Before we can discuss the advantages and disadvantages of using a power of attorney, you must first understand that exactly is the concept. Power of attorney is a document that gives people the authority to act on another person s behalf for a specific period and matter depending on what is stated on the paper. If you think that person really understands your feelings, you could be sure he/she would follow and stick to your personal wishes if ever you get incapacitated. Would the person be willing to spend time to handle your affairs? We are all busy. Perhaps, the person you are appointing as your attorney-in-fact could be busier than you are. Setting up a power of attorney (POA) is one of your options when it comes to managing your daily financial affairs and transactions under certain circumstances such as when you are undergoing medical treatment or out of the country. It refers to a legal document that allows an individual or a financial institution such as a bank to manage your finances whether you are capable or not of doing it on your own. In the power of attorney, especially for the durable one, that same agent is given the full authority to manage and handle all your money and assets in case you get mentally incapacitated. That is why many people choose to appoint their spouses or relatives as agents. But there are still issues and conflicts arising in such situations. If you designate someone whom you trust as your agent, you can have peace of mind that the person can make decisions for you according to your best interest. The agent is also called the attorney-in-fact. Do not be misled by the term, though, because an attorney-in-fact does not have to be a lawyer. Your document also has to be tailored to your particular needs and wishes so that you have nothing to worry about in the future. However, if you are not confident about entrusting everything to someone else, you may consider giving a number of limited powers of attorney rather just one general power. As the term implies, limited powers of attorney grant limited and specific control of an attorney-in-fact over the estate of the principal.