A power of attorney and a health care proxy are essential parts of a good estate plan. A power of attorney appoints an agent to make financial decisions for you if you become incapacitated. A health care proxy appoints an agent to make medical decisions for you if you can’t make them yourself. The easiest – and in some ways, best – idea is to name one person as your agent for all purposes.
Sometimes, though, people want to name more than one agent. A person might not want to choose one child over another, or might want to spread the burden or allow one agent to act quickly if another is unavailable. In some cases, a senior might trust one person to make medical decisions but not to make wise financial decisions. Naming multiple agents is okay – but you need to be aware of the consequences if the agents disagree.
For instance, suppose your health care proxy decides that you need 24-hour home care, but your financial agent refuses to pay for it because he or she thinks a nursing home would be better. Or suppose your financial agents do not see eye-to-eye on an investment. If they cannot agree, a court might have to decide. If you really want to name multiple agents, it is good to pick people who get along and are likely to resolve any disagreements amicably. It is also good to provide detailed instructions about your preferences, so your agents will more likely be on the same page when they act on your behalf. You might also consider having successor agents rather than multiple agents – for instance, Person “A” will be your agent, but if Person “A” is unavailable or does not want the responsibility anymore, then Person “B” will become your agent.
Ms. MacDonald’s practice is limited to Estate Planning, Probate, Conservatorships, Elder Law and Trust Administration. Ms. MacDonald maintains her practice in the Santa Clarita Valley at 25115 Avenue Stanford, Suite B-124 in Valencia. She can be reached at 661-294-6464.