ARNOLD AIR FORCE BASE, Tenn. -- It's a topic no one likes to think about, but preparing for a time when you might be unable to make your own decisions is a crucial step in protecting yourself and your loved ones.
Being incapacitated means you are unable to manage your own financial and medical affairs. Without a plan, your family could face a lengthy, expensive and stressful court process to gain the authority to act on your behalf.
This article will guide you through some of the essential steps of getting your affairs in order, ensuring your wishes are followed and your family is supported.
Key Legal Documents
Several legal documents are essential for a comprehensive incapacity plan.
It's wise to put your wishes in writing to ensure they are carried out.
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Document
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Purpose
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Financial Power of Attorney
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This document gives a trusted person (your agent) the authority to manage your financial matters, such as paying bills, managing investments and handling real estate.
You can decide if this power is effective immediately or only upon your incapacitation (a "springing" power of attorney).
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Medical Power of Attorney (Healthcare Proxy)
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This allows you to name a person to make medical decisions on your behalf if you are unable to communicate your wishes.
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Advance Directive/Living Will
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This document outlines your preferences for medical treatment, including end-of-life care, such as your wishes regarding CPR, mechanical ventilation and tube feeding.
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HIPAA Authorization
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This gives your doctor the authority to share your medical information with the people you designate.
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Revocable Living Trust
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This legal tool allows you to transfer your assets into a trust. A successor trustee you name will manage these assets for your benefit if you become incapacitated.
This can also help your estate avoid the time and expense of probate.
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Will
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While a will takes effect after your death, it's a crucial part of your overall estate plan. It details how you want your assets distributed and can name guardians for minor children.
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Getting Started and Acting
While it may seem daunting, getting your affairs in order doesn't have to be an overwhelming process.
Here are some actionable steps to take:
- Organize Important Documents: Gather all your essential paperwork in one place. This includes birth certificates, Social Security cards, marriage certificates, tax returns, bank statements, passwords, keys, safe codes, and insurance policies. Make digital copies and store them securely.
- Inform Trusted Individuals: Let a trusted family member or friend know where you keep your important papers. You don't need to share personal details, but someone should be able to locate these documents in an emergency.
- Appoint Your Agents: Carefully choose the people who will act as your financial and healthcare agents. These individuals should be trustworthy, responsible, and capable of acting in your best interests.
- Consult a Professional: While forms for these documents are widely available, it is highly recommended to consult an elder law or estate planning attorney.
- A lawyer can help ensure your documents are legally sound and tailored to your specific needs.
- Regularly Review and Update: Life changes, and so should your estate plan. Review your documents every few years or after significant life events like marriage, divorce, or the birth of a child.
By taking these steps, you can have peace of mind knowing that you have a plan in place to protect yourself and your family, no matter what the future holds.