what are pennsylvania's requirements for a power of attorney

What Are the Legal Requirements of a Financial POA in Pennsylvania?

• Mental Capacity for Creating a POA. While Pennsylvania requires the person making a power of attorney to have the mental capacity to do so, neither the state's statutes or higher ...
• Statutory Language. In addition, Pennsylvania requires that certain notices be included in the POA. ...
• Witnessing and Notarizing the POA. ...

Full Answer

What are the requirements for a power of attorney?

Sep 22, 2020 · A POA in Pennsylvania must be dated, signed by the principal, witnessed by two adults, and notarized. If the principal is not able to write, he or she may sign by making a mark (such as an "X") or by directing another person to sign on his or her behalf. If this is done, there must be two adult witnesses to the signature.

What are the rules for power of attorney?

Aug 10, 2018 · Pennsylvania law requires that POAs must be signed by the principal and witnessed by two people who are ages 18 or older. The document must also be dated and notarized. If the principal cannot write, he or she is allowed to sign the document by using a mark or by asking someone else to sign the POA for him or her.

How do you obtain a power of attorney in Pennsylvania?

To finalize a POA in Pennsylvania, the document must be: witnessed by two people who are not named as agents, and signed before a notary public. In Pennsylvania, the witnesses must be over 18, and can't be someone who is signing on behalf of the person making the document, someone named to be an agent in the POA, or the notary public.

How to get power of attorney in PA?

The new requirements for signing a power of attorney in Pennsylvania aim to address these issues and are as follows: Notarization; Witnesses; Notarization. A Pennsylvania power of attorney has to be signed in front of a notary public. The notary’s job is to: Confirm the principal’s identity; Verify that the principal is of sound mind at the time of signing

What are the requirements for power of attorney?

In order to make a power of attorney, you must be capable of making decisions for yourself. This is called having mental capacity – see under heading, When does someone lack mental capacity? You can only make a power of attorney which allows someone else to do things that you have a right to do yourself.

Does power of attorney need to be notarized?

If a person wants to authorise someone to act as a power of attorney on his behalf, it must be signed and notarised by a certified notary advocate, who is able to declare that you are competent at the time of signing the document to issue the said power of attorney.

What three decisions Cannot be made by a legal power of attorney?

You cannot give an attorney the power to: act in a way or make a decision that you cannot normally do yourself – for example, anything outside the law. consent to a deprivation of liberty being imposed on you, without a court order.

Does a power of attorney need to be notarized in Pennsylvania?

Pennsylvania law requires that POAs must be signed by the principal and witnessed by two people who are ages 18 or older. The document must also be dated and notarized. If the principal cannot write, he or she is allowed to sign the document by using a mark or by asking someone else to sign the POA for him or her.Aug 10, 2018

How many witnesses are needed for a power of attorney?

If one of these methods is used, there must be two witnesses who are adults to watch the signing of the document in addition to the notary public. The witnesses to a power of attorney must not be the agent who is granted the authority or a person who signed the document on the principal’s behalf.

Why do people need a power of attorney?

Everyone should consider drafting a power of attorney in case they become incapacitated and are no longer able to make important decisions for themselves. A power of attorney is a document that grants authority to an agent to act on behalf of the principal. Having a POA is a good idea to protect yourself if you become unable to take care ...

How old do you have to be to get a POA?

You are able to create a health care POA if you over the age of 18. The law also allows minors under the age of 18 who have graduated from high school, are legally emancipated or are married to create health care powers of attorney.

Why do we need a POA?

Having a POA is a good idea to protect yourself if you become unable to take care of your finances or medical treatment and want someone else to have the power to make the decisions on your behalf. The professionals at Elder Care Direction can explain the benefits of a POA to you and can work to help you to prepare for growing older.

When does a durable power of attorney end?

Durable POA. Similar to a general POA, a durable power of attorney does not terminate when the principal is declared incapacitated. It only terminates when: The principal passes away. The agent declares themselves unwilling or unable to continue in the role. The principal revokes the POA in writing.

How to create a POA?

The steps to creating a POA are: Steps to Creating a POA. Explanation. Choosing an agent. An agent should be someone the principal trusts to act in their best interests for the full duration of the POA. Drafting the POA.

What is a POA?

General POA. A general POA confers control of all of the principal’s financial affairs to an agent but terminates as soon as the principal is declared incapacitated. The powers that the agent receives can include control of: Bank accounts. Investment portfolios.

What is limited POA?

Limited POA. A limited POA gives the agent control over the principal’s finances that is restricted to: Certain defined areas of responsibility. A limited time. A principal can use a limited POA if they expect to be unable to manage their own affairs for a set time, after which they will be able to reassert control.

What is a springing POA?

Springing POA. Under a springing POA, the agent only receives control of the principal’s finances when certain defined criteria are met —such as the principal being declared incapacitated. It is also possible to create a durable POA with clauses that define certain powers as springing.

How many witnesses do you need to sign a POA?

The POA must be signed by two witnesses in the presence of a notary. Witnesses must be at least 18 years of ...

How to give powers to an agent?

The Principal should consider giving some or all of the following powers to an Agent: 1 Make limited gifts 2 Creating a Trust for the benefit of the Principal 3 To make additions to an existing Trust for the benefit of the Principal 4 To claim an elective share of the estate of a deceased spouse 5 To renounce fiduciary positions 6 To withdraw and receive the income or corpus of a Trust 7 To engage in real property transactions 8 To engage in tangible personal property transactions 9 To engage in stock, bond and other securities transaction 10 To engage in commodity and option transactions 11 To engage in banking and financial transactions 12 To borrow money 13 To enter safe deposit boxes 14 To engage in insurance and annuity transactions 15 To engage in retirement plan transactions 16 To handle interests in estates and trusts 17 To pursue claims and litigation 18 To receive government benefits 19 To pursue tax matters 20 To operate a business or entity

What is the definition of a principal?

Definitions. Principal. The person who creates the Power of Attorney. Agent. The person named in the POA who has the authority to act on behalf of the principal. The agent is usually a spouse, child or children, or other close family member.

What powers does the principal have?

The Principal should consider giving some or all of the following powers to an Agent: Make limited gifts. Creating a Trust for the benefit of the Principal. To make additions to an existing Trust for the benefit of the Principal. To claim an elective share of the estate of a deceased spouse.

How to avoid conflict of interest?

Avoid a conflict of interest that impairs the agent’s ability to act. Act with appropriate care, competence and diligence. Keep a record of all receipts, disbursements and transactions made on behalf of the Principal. Cooperate with a person who has authority to make healthcare decisions for the Principal.

What is the meaning of "engage in"?

To engage in tangible personal property transactions. To engage in stock, bond and other securities transaction. To engage in commodity and option transactions. To engage in banking and financial transactions.

How to keep financial records?

The easiest way to keep records is to run all funds through a checking account. The checks will act as receipts and the checkbook register as a running account.

What information is needed for a power of attorney?

2. Basic Information. A power of attorney must include the basic information about the arrangement, including: The principal's and agent's legal names and addresses. The relationship of the principal to the agent—for example, husband and wife, parent and child, or financial advisor and client.

How to write a power of attorney?

A power of attorney must include the basic information about the arrangement, including: 1 The principal's and agent's legal names and addresses 2 The relationship of the principal to the agent—for example, husband and wife, parent and child, or financial advisor and client 3 The scope of the principal's authority or the types of decisions/transactions the agent can make for the principal 4 The intended duration of the POA

Is a power of attorney valid in Pennsylvania?

Powers of Attorney from Other States. A power of attorney signed in another state or drafted under another state's law is valid in Pennsylvania so long as the signing of the document complied with the law of the state recited in the POA as its governing law or complied with the law of the state where it was signed.

Can you use a copy of a POA in Pennsylvania?

When a power of attorney is filed in Pennsylvania Orphan's Court or with a county's Recorder of Deeds, an original version of the POA must be used. In all other situations, a copy of the document is just as valid as an original.

What is a POA?

What is a Power of Attorney? A Power of Attorney (POA) is a written document in which you (the “principal”) give another person (your “agent”) the authority to act on your behalf for the purposes you spell out in the document.

Why do we need POA?

It allows you to decide, while you are competent, not only who that person will be, but what powers they will have. It protects both you and your family.

What is Act 95?

Act 95 revises the language that is to be used in the notice. The new Act 95 language warns the principal that a grant of broad authority may allow the agent to give away the principal’s property while the principal is alive or change how the principal’s property is distributed at death.

What is notice and acknowledgment?

Notice and Acknowledgement. The most obvious changes are to the notice and acknowledgment forms that are signed by the principal and the agent. The principal signs a notice form that contains state mandated information about the significance of the POA. Act 95 revises the language that is to be used in the notice.

What is a general power of attorney?

A General Power of Attorney is more comprehensive than its limited counterpart and gives the designated agent all of the powers and rights that that the principal has. For example, under a General Power of Attorney, an agent may be allowed to run all of the principal's financial and business obligations. A Durable Power of Attorney can be limited ...

What are the different types of power of attorney?

The different types of Power of Attorneys include: Limited. General. Durable. Springing. A Limited Power of Attorney allows the principal to define their responsibilities within a very narrow scope.

Why do people need a power of attorney?

People create a Power of Attorney document for many different reasons. Those reasons include, but are not limited to: 1 The principal is too overwhelmed to handle all of their financial affairs 2 Members of the military may utilize a Power of Attorney so that their USA located family can act on their behalf 3 People with deteriorating health may create a Power of Attorney so that trusted individuals may act on their behalf should they become incapacitated

What are the duties of a principal?

Those duties include; acting loyally for the principal's benefit; keeping their funds separate from the principal's; acting with care, competence and diligence; keeping records; cooperating with a person who has authority to make health care decisions for the principal; and attempting to preserve the principal's estate plan. ...

When does a springing power of attorney become effective?

A Springing Power of Attorney only becomes effective upon certain conditions being met. For example, a Springing Power of Attorney is often used in a military situation where military personnel will be deployed overseas. Under this example, the Springing Power of Attorney would not spring into being effective until the military personnel's ...

What is acting in good faith?

Acting in good faith. Acting only within the scope of authority granted in the Power of Attorney.

What is probate in a will?

Probate is the legal process that proves the established Will is valid and should be executed according to its terms. If you or a loved one is considering creating a power of attorney, contact attorney Joseph Lento today.