As you grow older, it’s important to strengthen your estate plan, and one of the best ways to ensure your wishes are followed in the event of incapacity is by establishing a power of attorney.
Many people mistakenly believe that a power of attorney is a complicated legal tool reserved for the wealthy, but that’s simply not true. While it’s natural to feel concerned about giving someone significant control over your affairs, a power of attorney is an accessible and effective option for everyone.
In this article, we’ll cover the basics of a power of attorney, its limitations, and answer the important question: Can a power of attorney change a will?
What is a Power of Attorney?
A power of attorney (POA) is a legal document that gives someone you trust, known as your “agent,” the authority to make decisions on your behalf. These decisions may include matters related to your finances, healthcare, or property.
Your agent doesn’t have to be a legal professional; you can appoint anyone you trust. You can even assign multiple individuals to act as co-agents if you prefer.
Types of Power of Attorney
There are two main types of power of attorney:
- General Power of Attorney: This grants the agent broad authority to handle various aspects of your life, including managing financial matters, selling property, and filing taxes. It covers all areas of your personal and financial affairs in Florida, unless otherwise specified.
- Limited Power of Attorney: This type limits the agent’s authority to specific tasks or situations. For instance, you might grant someone power of attorney only to manage a particular investment account or handle certain legal matters.
Both types of power of attorney are useful if you become incapacitated and are unable to make decisions on your own.
Another option is the Durable Power of Attorney, which remains effective even if you become mentally or physically incapacitated. However, this type only covers financial and property matters—not healthcare decisions. For those, you would need a Medical Power of Attorney.
What Are the Limitations of the Agent’s Authority?
Although the specifics can vary by state, most states—including Florida—adhere to the Uniform Power of Attorney Act, which sets guidelines for POAs. Under this law, the agent’s authority typically begins as soon as the document is signed, but there are limitations on what they can and can’t do.
A common concern is: Can a power of attorney change a will? The answer is no. A power of attorney does not give the agent the power to alter or rewrite your will. To make changes to a will, the person creating it must be of sound mind, and any attempt by an agent to change a will would be considered invalid in Florida’s courts.
While an agent cannot change the terms of your will, their actions can indirectly affect your estate. For example, if you assign power of attorney to one of your children, and they liquidate investments or make decisions that reduce the value of your estate, this could impact how your heirs are provided for. However, the will itself would remain unchanged.
How Can You Prevent Abuse of Power?
Although the potential for abuse exists, there are ways to safeguard your estate:
- Choose Your Agent Carefully: It’s essential to appoint someone you trust completely. Take the time to select an agent who will act in your best interests and make decisions in alignment with your values.
- Clearly Define Your Wishes: The more specific you are in the power of attorney document about what you want, the less room there is for misinterpretation or misuse.
You can also take additional precautions to further protect your estate:
- Appoint Co-Agents: You can name more than one person as your agent, such as your children or a trusted friend, to share the responsibility and reduce the risk of any one person having too much control.
- Appoint an Oversight Party: You can require your agent to provide regular updates or reports to a third party—such as your attorney or another trusted individual—to ensure transparency and accountability.
- Limit the Agent’s Powers: With the help of an estate planning attorney, you can create a power of attorney document that outlines specific limits on your agent’s authority. For example, you might allow them to manage your bank accounts but prevent them from altering investment terms or changing the beneficiaries on your life insurance policy.
Create a Secure Power of Attorney with the Law Offices of Mary E. King
Now that you understand the answer to Can a power of attorney change a will?, you can make an informed decision about whether to incorporate this document into your estate plan. Since you can limit your agent’s powers and revoke the document if needed, a power of attorney can be a reliable and flexible option to help you manage your affairs.
Though the agent’s authority is restricted, their decisions can still impact your estate and financial situation. To make sure your wishes are fully respected and your estate is protected, it’s a good idea to consult with an experienced estate planning attorney when creating your power of attorney.
At Law Offices of Mary E. King, we assist clients across all income levels in crafting comprehensive estate plans that safeguard their interests and ensure their families are protected. Estate planning is complex, and even small mistakes can have lasting consequences for your loved ones. That’s why it’s essential to work with skilled professionals who can guide you through the process and create a flawless plan.
For a free consultation, fill out our contact form or call 941-906-7585 to speak with one of Florida’s top estate planning attorneys
