Filing Legal Documents, the right way is extremely important!

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Hi Toni:

I am turning 65 and retiring from my current employer and will no longer have health insurance benefits, life insurance, dental and vision. My husband, James, will still be employed with benefits from his current employer.       

James and I do not have a power of attorney or other legal documents in effect for both of us. A friend told me that we can have a major legal problem when we age. If we developed a serious health or mental issue and we do not have the ability to make decisions for ourselves, then our family would have to go to court to file for legal guardianship representing that specific family member for future health and legal situations. 

I am not familiar with which legal documents or when we should apply. Please explain what we should do and what type of attorney we will need. I want to make sure that we have the legal documents processed correctly. Thanks, Carrie 

Hello Carrie:

I completely understand how you feel, because Americans under 65, enrolling in Medicare at 65 or retiring past 65, whether they are healthy or with a serious health situation are struggling with what to do. During a Toni Says Medicare consultation, the Medicare team advises everyone to seek an eldercare attorney or legal aid to have a new or updated power of attorney, medical power of attorney and living will documents filed properly. These three legal documents can help make America’s life stress-free during a trying medical time.

Carrie, the adult children of elderly parents, whether they are 50 or older, should verify that their parents have designated power of attorney and medical power of attorney and drawn up a living will. Elderly parents need to realize that they are not giving up their “independence” to their adult children by enabling them to legally sign for their parent’s medical care. It is not an easy time when an adult child must take over the parent role for the one who has been their parent all of the adult child’s life.

Below are the three legal documents you need:

• Power of Attorney (POA) is the cornerstone of a financial plan. It ensures that a person's wishes will be respected if there comes a time when he or she is unable to act. It is a written document whereby someone is appointed to manage that person's financial affairs in the event of illness or incapacity. Signing a power of attorney is critical to ensure a person's future independence in case of illness or incapacity. Without it, one risks having his or her affairs managed by a court-appointed guardian, a stranger, under court supervision and often without the ability to have any input. In other words, the person and their family members lose financial control.
• Medical Power of Attorney (also known as a Health Care or Durable Power of Attorney) gives someone you trust the legal authority to act on your behalf about health care decisions if you ever become incapacitated or unable to communicate.
• Living Will/Advance Directive is a written statement that details the type of care you want (or do not want) if you become incapacitated. A living will bears no relation to the conventional will or living trust used to leave property at death; it is strictly a document to spell out your health care preferences or wishes.

Carrie visit www.medicare.gov/coverage/advance-care-planning to explore “advance care planning” information and you can search for an attorney in your specific zip code that specializes in eldercare, family law or estate planning.

Need additional help understanding Medicare? Toni’s new course, “Confused about Medicare Workshop,” a downloadable video series, and the “Medicare Survival Guide Advanced” edition are available at www.tonisays.com.

For answers to your Medicare questions and retiring issues, call the Toni Says Medicare team at 832-519-8664 or email [email protected].  Sign up for the Toni Says newsletter at www.tonisays.com to keep up to date on Medicare changes.

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