agent to prepare periodic financial statements and send them to your accountant, lawyer or some other person you choose. This is a lot of work. Most people do not require it of an unpaid Agent.

Therefore, all powers of attorney, no matter what the type, automatically expire when the agent is made aware of the principal's death. Generally, a power of attorney must be granted when the principal is mentally competent and expires when the principal becomes incapacitated.

A person who is incapacitated cannot revoke a durable Power of Attorney. However, an ordinary Power of Attorney is automatically revoked when the principal is found to have lost capacity.

The blank space required for the filing stamp varies between counties. While for many it is just one inch, others require three or more. If you will need to have your Power of Attorney recorded, it is recommended that you confirm necessary spacing with your local county land or deeds registration office.

Your Power of Attorney will terminate at 11:59 pm, local time on the day you have specified.