Wills and Trusts
Power of Attorney in Texas: What You Need to Know
A power of attorney (POA for short) is one of the most important tools in a complete estate plan. It allows someone else to act on your behalf in legal, financial, or medical matters—either temporarily or permanently, depending on the type you choose. But many Texans are surprised to learn that a POA isn’t a one-size-fits-all solution, and it doesn’t provide authority after death.
This article explains what a power of attorney is, the different types available in Texas, when they apply, and why they should be paired with other estate planning documents to avoid court involvement.
What Is a Power of Attorney?
A power of attorney is a legal document that allows you (the principal) to give another person (your agent or “attorney-in-fact”) the authority to act on your behalf. That authority can be limited or broad, depending on the type of POA you create.
Without a power of attorney, your loved ones may be forced to go through a court proceeding to gain control over your finances or medical care if you become incapacitated.
Types of Power of Attorney in Texas
Texas recognizes several types of POA, each with a specific purpose:
1. Durable Power of Attorney (Financial)
A durable power of attorney allows someone to manage your financial affairs even if you become incapacitated. This includes paying bills, managing investments, filing taxes, and dealing with banks. It’s “durable” because it remains in effect even if you lose capacity.
2. Medical Power of Attorney
A medical power of attorney gives your agent the authority to make healthcare decisions if you’re unable to do so. It does not give them the ability to act while you’re still mentally competent, only if you’re determined to be incapacitated by a physician.
4. Springing Power of Attorney
This type “springs” into effect only upon your incapacity. While it may sound appealing, many financial institutions resist accepting springing powers due to the need for additional documentation proving incapacity.
When Does a POA End?
One of the most misunderstood aspects of power of attorney is that it does not survive your death.
When you die, all powers of attorney you’ve granted become invalid. Your agent cannot access your accounts, make decisions, or pay your bills. At that point, only an executor named in a will or a trustee named in a trust can legally act on your behalf.
This is why relying solely on a POA is not enough—you must also plan for what happens after your death.
Why Power of Attorney Alone Isn’t Enough
Many Texans create powers of attorney thinking they’ve “done their estate plan.” Unfortunately, POAs only help during your lifetime. After death, your family may still need to:
- Open a probate case
- Petition a court to appoint an executor
- Wait weeks (or months) for legal authority
- Face resistance from banks or government offices
To avoid probate, you need to go beyond the POA and set up a revocable living trust. With a trust, your named successor trustee steps in immediately and can manage assets without court involvement.
Power of Attorney for Young Adults
Once your child turns 18, you no longer have automatic authority to make medical or financial decisions for them. That’s why every Texas college student or high school senior should have both a medical and financial POA.
Texan offers a Young Adult Power of Attorney Plan specifically designed for this purpose.
How to Create a Power of Attorney Online
Creating a legally valid POA in Texas requires the right language, proper execution, and awareness of Texas laws. At TexanWillsandTrusts.com, we offer state-specific POA documents as part of the Texas Family Will and Trust Plan or as a standalone product for young adults.
You’ll also receive a video review showing exactly where to sign and how to make the document effective—without having to hire an attorney or pay hundreds in fees.
Final Thoughts on POAs
A POA is an essential tool for planning ahead—but it’s only one part of a complete estate plan. A will or trust is needed to manage your affairs after death.
If you haven’t created your power of attorney documents, now is the time.
Start Your Plan Today
TexanWillsandTrusts.com offers easy, affordable, Texas-specific estate planning. Get your power of attorney, will, and trust documents online. Get started in under 20 minutes!
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