Most people have heard that they should make a Will.

But what about a Lasting Power of Attorney?

Money Saving Expert founder Martin Lewis has once again highlighted the importance of putting an LPA in place, describing it as, in his view, potentially even more important than having a Will.

It's a message that has gained national attention – and one that raises an important question:

If something happened to you tomorrow and you could no longer make decisions for yourself, who would be able to step in?

What Has Martin Lewis Said About LPAs?

Speaking about the importance of Lasting Powers of Attorney, Martin Lewis explained that while Wills determine what happens to your assets after you die, an LPA can become vital while you're still alive.

He also revealed that he has had a Power of Attorney in place since his 30s.

Why?

Because losing the ability to make your own decisions isn't something that only happens in later life.

An accident, stroke, serious illness or other unexpected change in circumstances could leave someone unable to manage important aspects of their life.

And simply being someone's husband, wife, partner, parent or child does not automatically give you the authority to make every decision on their behalf.

What Is a Lasting Power of Attorney?

A Lasting Power of Attorney is a legal document that allows you to appoint one or more people you trust – known as your attorneys – to help make decisions or make certain decisions on your behalf.

In England and Wales, there are two types:

Property and Financial Affairs LPA

This can cover decisions involving your finances and property, including managing bank accounts, paying bills, dealing with pensions and benefits, managing investments and buying or selling property.

Health and Welfare LPA

This covers decisions relating to your health and personal welfare, which could include your medical treatment, care arrangements and where you live.

A Health and Welfare LPA can only be used to make decisions for you when you lack the mental capacity to make the particular decision yourself.

“But My Family Would Just Deal With Everything… Wouldn't They?”

This is where one of the biggest misconceptions around LPAs arises.

It's easy to assume that if you became unable to manage your own affairs, your spouse or children could simply take over.

That isn't necessarily the case.

Without the appropriate authority in place, dealing with finances and other important decisions can become considerably more complicated.

That's why an LPA is something to consider before you need it.

You choose who you trust.

You decide who you would want making those decisions.

And you can put those arrangements in place while you have the capacity to do so.

LPAs Aren't Just for Older People

This is perhaps the most important part of Martin Lewis's message.

He has spoken about having his own arrangements in place since his 30s.

At Soteria Estate Planning, we regularly encourage people to stop thinking of LPAs as something that only becomes relevant in old age.

Think about your life today.

Do you have a mortgage?

Children who rely on you?

Bills that need paying?

Savings or investments?

A business?

People who depend on your income?

None of us expects to suddenly become unable to deal with these things ourselves. But accidents and serious illnesses can happen at any age.

An LPA is about planning for that possibility.

A Will and an LPA Do Different Jobs

Rather than asking whether a Will or an LPA is more important, we think it's helpful to understand that they protect you at different stages.

A Will helps protect your wishes after you die.

An LPA helps protect your interests during your lifetime.

Your Will can determine who should inherit your estate, appoint executors and, where appropriate, name guardians for children.

An LPA can provide trusted people with the legal authority to help manage certain decisions if the need arises during your lifetime.

For many people, having both forms an important part of a well-rounded estate plan.

Don't Wait Until You Need One

An LPA must be created while you have the mental capacity to make that decision.

That's why the best time to think about one isn't necessarily when you're ill, elderly or beginning to struggle.

It's while you're fit, healthy and able to choose for yourself.

Once completed, an LPA also needs to be registered with the Office of the Public Guardian before it can be used.

At Soteria Estate Planning, we can talk you through Lasting Powers of Attorney, explain the two different types and help you consider who you would trust to act for you.

Estate planning isn't only about what happens when you're gone.

It's also about protecting you while you're here.

If you've already made your Will but haven't considered an LPA, now could be a good time to start the conversation.

Contact Soteria Estate Planning to find out more about putting a Lasting Power of Attorney in place.