Why You Need a Lasting Power of Attorney: Protecting Your Future

As we go through life, we never know what the future holds. Illness, accidents, and the effects of aging can all take a toll on our mental and physical health, leaving us unable to make decisions for ourselves. In such situations, having a Lasting Power of Attorney (LPA) in place can provide peace of mind and ensure that our affairs are properly managed.

What is a Lasting Power of Attorney?

A Lasting Power of Attorney (LPA) is a legal document that allows you to appoint someone else (known as an "attorney") to make decisions on your behalf if you become unable to do so yourself. There are two types of LPA: one for financial decisions, and one for health and welfare decisions.

With a financial LPA, your attorney can manage your bank accounts, pay your bills, sell property, and make investments on your behalf. With a health and welfare LPA, your attorney can make decisions about your medical care, where you live, and other personal matters.

Who Can Be Appointed as a Donee?

The person who is appointed to make decisions on your behalf in an LPA is called a "donee." The donee can be anyone over the age of 21 who you trust to act in your best interests.

You can appoint one or more donees, and you can also appoint replacement donees in case your original choice is unable or unwilling to act. You can also specify whether your donee(s) should act jointly (i.e., they must always agree on decisions) or severally (i.e., they can act independently of each other).

Some people choose to appoint family members or close friends as their donee(s), while others may prefer to appoint a professional such as a solicitor or accountant. It's important to choose someone who you trust to act in your best interests and who understands your wishes and preferences.

It's also important to discuss your decision with your chosen donee(s) before appointing them. This can help to ensure that they understand your wishes and are willing and able to act on your behalf if the need arises.

Why Do You Need an LPA?

Without an LPA in place, it can be difficult or impossible for your loved ones to manage your affairs if you become incapacitated. If you don't have an LPA, your family or caregivers may need to apply to the Court of Protection to become your deputy. This can be a lengthy and expensive process, and there is no guarantee that the court will appoint the person that you would have chosen to manage your affairs.

Additionally, without an LPA, your wishes and preferences may not be taken into account when important decisions are being made about your health and welfare. This could result in decisions being made that you would not have wanted.

Who Should Consider an LPA?

Anyone over the age of 21 can apply for an LPA, but it's particularly important for those who are concerned about the possibility of becoming incapacitated due to illness, disability, or old age. It's also a useful tool for those who have significant assets or business interests that they want to ensure are properly managed.

If you have a family member or loved one who is already experiencing mental or physical incapacity, you may consider applying for an LPA on their behalf. This can make it easier to manage their affairs and ensure that their needs are met.

How Do You Create an LPA?

To create an LPA, you can go to https://opg-eservice.msf.gov.sg and apply online. You are also required to pay a professional fee to engage an LPA Certificate Issuer to witness and certify your LPA.

Conclusion

A Lasting Power of Attorney can provide peace of mind and ensure that your affairs are managed in accordance with your wishes, even if you become incapacitated. Without an LPA, your loved ones may face difficulties in managing your affairs, and your wishes may not be taken into account when important decisions are being made. If you haven't yet created an LPA, it's worth considering doing so to protect your future.