A power of attorney is a legal document that gives another person (the “agent” or “attorney-in-fact”) the authority to make decisions and take actions on behalf of the person who grants the power of attorney. A Limited power of attorney is only in effect for a specific period or for a specific purpose. In fact, the other option is springing power of attorney that goes into effect when the principal becomes incapacitated or unable to make decisions for themselves.
A power of attorney can be used for many things, but the most common uses include managing finances, making healthcare decisions, managing real estate and other assets, and conducting business transactions on behalf of the principal. Lastly, choose someone you trust, and to have a conversation with them about what you expect of them before you grant the power of attorney.