1. Power of Attorney (“POA”)
- A POA is a document in which a person (the “principal”) designates another (the “agent” or “attorney-in-fact”) to deal with the principal’s property and act on the principal’s behalf, out of necessity or convenience.
- Usually the POA is “durable,” meaning it remains in effect even after the principal loses the capacity to manage his or her affairs.
- POA’s can be specific—for one specific task like selling a house or caring for a child.
- POA’s are usually “general,” which allow the agent to handle all of the affairs of the principal.
- Kentucky’s Power of Attorney (“POA”) laws substantially changed on July 14th, 2018 and are located in Chapter 457 of the Kentucky Revised Statutes:
- A POA must be signed in the presence of two witnesses. We always recommend that the POA be signed before a notary public (this allows it to be used for real estate transfers and better acceptance by a 3rd party).
- A POA under the new law is durable unless the document specifically states it is not.
- If one names two (or more) people to act co-agents, the co-agents may act independent of each other unless the POA provides otherwise.
- An agent is entitled to reasonable compensation unless the POA says otherwise.
- A 3rd party must accept a POA that was acknowledged by a notary.
2. Living Will
- A Living Will declares your decisions about your medical care when you are unconscious or too ill to communicate. If you are able to express your own decisions, your Living Will will not be used.
- In Kentucky, a Living Will allows you to leave instructions in four critical areas. You can:
- Designate a Health Care Surrogate
- Refuse or request life prolonging treatment
- Refuse or request artificial feeding or hydration (tube feeding)
- Express your wishes regarding organ donation
- Our Living Will includes two sections:
- First is naming the Health Care Surrogate—designating one or more persons to make health care decisions for you if you lose the ability to decide for yourself
- Second is the Living Will section—making your wishes known regarding life-prolonging treatment so your Health Care Surrogate or Doctor will know what you want them to do.
- We also have a subsection that allows you to designate whether to donate any or all of your organs in the event of your death.
- Regardless of whether you have a Living Will or not, be sure to talk about your wishes with your family and your doctor.
- A copy of any Living Will should be put in your medical records. Each time you are admitted to a hospital or nursing home, or see your doctor it is important for them to have a copy.
3. Last Will & Testament
- What does a will do?
- If you pass away and have a valid will: Your property and assets go to who, when, what, how and where YOU wish.
- If you pass away and don’t have a valid will: State law of your residence at death determines the who, when, what, how and where
- Do I really need a will?
- Married? You need a will.
- You need a will because your spouse is someone important to you and it is essential that your plan for him or her is in writing so that your plan is implemented.
- Traditionally, your spouse would likely inherit your things even if you die without a will, but roughly just half of everything. You may want him or her to have more—or less
- Do you have children? You need a will.
- You need a will because your children will inherit all of your estate, unless you have a spouse. You may want or need one child to get more of your estate when you die. You may want you spouse to get all of your estate when you die.
- Regardless of wanting your children to inherit your assets or not, it is likely that you have feelings about it one way or another and those feeling likely differ from the standard default in your state.
- Another reason why a will is important if you have children is because you name both an executor and a guardian. The executor of your estate is responsible for collecting your assets, paying bills, and distributing your assets. A guardian is responsible for raising your children. By naming an executor and guardian YOU choose and trust is very important to how your children inherit and how they are raised.
- You want these decisions to be made by you—not the state!
- Do you have ANY assets? You need a will.
- If you are single, have no children, but you do have a positive net worth (assets worth more than what you owe), then you should have a will. You have assets that need to be distributed when you die and YOU want your assets distributed the way YOU want them to be.
- Broke, single, and no children? You don’t need a will (yet).
- If you are single, do not have any assets and you do not have children that need a guardian named, you are probably okay without a will.
- If you get married, have children, or come into assets (money or property), then it is a good idea to get a will.
- Married? You need a will.
- How do I get a will?
- Call us for a free consultation to discuss your options! Preparing a will yourself or an using online will may not be what you need or want—or worse—may be what you want but not technically valid under Kentucky law. The only thing worse than needing a will and not having one, is having a will that you think is valid and is not!
Do you want to make sure you have all documents you need? Call or contact us TODAY for a FREE consultation!
