What is a power of attorney and how to make one
Reviewed in October 2026
A power of attorney is a legal document that lets one person act for another. The person who signs it is the principal. The person who acts is the agent, also called the attorney-in-fact, and the agent does not need to be a lawyer.
Types of power of attorney
| Type | What the agent can do | When it ends |
|---|---|---|
| General | Handle money, property and contracts | At incapacity, revocation or death |
| Durable | The same powers as a general one | Survives incapacity, ends at death or revocation |
| Limited or special | One task, such as selling a car | When the task is done or the date passes |
| Springing | Powers that start on a set event | Starts at the event, usually incapacity |
| Medical (health care proxy) | Health care decisions | When capacity returns, at revocation or death |
Most people need two of them. A durable power of attorney for money and property, and a medical one for health care decisions.
Who is who in a power of attorney
- Principal. The person who gives the power and signs the document.
- Agent or attorney-in-fact. The person who receives the power and acts for the principal.
- Successor agent. A backup who acts if the first agent cannot.
- Witnesses and notary. People who confirm the signature, when the state asks for them.
- Third parties. Banks, hospitals or buyers who rely on the document.
The agent is a fiduciary. That means the agent must act in the principal interest, keep the principal money separate and keep records of what they do.
When you need a power of attorney
You need one when someone else must sign or decide for you. Some cases come up in every family sooner or later.
- An aging parent wants a child to pay bills and talk to the bank.
- A person travels for months and needs someone to close a sale.
- A couple plans ahead for a sudden illness or accident.
- A business owner lets a manager sign contracts during a leave.
- A member of the military prepares for a deployment.
Without a power of attorney, a family may need a court to name a guardian or conservator. That process takes time and money, and the court chooses the person.
How to make a power of attorney
- 1Choose your agent. Pick an adult you trust who can handle the task and lives close enough to act.
- 2Choose a successor. Name a second person in case the first one cannot act.
- 3Choose the type. Use the table above. Decide if it should survive your incapacity.
- 4List the powers. Banking, real estate, taxes, business, benefits. Be specific.
- 5Use your state form when there is one. Many states publish a statutory form.
- 6Sign it the way your state asks. Many states ask for a notary, witnesses or both.
- 7Give copies. Your agent, your bank and your doctor need one.
What a power of attorney must include
- Your full name and address as principal.
- Your agent full name and address.
- A successor agent, in case the first one cannot act.
- The powers you give, listed one by one.
- If it is durable, a sentence saying it survives your incapacity.
- When it starts and when it ends.
- Your signature and the date, plus the notary or witness block your state uses.
Durable power of attorney
A durable power of attorney stays valid if you lose capacity. That is the moment families need it most.
Without the durable wording, a general power of attorney usually ends when you become incapacitated. Then the agent can no longer act and the family may need to go to court.
See the financial power of attorney guide for what a durable power usually covers.
Medical power of attorney
A medical power of attorney names someone to make health decisions when you cannot. Some states call it a health care proxy.
It often goes with a living will, which states your wishes, and a HIPAA release, which lets your agent see your records. Read the health care proxy guide for the details.
Power of attorney outside the United States
The name and the rules change by country. In the Philippines the common form is the special power of attorney. In India the term POA is common, and the document often goes to a notary or the sub-registrar.
In England and Wales, a lasting power of attorney is registered with the Office of the Public Guardian before it can be used.
How to sign a power of attorney online
Upload a power of attorney to SignSolú or start from a template. Add each signer with a name and a phone number or email.
Each signer gets a link by WhatsApp or email. On a phone they tap the brown bar at the bottom that says «Sign as …».
They draw their signature once with a finger and press «Sign and Send». Every place in the document that needs it gets filled.
A line next to that button records their consent to sign electronically, with a link to the disclosure.
The signed PDF ends with an audit certificate. It shows each signer, the time, the IP address and a SHA-256 hash of the file.
Some offices only take their own PDF form. Fill out a PDF form online for free, with nothing uploaded.
The ESIGN Act lets most documents be signed electronically. Many states still ask for a notary on a financial power of attorney, and some accept remote online notarization. Check the form your state publishes before you sign.
How to revoke a power of attorney
Write a revocation, sign it and date it. Send a copy to your agent and to everyone who received the original, such as your bank.
If you recorded the power of attorney with the county, record the revocation too. A revocation form makes it quick.
Power of attorney terms in plain words
- Principal. The person who gives the power.
- Agent or attorney-in-fact. The person who receives it and acts.
- Durable. It keeps working if the principal loses capacity.
- Springing. It starts only when a named event happens.
- Incapacity. The principal cannot understand or communicate decisions, usually as a doctor certifies.
- Fiduciary. Someone who must act in the other person interest, not their own.
- Statutory form. A form written into state law that institutions are used to seeing.
- Acknowledgment. The notary block where the principal confirms the signature is theirs.
- Revocation. The signed document that cancels a power of attorney.
Common mistakes with a power of attorney
- 1Waiting too long. You must have capacity to sign. After a stroke or a dementia diagnosis it may be too late.
- 2Forgetting the durable wording. A general power without it can stop working when the family needs it.
- 3Naming one agent and no backup. If that person dies or moves away, the document is useless.
- 4Vague powers. «Handle my affairs» invites a bank to refuse. List the powers.
- 5Keeping it a secret. An agent who does not have a copy cannot act.
- 6Never updating it. A ten-year-old document makes institutions nervous.
An example
Maria is 72 and lives alone. She signs a durable power of attorney naming her son Luis, with her daughter Ana as successor. She also signs a medical power of attorney naming Ana.
Two years later Maria has a fall and spends a month in rehab. Luis pays her bills and talks to her insurer. Ana speaks with the doctors. No court is involved, and Maria decisions stay with the people she chose.
People also ask
What does having power of attorney mean?
It means you can sign and decide for another person within the powers their document gives you. You act in their name, not yours, and you must act in their interest.
What is the best type of power of attorney to have?
For most adults, a durable financial power of attorney plus a medical power of attorney. Together they cover money and health if you cannot decide.
Can a family member be power of attorney?
Yes. Spouses, adult children and siblings are the most common agents. Choose the person who will act well, not only the closest relative.
Forms to use now
- Power of attorney form. General, ready to fill in and sign.
- Durable power of attorney form
- Medical power of attorney form
- Vehicle power of attorney
Sources
- Legal Information Institute, Cornell Law School, «power of attorney»
- ESIGN Act, 15 U.S.C. 7001, on govinfo.gov
Frequently asked questions
Who can be an agent?
Any adult you trust. Many people choose a spouse, an adult child or a close friend.
Does a power of attorney need a notary?
Often. Many states ask for a notary on a financial power of attorney. Medical ones often accept witnesses instead.
What is the difference between a power of attorney and a will?
A power of attorney works while you are alive. A will takes effect after death.
Can I have more than one agent?
Yes. You can name co-agents or a successor agent.
Is a power of attorney from one state valid in another?
Usually yes. Many states honor a power of attorney that was valid where it was signed.
When does a power of attorney end?
At your death, when you revoke it, or when its end date passes.
Does the agent have to be a lawyer?
No. Attorney-in-fact only means the person who acts for you.
Can an agent change my will?
No. An agent cannot make or change a will for the principal.
What are the four types of power of attorney?
General, durable, limited or special, and springing. A medical power of attorney is often counted as a fifth.
Can a power of attorney be signed if the person has dementia?
Only if they still understand what they sign. Early in the illness many people still can.