What a Georgia Power of Attorney Covers
A financial power of attorney authorizes someone you name — called your agent — to manage your finances if you cannot. The document defines exactly which transactions your agent can perform. A broad Georgia durable power of attorney typically covers:
- Managing bank accounts, making deposits and withdrawals
- Paying bills and ongoing financial obligations
- Managing investment accounts and real property
- Filing tax returns and responding to the IRS
- Managing business interests
- Applying for government benefits including Medicaid
The word durable means the document remains effective even if you become incapacitated. A non-durable power of attorney terminates if you lose capacity — the opposite of what most people need.
Types of Power of Attorney in Georgia
Durable Financial Power of Attorney. The standard document for estate planning purposes. Takes effect immediately and remains in force if you become incapacitated. Georgia’s Uniform Power of Attorney Act (O.C.G.A. § 10-6B) governs these documents and sets out a statutory form that Georgia financial institutions and government agencies are required to accept. Springing Power of Attorney. Takes effect only if a triggering event occurs — typically a doctor’s certification of incapacity. Some clients prefer this because the agent has no authority while the principal is competent. The drawback: some institutions require additional documentation to confirm the trigger event has occurred, which can cause delays in an emergency. Healthcare Power of Attorney (Advance Directive). A separate document that covers medical decisions only. Authorizes your healthcare agent to make treatment decisions if you cannot. This is included in The Hive Law’s will and trust packages alongside the financial power of attorney. Limited Power of Attorney. Covers only a specific transaction — for example, authorizing someone to sign real estate closing documents on your behalf. These are typically not part of an estate plan.
When You Need a Power of Attorney
Most people do not think about a power of attorney until they need one. By then, it is often too late to create one — because a person who lacks legal capacity cannot sign a valid power of attorney. You need a power of attorney before any of the following:
- A planned surgery or medical procedure with a recovery period
- A diagnosis that may progress to cognitive impairment (dementia, Parkinson’s, etc.)
- Extended international travel
- Any situation where you want someone to manage finances on your behalf
Creating a power of attorney when you are healthy and competent costs $550 as a standalone document. Creating a guardianship after incapacity — because no power of attorney exists — costs several thousand dollars in Georgia probate court and requires ongoing annual accountings.
What Happens Without a Power of Attorney in Georgia
If you become incapacitated without a valid power of attorney, no one has legal authority to manage your finances — not your spouse, not your adult children, not anyone. To get that authority, your family must file a petition for guardianship and conservatorship in Georgia probate court. The process requires an attorney, a physician’s evaluation, a court hearing, and an annual accounting to the court going forward. Costs range from $3,000 to $8,000 for the initial filing and hearing, plus ongoing annual accounting costs. A $550 document created today eliminates that process entirely.
