Palm Beach County Incapacity Plan Attorneys
Why You Need an Incapacity Plan
Most people are familiar with “estate planning” in a general sense, in the context of having a plan in place for when an individual dies. But estate planning is also important in preparing for other life situations, such as what to do if a loved one should become mentally incapacitated.
Mental incapacity
Mental incapacity may be the result of an illness, injury, dementia, stroke, heart attack, or an accident. The incapacity may be temporary or permanent. Basically, it refers to the inability to do one or more of the following:
- Understand information provided concerning a particular decision
- Retain the information for a length of time that enables the decision
- Evaluate the information available to make the decision
- Communicate the decision
Having a Last Will and Testament will not address this situation; a Will only provides instructions for how things should be handled after one’s death.
What happens without an incapacity plan?
If an individual becomes mentally incapacitated and does not have a comprehensive incapacity plan, the courts will control how the assets are used to care for that individual until they recover from the incapacity or until they die. The court will designate someone to assume control of the incapacitated person’s assets and make medical and personal decisions on that person’s behalf. This legal process is known as guardianship or conservatorship.
Having assets in joint names does not protect you
It is a common misconception that an individual and their assets are protected if they become mentally incapacitated because they have their assets in joint names. Only an incapacity plan provides this protection. Having joint accounts only allows the account holder to access that account to pay bills or manage investments. However, if property is held jointly, it cannot be mortgaged or sold without the consent of all the owners.
A durable power of attorney is important
A power of attorney is a legal document that grants someone of your choosing the power to act on your behalf. Ordinary powers of attorney end if the individual becomes mentally incapacitated. It is important to have a durable power of attorney, which will remain in effect in circumstances of mental incapacitation.
Financial power of attorney
A financial power of attorney is a legal document that provides an individual with the authority to address financial matters such as paying bills, managing investments, making financial decisions, filing tax returns, and selling real estate.
Protect yourself now by calling our experienced Palm Beach estate planning lawyers
Waiting to address estate planning and incapacity planning is a mistake. Life circumstances can change rapidly without notice and the consequences of not being prepared with an appropriate incapacity plan are costly. At Kitroser Lewis & Mighdoll, our Palm Beach estate planning lawyers understand decisions related to estate planning can be difficult. With nearly 100 years of combined estate planning experience, we develop incapacity and estate plans to reflect your goals and address your concerns. Call our office today to schedule a consultation at 561-721-0600 or contact us online.