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There are medical powers of attorney where that person makes medical decisions for you and financial ones where they handle your finances. You can give someone POA to sell your house, or handle your banking and only that, or you can give someone an all-encompassing POA that covers everything. There are several different ways a POA can be handled, and you can change them whenever you like.
I hold the all-encompassing one for my mother, so I pay all her bills, could sell her house when needed, handle her investments, and I handle all her medical business. However, my folks trusted me completely to do all those things and not steal their money. If you don't have that person in your life, consider having one person hold the financial POA and another your medical POA.
This isn't without complications, though, and you really should spring for a trust and estate attorney to do this correctly, especially if you have any substantial assets. A POA is not the only part of estate planning -- it's one of four documents you should have: POA, trust, will, and advance medical directive (which is different from a living will).
You will need to have an original signed copy for every PoA you assign and one for yourself. You need one individually for yourself and one for your spouse. It will need to be witnessed by 2 non-family members and notarized. You don't have to go to a lawyer, you can download forms specific for your state from online source
As to a POA for financial, this person will be there to help you pay your bills and manage your assets as you want them managed. If you become too ill to function to do this the POA will manage your assets for you as you have told them you want them managed. This gives your POA a great deal of power. They would decide where you should be placed should you need to be put into care. They would pay your bills, manage your real estate and your account, and may perhaps become your representative payee for Social Security.
I suggest you go with the person you TRUST to do this (and it is a BIG JOB) for you when and if you need it done, to an attorney. The attorney will help you both understand what power you are conferring onto another, and what powers your appointee has agreed to do, all the while keeping meticulous records that would stand up in court.
This is not something to do with a form off Nolo Press or some other online entity. This should be legally done and well done.
If, while you are not suffering from dementia, you decide that your POA is not acting with full disclosure to you, or in your best interest, you can return to the lawyer and appoint another POA.
Your Power of Attorney is only good while you live. Immediately upon your death it expires. The person who is appointed by you as the executor of your will or the trustee of your trust if you made one, takes over after death to settle your estate and to give to the beneficiaries the things you wish them to have. The attorney can check your will if you have one, or create a simple will for you when you attend to the POA work.