Financial Power of Attorney Planning for Del Rey Oaks

Define the financial role you want to plan for

A financial power of attorney concerns financial decisions. Start by identifying the kinds of financial matters you want to discuss and the person you are considering for the role. Those points can help focus a planning conversation without assuming what authority a particular document provides in every situation.

Consider practical questions about the person, too: Do they understand your priorities? Would they know where to find the information needed to understand your financial arrangements? Are there concerns you want to address before choosing them? These are questions to clarify, not legal tests for who may serve.

• Write down the financial decisions or responsibilities you want to discuss.
• Note who you are considering and any questions about the fit.
• Identify information your proposed decision-maker may need to locate.

Keep financial decisions separate from health-care preferences

A financial power of attorney concerns financial decisions; a health-care directive concerns health-care decisions. Treat these as distinct planning subjects rather than assuming that one document expresses both financial authority and health-care preferences.

If you are organizing both kinds of planning, make separate notes about the people you would want involved and the preferences or questions you want to discuss for each. This can make it easier for you and your family to distinguish which arrangement relates to a particular decision.

• List financial-planning goals separately from health-care preferences.
• Write down questions about each role without assuming one document covers both.

Look at assets and beneficiary arrangements together

Estate planning involves coordinating documents and asset arrangements. Consider a financial power of attorney in the context of your broader records and arrangements, including beneficiary designations. Clarify what you intend each arrangement to accomplish and what questions you have about how the pieces fit together.

As an optional preparation step, make a general inventory of accounts, property, recurring financial responsibilities and beneficiary arrangements you want to discuss. Note where relevant records are kept, but do not include sensitive account credentials in a general planning summary. Mark anything you do not understand or that a prospective decision-maker might have difficulty locating.

• Gather or list the asset records and beneficiary arrangements you want to discuss.
• Note questions about how those arrangements fit together.
• Identify records that may be difficult to locate.

Ask institutions about their process before relying on assumptions

If a particular bank, financial institution or other organization may be involved, ask what information or process it uses when considering a financial power of attorney for an account or transaction. Do not assume that every institution will handle a document in the same way or accept it for every purpose. Asking can surface practical questions, but it does not guarantee acceptance.

You can keep a brief note of the institution, the relevant account or arrangement, and the questions it raises. Bring those questions into your planning discussion so they can be considered alongside your goals and the rest of your asset information.

Understand the boundary at death and prepare for a discussion

Power of attorney terminates upon the principal’s death. Clarify what you expect to happen to financial responsibilities at that point rather than assuming that power of attorney continues.

For a planning conversation, you may choose to bring your questions, a general asset and beneficiary inventory, the name of the person you are considering, and any questions raised by an institution. A useful next step is to discuss your goals and the uncertainties you have identified with Codi M. Dada Law Office P.C.