Nevada residents who are creating an estate plan may also need a power of attorney. A power of attorney appoints an agent to manage the person’s financial affairs if the person becomes incapacitated. The person creating the power of attorney is known as the principal. A power of attorney is an important part of an estate plan, but a person should make sure that there is no coercion around creating the power of attorney or giving the agent certain powers.
There are a few things a person can do to help guard against coercion regarding a power of attorney. An agent might be a family member or a professional, so coercion could come from a relative or someone like a banker or financial adviser. A person who feels coerced may want to seek a second opinion from another professional. It is also possible to have a bank or other financial institutions contact a person if a query is received about an issue such as guardianship or power of attorney in relation to a person’s accounts.
The principal may also want to limit an agent’s authority. For example, if the principal has an investment portfolio, the agent may only be granted limited powers instead of complete control. The document may also say how long the agent will retain the power.
Health care powers of attorney may be another important part of an estate plan. This appoints someone to make decisions about a person’s health care. With both types of documents, people may want to discuss their wishes with their agents. This may be particularly important with the health care power of attorney in which an agent might be making decisions about a person’s end-of-life care. Powers of attorney and other estate planning documents may be updated as a person’s life circumstances and family situation changes over time.