What Are the Different Types of Power of Attorney in Virginia?
When it comes to securing your peace of mind about your future, one of the most vital estate planning documents you can have is the Power of Attorney (POA). In Virginia, a POA is someone you trust who has the authority to make decisions on your behalf under specific circumstances.
Circumstances can include managing finances, making healthcare decisions, or handling day-to-day responsibilities if you are unable. In this article, the Virginia Beach estate planning attorneys at the Law Office of Angela N. Manz will discuss the different types of POA and how they work.
What is a POA in Virginia?
Strictly speaking, a Power of Attorney is a legal document that grants another individual (called an Agent or Attorney-in-Fact) the authority to make legal decisions on your behalf. The scope of their authority depends on the type of POA you draft. Such documents are governed by the Virginia Uniform Power of Attorney Act.
Virginia law requires an individual to be of sound mind when they sign the document in the presence of a notary public. POAs can be very broad or extremely limited in scope. They can also be temporary or permanent.
General Power of Attorney
A General Power of Attorney gives an agent authority over a wide range of both financial and legal matters. A General Power of Attorney is useful for those who want someone to handle all their affairs while they are incapacitated or unable. A General POA can perform the following tasks:
- Managing your bank accounts
- Paying your bills
- Filing your taxes
- Buying or selling your property
A General POA must be “durable” or else it would become invalid if you become incapacitated.
Durable Power of Attorney
A durable power of attorney will remain in effect even if you become mentally or physically incapacitated. Durable POAs are especially valuable for long-term care planning. It allows your agent to make decisions on your behalf when you are unable.
Limited Power of Attorney
A Limited POA, also known as a Specific POA, grants your agent the authority to make a decision concerning a single transaction or a limited set of tasks. A Limited POA can be useful for:
- Authorizing someone to sell property on your behalf while you are out of town
- Authorizing an agent to handle a single financial account
This type of POA would expire after the agent’s task is complete.
Springing Power of Attorney
A Springing Power of Attorney is triggered by a specific event (such as incapacity). This type of POA allows an individual to maintain control of their affairs until they are unable. Virginia requires that Springing POAs clearly define the triggering event. This could require a formal determination by a physician or a court.
Healthcare Power of Attorney
A Healthcare Power of Attorney allows your agent to make healthcare decisions on your behalf if you are unable. Your agent would be authorized to:
- Approve or decline medical treatments
- Decide on long-term care options
- Discuss your care plan with healthcare providers
Your Healthcare POA is usually paired with an Advanced Medical Directive.
Financial Power of Attorney
Similar to a General POA, a Financial POA focuses solely on financial matters. Financial POAs can be either durable or non-durable. This type of POA authorizes your agent to:
- Manage investments
- Oversee your retirement accounts
- Handle your real estate transactions
Talk to a Virginia Beach Estate Planning Attorney Today
The Law Office of Angela N. Manz represent the interests of Virginia Beach residents who are ready to plan for their future. Call our Virginia Beach estate planning lawyers today for a consultation on your case.
