Three documents you shouldn't live
(or die!) without

"Nothing in life is certain except death and taxes."
-Benjamin Franklin

Hats off to ol' Ben for putting it all in perspective! While you can't avoid either of these unpleasant certainties, you can do some advance planning for the time when you may become disabled or unable to care for yourself.

Past installments of Family Health Care Manager 101 talked about keeping track of your health care records and insurance papers. But what about other important health care documents for those "just in case" scenarios no one likes to discuss — you know, the ones financial planners are always bugging you about? Some examples are living wills, and durable power of attorney for finance and health care.

Here are some examples of types of documents
Although it varies by individual and state, many people need three basic documents:

1. Durable Power of Attorney for finances
2. Medical Power of Attorney for health care
3. Living Will

Of course, if you have young children or family depending on you for support, you also need a will and adequate term life insurance, but that's a topic for another day. Older children over 18 should have their own Durable Power of Attorney for heath care and Living Wills.

1. Durable Power of Attorney (POA) for finances
Who'll make financial decisions for you if you're unable to do so yourself? A durable POA for finances let's you decide. Make sure you pick someone who has your best interests at heart when it comes to handling your checkbook. And be sure to discuss ahead of time and describe in the durable POA how you want your funds dispersed: pay the credit card bill and skip the portable oxygen machine or vice versa?

2. Medical Power of Attorney for health care
Just as with your finances, you want someone you trust completely to make life-or-death decisions for you. Whomever you choose for this role, indicate specifically in the durable POA for health care what you want done for you in terms of health care, tests, etc., if you can't make your own choices.

3. Living Will
If you followed the Terri Schiavo case recently, you know the conflict that can arise if you don't have explicit, written instructions about life-saving measures if you're completely incapacitated - such as in a coma or persistent vegetative state.

A living will tells doctors exactly what kind of care you do and don't want if you're terminally ill and unable to tell them yourself. Don't count on a past conversation you had with your spouse or best friend to suffice. Your wishes have to be in writing and notarized. In some states, the living will and medical durable power of attorney are combined in one form.

Where to get the forms
Now that you know what forms you need and why, how do you get them? Any attorney can draw up the documents for you, and fees will vary based on how simple (or complicated) your situation. Shop around for a price and professional you feel comfortable with or you can use a software package and create your own documents. Just make sure you get the witnesses and notary signatures applicable to each form under state law.

Who should get copies
Once you've created these documents, you'll want to make sure they get to the right people. You will need to have at minimum four copies of original, witnessed and notarized documents.

• Your designee(s) should have copies of all documents.
• Your family doctor should have a copy of your Living Will and Durable Power of Medical Attorney.
• If you have a financial planner, that person should have a copy of your Durable Power of Attorney for your finances.
• Another copy should go to your bank manager.

Keep copies of all documents at home, and another set in your safety deposit box. This way you'll be sure someone can find a copy when it's needed.

There, you have it. Three simple forms that may take care of things when you can't. See, it wasn't as bad as you thought. Why not take the first step today to make these forms a reality for you?

Bottom Line:
Sounds trite, but it's true: nothing will help you rest easier than knowing that you've covered all the bases if you become incapacitated in the future. Sure, getting all these documents together is a hassle. But a few hours of paper work today beats months or years of heartache later.

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