You can ask the lawyer about the form of authority that suits your needs best as a principal. 4. The parties that will receive the power-of-attorney documents Your power of attorney must be put in writing, signed by all parties involved (including the witnesses), and duly notarized. If the terms in the POA are related to taxes, it must be filed at the state government. The person you appoint may be a family member, a relative, or a friend whom you are confident enough to make the best choices for you, especially when it comes to decisions regarding your health and finances. If you designate someone whom you trust as your agent, you can have peace of mind that the person can make decisions for you according to your best interest. Death is easier because the will (as in the last will and testament) will take care of the legal matters post-mortem but dying is another thing altogether. This is especially true with people who are gravely injured and cannot make decisions for themselves like for instance when they are under comatose or when they cannot speak, move or are invalid. The person need not be personally present to attend to your errands all the time but at least he/she should be easily contacted through the phone. Does the person know about handling finances? You are entrusting your money and assets to the person. It is important that you appoint an agent who is well skilled and knowledgeable in handling and managing finances. Before we can discuss the advantages and disadvantages of using a power of attorney, you must first understand that exactly is the concept. Power of attorney is a document that gives people the authority to act on another person s behalf for a specific period and matter depending on what is stated on the paper. This document could cover simple financial matters like writing a check or even selling property. When creating the power of attorney, it is for the best to check the laws of the state, since each state has its own regulation on how it should be made. Legal assistance or help from a lawyer is very important to make sure that necessary steps are performed to avoid the document being challenged.