It never fails.
Prospective clients come into the office who are very old or very ill, proclaiming that they have powers of attorney.
We take one look at the documents and realize that they are outdated and nearly worthless.
Because their powers of attorney are just “plain-vanilla.”
There are no specific authorizations inserted for
* public benefits planning, Medicaid, Medicare, etc.
* Social Security elections
* retirement planning elections
* gifting for Medicaid benefits planning or tax planning
* account changes
* options for housing changes
* tax planning authority
Be careful though, some of these powers can create tax problems if not customized properly.
So, don’t rely on old outdated powers of attorney that were done years ago with no forethought toward what is required during the senior years.
Remember, a long-term care spend-down can totally deplete remaining assets. This is what is most devastating to the middle class these days.
Get updated powers of attorney that have appropriate authorizations (especially long-term care authorizations).
Also, one must do this before mental incapacity closes the window of opportunity.
Don’t rely on some old outdated documents that have been lying on the shelf for years.
What worked for you or a client at age 25,or even at age 50, may not work for you at age 65.
For more, call 847-292-1220, e-mail firstname.lastname@example.org or visit www.ABFerraroLaw.com.