Planning for Incapacity
/We live in a free society where we determine how best to manage our finances or medical care. But, what happens if you become incapacitated and unable to make competent decisions anymore? A family member or interested person may have to petition a Court to have you declared an incapacitated person and to have a Guardian appointed to manage your affairs.
A Guardian is a person lawfully invested by Court Order with the power and charged with the duty of taking care of the person and managing the property and rights of another person, who, for defect of age, understanding, executive functioning or self-control, is considered incapable of administering his own affairs. This requires a Court process which could be cost prohibitive. There will be costs for lawyers, doctors and Court filings in completing this process. The fees and costs could be even higher if the Guardianship petition is a contested matter.
So take control of this potential problem by planning ahead. Choose now who should manage your affairs when you are unable to do so yourself instead of having a Court choose someone for you. Cost effective alternatives are:
- Powers-of-Attorney for Finances
- Powers-of-Attorney for Healthcare
- "Living Wills" or Advance Healthcare Directives
- Representative payee of social security benefits
Some other alternatives that are costlier than the four mentioned above, are Trusts and Special Needs Trusts. But, at least it gives you control over managing your affairs instead of having a Court do so for you.
Self-determination is what makes a free society special.