Your life as you know it could change in an instant. One moment, you are perfectly capable of making decisions for yourself, and the next, an accident or sudden illness can take away that ability.
But life does not pause for us, and responsibilities like paying bills or making medical decisions do not go away. If you have not made a plan, your family could face court delays and tough decisions. A power of attorney (POA) lets you choose someone you trust to step in and help.
What a power of attorney does and why it matters
A power of attorney (POA) is a document that gives someone you trust, called an agent, the power to act for you if you cannot. In Rhode Island, there are two main types.
A durable financial POA lets your chosen agent manage your money and property if you are unable to. They can:
- Pay your everyday bills
- Handle bank and investment accounts
- File and sign tax returns
- Buy or sell real estate
- Run a business you own
A health care POA allows your agent to speak with doctors and make medical decisions for you. They can:
- Read your medical records
- Say yes or no to treatments or surgery
- Decide on life support
- Deal with health insurance
Without these documents, your family may need to go to probate court to get legal permission to help you. That process can be costly, slow and impersonal – placing your future in the hands of a judge who does not know you.
Choosing the right agent
When selecting an agent, choose someone responsible, composed under pressure and aligned with your values. They should communicate clearly and confidently on your behalf, especially in high-stress situations.
Ideally, your agent should live nearby and be able to act quickly in an emergency. Strong organizational skills are also important. They should be able to handle paperwork, deadlines and financial matters with care and accuracy.
After choosing your agent, take time to discuss your wishes and expectations in detail. Provide them with copies of all key documents, and revisit your plan regularly to keep it up to date.
Plan now for your peace of mind
Rhode Island law requires that you sign your POA while you have full mental capacity. If you wait until after you lose the ability to make decisions, the document will not hold up. To protect yourself and your family, put a POA in place before a crisis hits.
If you have questions or concerns, talk to a local estate planning attorney. They can tailor your power of attorney to fit your specific needs, make sure it meets state requirements, and explain how it works alongside your will, trusts or other planning tools.