MOST COMMON POWER OF ATTORNEY
MISTAKES The More You Learn About the Most Common Power Of Attorney Mistakes the Better Chance You Have Of Avoiding these Altogether
STEPHEN M. WALTAR BELLEVUE WASHINGTON ESTATE PLANNING ATTORNEY
If creating a power of attorney document is high on your to-do list, one of the first things you should consider is this: how are you going to move through this process without making any mistakes? Just like any estate planning document, you need to know the ins and outs of what you should and should not be doing. One mistake, no matter how big or small it may appear, could impact you and your family either now or in the future. That is not a risk you should be willing to take. Before we discuss five of the most common estate planning mistakes, consider this: many people attempt to create this document on their own. Despite the fact that this is a possibility, thanks to a lot of help available online, it is a process that will likely confuse you at some point.
FIVE COMMON MISTAKES The more you learn about the most common power of attorney mistakes the better chance you have of avoiding these altogether. 1. Choosing the wrong person to act as your attorney in fact. This is a decision that you should never take lightly. When selecting a person for this position, you need to realize one thing: you are handing over a lot of power. Can you trust them to do the right thing, no matter what? If you cannot answer “yes� with 100 percent confidence, it is time to back off and consider other options.
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2. Failing to create a power of attorney. Although it should be obvious to most people that there are benefits of this document, some continually put this off until it is too late. If nothing else, take the time to discuss the pros and cons of a power of attorney with a local estate planning attorney. You can then compare these details to your personal situation, deciding if the present time is right for you to move forward. You may find that you don’t need to create a power of attorney right now, but you should at least look into this so you can make an informed and confident decision. 3. Neglecting to update your power of attorney when necessary. Just because you create a power of attorney document does not mean it is going to stay the same indefinitely. For instance, you may find that you need to select a new attorney in fact for one reason or the next. It doesn’t matter why you need to alter this document. What matters is that you do so as soon as possible. Failing to do so could cause trouble in the future should something go wrong.
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4. Handing over too much power. When creating a power of attorney document, it is your job to determine how much power you will give the attorney in fact. Discuss this with your attorney, paying close attention to the type of power you can give and the benefits of doing so. Unless you trust the attorney in fact with all aspects of your life, from your health care to your finances, you have to be careful as to how much power you hand over. 5. Rushing through the process because you are tired of thinking about the future. It can be frustrating to create a power of attorney document, since you will be forced to focus on the future. But remember one thing: the decisions you make today are going to benefit you and your family down the road. If you rush through this process just so you can say you are done, you may look back later on and realize that you made mistakes as a result.
HOW TO AVOID MISTAKES Now that you are familiar with five of the most common power of attorney mistakes, you should do whatever you can to avoid each and every one (among any others that you are aware of).
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Here are a few tips for ensuring that you avoid mistakes:
Learn as much as you can on your own, both by speaking with others and gathering information online Hire an experienced estate planning attorney to explain everything about power of attorney, including the pros and cons as well as how to create this document Get started sooner rather than later
With these tips guiding you, the chance of making mistakes is much smaller. This is particularly true if you hire the right estate planning attorney. This person will do whatever it takes to make sure you never fall prey to one of these mistakes. Final tip: many people have made many mistakes when creating a power of attorney document. As long as you follow this advice, while working closely with an attorney, you will never have to worry about joining this group.
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About the Author Stephen M. Waltar Steve was born on March 15, 1962, in Boston, Massachusetts. His true roots, however, are firmly planted in the Pacific Northwest. Steve grew up in Richland, Washington and moved to Seattle in 1980 to attend college (Seattle Pacific University, B.A., cum laude, 1984). He lived in Princeton, New Jersey for three years during graduate school (Princeton Theological Seminary, M.Div., 1988). Steve returned to Puget Sound to attend law school in Tacoma (University of Puget Sound/Seattle University, J.D., 1993). He was admitted to the Washington State Bar in 1994. Steve is also admitted to practice in United States District Court, Western District of Washington. EXPERIENCE Prior to establishing his own law firm in 2000, Mr. Waltar spent four years at an exclusive estate planning law firm in Seattle. Mr. Waltar limits his law practice to areas associated with estate planning, including trusts, estate tax law, wills, probate, asset protection, business incorporation & succession planning, charitable giving, and disability planning. Before he limited his practice to estate and business planning, Mr. Waltar was with Rosenow, Johnson, Graffe, Keay& Moniz, focusing his practice on general litigation, insurance defense, and family law. Before joining Rosenow Johnson, he supervised the family law department at Mulligan & Associates, P.L.L.C. Steve is a popular and entertaining speaker at estate planning seminars, and has taught both professionals and lay people estate planning and charitable giving. Steve has given over 100 seminars and talks and has taught courses at the University of Washington, Seattle University, Seattle Pacific University, Northwest University, and Bellevue Community College. He has spoken to private and public employees as well as to numerous communities, civic and religious groups. Steve has been a co-host and guest on two syndicated radio programs. He is currently publishing his first book on Estate Planning. Stephen M Waltar, PS www.waltar.com Hidden Valley Office Park 1750 112th Avenue NE, Suite C245 Bellevue, WA 98004 Phone: (425) 455-6788 Fax: (425) 450-4601
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