For many of your roles, it’s easy to answer that question. If you couldn’t pick up your kids from school, your spouse, family member, or neighbor would step in. If you couldn’t go to work, your boss would either hire someone else, or ask your co-workers to take over your projects until you return.

But who would pay your bills? Who would renew your property insurance covering your house and automobiles? Who would sign on your behalf if your illness made it necessary for your spouse to sell your house?

These questions are all answered by a durable power of attorney. This document is different from the power of attorney for health care that we talked about in earlier posts. A durable power of attorney gives your designated agent authority to conduct your personal and business affairs. In other words, it allows them to spend your money after your death or incapacity.

It’s uncomfortable to think about losing control of your finances. Especially if you have significant amounts of assets. You should choose someone you trust completely, and you should communicate your choice to the rest of your family members so that everyone is on the same page. But you should have a durable power of attorney, so that if you are unable to take care of your affairs, someone can step in and help.

My husband and I handled our durable power of attorney documents the same way we handled the power of attorney for health care. We named each other as our agent to act on our behalf if we die or become incapacitated. We then named each of our moms as a back-up.

If one of us dies or becomes incapacitated, we now have a plan for handling our household and business affairs. A tragic event would be devastating enough; our durable power of attorney documents ensure that uncertainty about who should make decisions won’t add to that devastation. Take some time to figure out who you trust to be you when you can’t. Then, let me help you put your wishes into writing, so that you can have the peace of mind that comes from having a plan.

Related posts:

1. You Need a Plan–Advance Health Care Directive
2. You Need A Plan
3. Much Ado About the Federal Estate Tax

Living Wills were the first of these kinds of documents to be developed. A living will states which life-sustaining mechanisms you do or do not want to receive. Living wills are useful for expressing what your wishes would be in the hypothetical situations included in the document, but sometimes fall short of leaving clear instructions when unexpected medical situations arise.

The solution to the short comings of a living will is to authorize, in writing, a trusted family member or friend to make medical decisions for you. Under Wyoming statutory, law, you can name a decision maker in a document called a power of attorney for health care. You can also put specific instructions in your power of attorney for health care. So, you could name your spouse to make medical decisions for you if you are incapacitated, but also direct that you do or do not want to receive certain procedures.

I look at a power of attorney for health care as sort of a safety net. It is effective only if you are truly unable to communicate  or make decisions for yourself. Under Wyoming law, it may be revoked verbally, and even if it is not revoked, your verbal instructions regarding your medical treatment are to be followed.

One more point, and then I’ll tell you how my husband and I handled this issue. If you do not have a power of attorney for health care, and you do not (or are unable) to instruct the physicians of your wishes, Wyoming law “suggests” (which means this is what doctors and hospital administrators will follow in order to avoid being sued) that decision making authority be given to reasonably available family members, in this order:

• the patient’ spouse (unless legally separated)
• an adult child
• a parent
• an adult sibling
• an adult grandchild

This seems logical and workable, until you get past the first suggestion of the patient’s spouse. What if there are two reasonably available adult children? What if they disagree about the course of action? Yikes, things just got complicated.

My husband and I each have a power of attorney for health care. We first name each other as our authorized decision maker, then each of us named our respective mothers, in the case we are both unable to communicate. We did not include specific instructions about treatments we would or would not want, instead trusting in each other and our moms to do what is right in the unlikely (oh please, God, let it be unlikely) event that these decisions need to be made.

Who would you like to make medical decisions for you if you cannot? What do you feel strongly about in terms of medical treatments? Answer these questions, discuss your wishes with your family, and most importantly, put your directions in writing. I can help you with the last step, please take the time to do the first steps.

Related posts:

1. You Need a Plan–Durable Power of Attorney
2. You Need a Plan-Especially You
3. You Need A Plan

Is it because you’re waiting until you actually accumulate an estate to plan for? For many years, my husband and I felt that to be our case. We were counting on going through with Plan A–living long enough to provide for ourselves and our children out of the earnings from our work. But, around the time our fourth son was born, we realized that even if we didn’t have much to think about in terms of where money would go, we needed a plan for the things that are thousands of times more important. Such as …

• Who would make tough medical decisions if we couldn’t?
• Who would take care of our finances if we couldn’t?
• Who would take care of our kids?
• What resources would that person have to take care of our kids?

And suddenly, the need for a plan, let’s call it Plan B, became obvious to us.

In my next post, find out what our Plan B looks like and why it makes sense for us. And please use the comments to ask questions you have about estate planning. Thanks for being part of the conversation.

Related posts:

1. You Need a Plan–Durable Power of Attorney
2. You Need a Plan–Advance Health Care Directive
3. You Need a Plan-Especially You