The person who will act as your attorney-in-fact or agent Take time in choosing the right agent who you will trust to carry out your financial tasks with your best interest in mind. Here are some of the characteristics that you should consider when selecting your financial agent: Financial savvy Trustworthy and comfortable to work with Can devote enough time to perform the required financial responsibilities Accessible and lives near your residence so that you can easily discuss with him or her any pertinent concern about your POA Can commit to carry out his or her duties as an agent if you are unable to handle your finances for a long time Once you have chosen an agent, don t forget to discuss the tasks, including the financial duties involved. Also, younger people are relatively healthier than their older counterparts, so you can be sure that they can handle your assets without much hassle. The person who can do the duties Typically, elderly people appoint their eldest child as their agent. But how can you be so sure that your child will be able to perform all the responsibilities? Does the person truly understand your feelings? He/She should know you well so as to understand your own points of view and opinions. If you think that person really understands your feelings, you could be sure he/she would follow and stick to your personal wishes if ever you get incapacitated. Would the person be willing to spend time to handle your affairs? Often, the power of attorney states an alternate attorney-in-fact, in case the original is compromised or dies. But if no alternate is named, then the power of attorney is terminated. For the principal, determining the agent or the attorney-in-fact should be done carefully. Since, abuse of the power of attorney could happen which is why it is important for the principal to have complete trust on the agent. In many situations, the health care power of attorney is different from the agent who would oversee financial and business matters. The attorney-in-fact who is given the durable power of attorney is required to make decisions related to the principal s health like stopping life support or performing surgery. Just like the previous legal document type, it also ends at the death, mental illness, or disability of the principal. 3. Durable - It grants the agent the right to act on the principal s behalf even after he or she has become mentally incapacitated. Thus, the agent can make crucial decisions for you when you are unable to do so.