• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer

Unsworth LaPlante, PLLC

Vermont Estate Planning Attorneys

Vermont: (802) 879-7133

Attend A Free Workshop
  • Home
  • Our Firm
    • About Our Firm
    • Meet Our Team
    • What to Expect When Working with Us
  • Services
    • Estate Planning
    • Incapacity Planning
    • IRA & Retirement Planning
    • Legacy Planning
    • LGBTQ Estate Planning
    • Medicaid Planning & Elder Law
    • Pet Planning
    • Special Needs Planning
    • Trust Administration
    • Young Families Planning
  • Resources
    • Articles
    • Elder Law Reports
    • Elder Law Resources
      • Burlington
      • Montpelier
      • Rutland
      • St. Johnsbury
      • White River Junction
    • Estate And Gift Tax Figures
    • Free Estate Planning Worksheet
    • Frequently Asked Questions
      • Elder Law
      • Estate and Gift Tax
      • Estate Planning
      • Estate Planning for Blended Families
      • Estate Planning for Parents
      • FAQs for Families Without an Estate Plan
      • Incapacity Planning
      • In-Home Elder Care FAQs
      • IRA & Retirement Planning
      • Gift, Estate, and Inheritance Taxes
      • Legacy Wealth Planning
      • LGBTQ Estate Planning
      • Medicaid
      • Philanthropy and Estate Planning
      • Planning for Long-Term Care
      • Pet Planning
      • Revocable Living Trust FAQs
      • Special Needs Planning
      • Trust Administration
      • Trusts
      • Wills
    • Is Your Estate Plan Outdated?
    • Medicaid Resources
      • Medicaid Analysis Worksheet
      • Medicaid Guide
      • Vermont Medicaid
    • Newsletters
    • Presentations
    • Reports
      • Advanced Estate Planning
      • Basic Estate Planning
      • Estate Planning for Niches
    • SECURE Act
    • Top Estate Planning Techniques
  • Webinars/Seminars
  • Reviews
    • Our Reviews
    • Review Us
  • BLOG
  • Contact
Home » How Is a Power of Attorney Used in Estate Planning?

How Is a Power of Attorney Used in Estate Planning?

March 11, 2019 by Ellen LaPlante

power of attorney

Most people are aware of the fact that a power of attorney is a legal device that can be used to allow someone else to act for you in a legally binding manner. The person that gives the power is called the grantor or principal, and the term for the proxy is “attorney-in-fact” or agent.

There are general powers of attorney, and limited powers of attorney. If you execute a general power of attorney, the agent or attorney-in-fact would have sweeping powers to act as your representative. In a very real sense, the individual would be able to do anything that you could do for yourself, so this is a very big step to take.

With a limited power of attorney, you can give someone the legal right to act on your behalf in a measured manner. For example, you could give the agent the ability to act for you while you are recovering from a serious accident. It is also possible to give someone a power of attorney to take care of a single action.

For example, let’s say that you have been in China on business for several months. You made an offer on a vacation home in Key West, which is where your sister lives, and it has been accepted. Closing papers must be signed, so you could execute a limited power of attorney giving your sister the ability to act on your behalf to consummate this single transaction.

These are a couple of different examples, but there are other reasons why someone may want to execute a limited power of attorney.

Prepare for End of Life Eventualities

Now that you understand the basic framework, we can get to the point. When you are planning your estate, you address the matters that will be resolved after your passing. At the same time, you should address end of life issues. For instance, what if you have a mental incapacity and need assistance handling daily affairs?

The Alzheimer’s Association does great work educating the public about this horrible disease. Everyone is aware of the existence of Alzheimer’s, but it is surprising to find out how common it actually is among our nation’s elderly. According to the Alzheimer’s Association website, approximately 4 out of every 10 people that are 85 years of age or older have contracted the disease.

This is definitely an attention-getting statistic. People with Alzheimer’s disease are typically going to become unable to make sound decisions at some point in time. And of course, Alzheimer’s is not the only cause of incapacity among elders.

To respond to this reality, your estate plan should include incapacity planning documents called durable powers of attorney.

A standard power of attorney that is not durable would not remain in effect if you were to become incapacitated. However, a durable POA would be active, and this is why they are used for incapacity planning purposes.

There are medical decisions that may present themselves, and someone should be empowered to handle your financial affairs. You can execute an advance directive, and you can add a durable financial power of attorney.

The same person can act as the agent for both forms of decision-making, but you have the right to name different agents for each respective power of attorney if this is your choice.

Learn More About Estate Planning!

If you would like to learn more about important subjects like this one, there are some great learning opportunities coming up over the horizon. We are offering some free seminars, and we urge you to attend the session that fits into your schedule. To get all the details, visit our seminar schedule page.

 

 

  • Author
  • Recent Posts
Ellen LaPlante
Ellen LaPlante
Ellen LaPlante is an attorney whose mission is to provide clients with guidance in Estate Planning, Elder Law, and Medicaid Preparation. She is barred in Vermont and New York. Ellen helps clients put together unique estate plans, including assistance with Trusts, Wills, Powers of Attorney, and Advance Directives. She also works with clients on Medicaid Planning and qualifying for Medicaid assistance.
Ellen LaPlante
Latest posts by Ellen LaPlante (see all)
  • How to Apply for Senior Medicaid in Vermont - December 11, 2022
  • Planning for the “Silver Tsunami” - November 1, 2022
  • Discharge of Indebtedness Income and Student Loan Forgiveness - October 27, 2022

Filed Under: Incapacity Planning Tagged With: incapacity planning, durable power of attorney

Other Articles You May Find Useful

incapacity planning
Prepare for Incapacity to Prevent a Guardianship
guardianship
Is There a Way to Prevent a Guardianship?
power of attorney
Why Is a Power of Attorney Part of an Estate Plan?
advance directives for health care
Don’t Overlook Advance Directives for Health Care
senior
Census Report: Burlington Senior Population Exceeds National Average
incapacity planning
Incapacity Planning Is a Must

Primary Sidebar

Elder Law and Medicaid Planning Attorneys

Unsworth LaPlante, PLC

DOWNLOAD OUR FREE ESTATE PLANNING WORKSHEET

There's a lot that goes into setting up a comprehensive estate plan, but with our FREE worksheet, you'll be one step closer to getting yourself and your family on the path to a secure and happy future.

  • This field is for validation purposes and should be left unchanged.

Follow Us

  • Facebook
  • Instagram
  • LinkedIn
  • Twitter
  • YouTube

Blog Subscription

Sign up to Unsworth LaPlante's estate planning blog to receive all the latest news and updates.

  • This field is for validation purposes and should be left unchanged.

Essex Junction, VT

26 Railroad Ave
Essex Junction, VT 05452
United States (US)
Phone: (802) 879-7133
Fax: (802) 879-0408

Map

unsworth_sidbr_map

Office Hours

Monday8:00 AM - 4:00 PM
Tuesday8:00 AM - 4:00 PM
Wednesday8:00 AM - 4:00 PM
Thursday8:00 AM - 4:00 PM

Footer

footer-logo
  • Facebook
  • Instagram
  • LinkedIn
  • Twitter
  • YouTube

The information on this Vermont Attorneys & Lawyers / Law Firm website is for general information purposes only. Nothing on this or associated pages, documents, comments, answers, emails, or other communications should be taken as legal advice for any individual case or situation. This information on this website is not intended to create, and receipt or viewing of this information does not constitute, an attorney-client relationship.

American Academy of Estate Planning Attorneys, Inc. Privacy Policy | Contact Us | Disclaimer | Site Map | Powered by American Academy of Estate Planning Attorneys

© 2023 American Academy of Estate Planning Attorneys, Inc.