Stay One Step Ahead and Plan For Your Future Now

Are you worried about your ability to make financial decisions for a loved one, such as a parent or sibling, in the event of their future incapacity? Or are you worried about who will be making decisions for you if you suddenly become sick or incapacitated or are in an automobile accident? If you answered ‘yes,’ then keep reading about how to stay ahead and plan for your future.

It isn’t unusual for people to ask, ‘Why do I need an estate plan now when I am healthy and young?’  The answer to the question is simple: In order for an attorney to prepare documents such as a Durable Power of Attorney or Designation of Health Care Surrogate, an individual must be able to understand what they are signing.  Attorneys call this legal capacity.  A person must be able to identify their family members and what they own and be oriented to time/place/date. If a person becomes incapacitated, they may no longer have the necessary capacity to sign legal documents. Then, the only option is to go to Court and become a legal guardian (this is expensive and results in a loss of privacy). That is why these documents should be put in place when you are mentally competent.

An estate plan has two important aspects: documents that work while you are alive but incapacitated and documents that work after you are deceased to pass on your assets. Documents that work when we are alive but incapacitated include:

• a Durable Power of Attorney (for financial decision-making)
• a Designation of Healthcare Surrogate (for medical decision-making)
• a Living Will (end-of-life care decisions for a person diagnosed with a terminal illness or is in a persistent vegetative state).

Everyone over the age of 18 (legal adult) should have these documents so people they trust can make their financial and medical decisions and avoid guardianship.

Cognitive illnesses such as dementia and Alzheimer’s affect short-term memory.  Some cognitive illnesses progress slowly, and for other people, cognitive illnesses can progress rapidly.  Depending on the stage of a cognitive illness, a person may or may not have the necessary level of awareness to sign legal documents.  For example, there is a higher threshold of awareness required for financial documents (i.e., Last Will and Testament, Trusts, Durable Power of Attorney) than is required for medical advance directives (i.e., Designation of Healthcare Surrogate, Living Will, Do Not Resuscitate Order).

You might be wondering, ‘What if I (or my loved one) have already been diagnosed with a cognitive diagnosis or mental diagnosis – is it too late?’  Even if you have already been diagnosed, there may still be a window of time where you are still capable of making decisions for yourself. Therefore, it is essential that you consult with an elder law attorney as soon as possible.

Make an investment in your future by getting correct and complete legal advice. Do it right the first time by partnering with a Board-Certified Elder Law Attorney.  I work with clients living in Florida and I can meet with clients in person or by video conference. If you are reading this article/blog and you and your loved one don’t live in Florida, contact the National Academy of Elder Law Attorneys (www.naela.org) to find an elder law attorney in your locale and give yourself and your family the gift of peace of mind.