The Dry Run

Much of my time is spent encouraging families to plan ahead. This often means creating a Power of Attorney, Living Will, Last Will, and sometimes a trust. Usually, the spouse is named as the person who will assist, with one or more of the children as a backup in case both spouses become incapable, in need of long term care or pass away. In the best circumstances these documents are critical to ensure assets are protected and any life transitions are as smooth as possible.

The trouble is getting started. Once the hurdle of having the conversation has leaped, and the barrier of signing documents has been crossed, families get back to present day life and forget all about it. This is ok! The plan is ready to be used. It can be left on the shelf until needed. But I have some words of warning.

First, do not lose the documents. Make sure they are kept in a safe place where they can be found and accessed. Not so well hidden, a reasonable search results in nothing. Not so well guarded they cannot be obtained, such as a safety deposit box the kids have no access.

Second, make sure the right people at least know there is a plan. If you are not comfortable sharing copies, or what the documents say, that is ok. But make sure the right people at least know there is a plan, and possibly where to find the documents when the time comes.

Third, try a dry run! Particularly for Power of Attorney it can be very helpful. Allow your trusted person to try and use the document, before it becomes critical. A POA does not remove your ability to do things, it just names a representative that can do things for you. It’s like a secretary for your finances. They need to put the POA on file with each financial institution you have assets with before using it. That may take a few days or weeks of processing time before they can act for you. They need to learn that they never forge your signature. They should sign their name then write "POA"; which legally makes their signature your signature. They may learn in this exercise that they have no idea where all your assets actually are. It is helpful if you are still competent to answer their questions if that is the case. If there is any issue with the POA that makes it defective, or it does not give all necessary powers, it would be good if you are still competent to sign a new one. Remember that a POA can be revoked at any time. Allowing your trusted person a chance to do the work you may need them to do, while you are still competent to help them, could be the difference between a smooth transition and a crisis.

Attorney Halley C. Allaire is principal in the law firm of Allaire Elder Law, a member of the National Academy of Elder Law Attorneys, Inc., with an office at 271 Farmington Avenue, Bristol, (860) 259-1500, or on the web at www.allaireelderlaw.com. If you have a question, send a note to Attorney Halley C. Allaire and your question may be discussed in a future column.