Legal and planning

What is a power of attorney?

A power of attorney is a legal document in which a person appoints someone else to make decisions on their behalf; for dementia, the important kinds are durable financial and healthcare powers of attorney.

By Emmanuel Akyeam · Updated

A durable power of attorney stays in force after the person loses capacity, which is the point. A healthcare power of attorney, sometimes called a healthcare proxy, covers medical decisions; a financial one covers money and property.

The person must have capacity to sign, so it has to be done early. Without it, the family may need to go to court for guardianship.

Why it matters

It is the single document that most reduces conflict, cost and delay later, and it is cheap to do while it can still be done.

Questions people ask

What is a power of attorney?

A power of attorney is a legal document in which a person, the principal, names someone else, the agent, to make financial and other decisions for them when they are no longer able. The Alzheimer's Association says the agent is usually a spouse, partner, family member or friend. A power of attorney for health care is a separate document that names someone to make medical decisions.

How does power of attorney work for a dementia patient?

The person with dementia keeps making their own decisions as long as they have legal capacity, and the agent steps in when they no longer can. The Alzheimer's Association suggests naming a backup agent, giving the agents copies of the document, and discussing wishes with them. An elder law attorney can help, and the rules vary by state, so check local requirements.

Can someone with dementia sign a power of attorney?

Often yes, if they still have legal capacity. The Alzheimer's Association says that in most cases, if a person with dementia can understand the meaning and importance of a legal document, they likely have the capacity to sign it. A lawyer can say what level of capacity a document requires, and a doctor can help assess it. Planning early makes signing easier.

What is the difference between a durable power of attorney and a power of attorney?

A durable power of attorney stays valid after the person loses the ability to make their own decisions. That is why the Alzheimer's Association says power of attorney documents for someone with dementia should be written as durable. The National Institute on Aging describes a durable power of attorney for finances as naming someone to make financial decisions when you can't. An elder law attorney can explain state rules.

What is the difference between power of attorney and guardianship?

A power of attorney is chosen by the person themselves while they still have capacity; a guardian or conservator is appointed by a court. The Alzheimer's Association says guardianship is usually considered when a person with dementia can no longer provide for their own care and the family can't agree or there is no family. It takes time, a lawyer and court testimony, and rules vary by state.

Sources

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