Estate Planning Practice Blog

So Your Kid is 18 Years Old Now. Hmm.

Congratulations Mom. Congratulations Dad. You've successfully raised a young 'un to majority. So what happens now? I am not sure... college hopefully... and more good things hopefully.

But did you know that if your kid has turned 18 years old, you may no longer be in charge of their livelihood? If you need to access their medical records or assist with their financial management, you can't just step in as Mom or Dad to handle their affairs. You could face a roadblock.

The roadblock of majority.

Did you ever think that maybe your kid needs an Advance Health Care Directive so that they can memorialize how they feel about end of life decisions? And appoint an agent to make medical decisions for them? You betcha! Terri Schiavo was only 26 when she entered into her comatose state.

And the same thing for a Durable Power of Attorney. If your kid is away at college, on the television show Survivor or just plain not ready to be a full fledged adult -- a Durable Power of Attorney to name an agent (say, you) to manage their financial affairs might be a very good idea.

This is really interesting, isn't it? But think about it. Society may very well treat these 18 year old as full fledged adults and if you think you should still take on the Mom or Dad roles that you've grown accustomed to -- consider some basic estate planning for your 18 year olds.

Choosing Your Attorney in Fact for your Durable Power of Attorney

Leanna Hamill, an attorney in Massachusetts has posted a nice checklist of considerations for selecting your attorney-in-fact or agent under your durable power of attorney. Read it  here .

A durable power of attorney is a document that allows you to select someone else to manage your financial affairs if you are unable to do so. The person you name to make such financial decisions for you is called an attorney-in-fact or agent.

A durable power of attorney can be effective immediately or effective upon your incapacity. 

If it is effective upon your incapacity, it is called a springing durable power of attorney. You can choose how it becomes effective upon your incapacity -- whether a medical doctor needs to sign off or if a court must decide.

If your durable power of attorney does not have the word "durable" in the document title -- that means it is only effective during your capacity. Durable means that the document is effective during your incapacity whether temporary or permanent.

A durable power of attorney was also used to designate a health care agent to make health care decisions for you. If you have a durable power attorney for health care prepared and signed by you before 1992, it has expired and needs to be replaced by an advance health care directive in California.