When and Why Should You Update Your Power of Attorney?

A power of attorney (POA) is an important document to have if you wish to maintain control over your financial and legal matters in the event of your death or incapacitation. If you have an old power of attorney that has not been recently updated, it may no longer align with your needs and goals. This can create dangerous pitfalls if the unexpected happens. A power of attorney lawyer in St. Louis is here to help you navigate these complexities.

The Importance of Maintaining an Updated Power of Attorney

A power of attorney can be critical if you have assets or people that you care about and wish to protect far into the future. A POA allows you to plan for any eventuality, including your death or physical or mental incapacitation. It gives you the power to control how your assets are distributed (and by whom) before you are incapable of doing so.

Your life, family, goals, financial situation and assets can change considerably over the years. If your POA remains the same, it will not reflect these changes. This can put you at risk of losing your assets and failing to provide certain beneficiaries with the inheritance you wish to leave them. The courts can take control of your finances if you have an out-of-date or invalid POA. It is crucial to update your POA while you still have the chance.

When Should You Renew Your Power of Attorney?

You should consult with your attorney to renew or update your power of attorney if any major change occurs in your life. An attorney can help you revoke your current document first, then draw up a new POA that reflects your current needs. It is recommended to update your power of attorney after any of the following events:

• A marriage or divorce. Changes in marital status can make it important to update your power of attorney to include or exclude a spouse. If you get divorced, for example, but your ex-spouse is still listed as your agent, you may wish to assign a new agent on your POA.
• The birth of a child. If you or someone in your family has a new child, you may wish to update your POA to include this child as an air or beneficiary of certain assets.
• The start of a business. Opening a new business (or closing a business that was included on your power of attorney) constitutes a good reason to update your POA accordingly to reflect this change.
• Problems with your agent. If the person you assigned to be your agent does something to make you reconsider the designation, take steps to update your document and replace the agent with someone more trustworthy as soon as possible.
• Changes in state law. Missouri’s trust laws are constantly changing and being updated. Your power of attorney should be updated with it to ensure that the document remains legally valid, enforceable and effective in the protection of your assets.

Even if no major life change occurs, it is important to review your power of attorney periodically with a lawyer. A power of attorney lawyer in Missouri can confirm that your document is on track to provide all of the protections and benefits you desire, and recommend updates or a new document, if needed, to match your current goals, financial situation and state laws. For a free consultation about your power of attorney, contact TdD Attorneys at Law LLC.