Can I draw compensation for handling my Dads finances?

Superdaughter, I'm sorry, I wasn't grumbling at you - I get fed up with my brother and sister fumbling their way towards some sort of methodical system for their joint POA for Finance and it makes me bad-tempered. They agreed it in 2004, when nobody ever really thought it would come into force, and essentially everyone forgot all about it until this year - and now it is such a pain in the b.t.m. for me, not helped by their wringing their hands about how difficult it is for them (oh boo hoo!) and constantly lecturing me on financial responsibility… grrrrrrrrrr. And who has to explain to mother why she doesn't need her credit cards any more? Three or four times a day and more around Christmas? Clue: not them.

My sister is in the process of closing down as many accounts as she can - not the investment ones, just the spending ones - for security as well as to save on paperwork. My mother used to like getting one for every charity she supports, and we have the 3-drawer full size office filing cabinet stuffed to the gills to prove it. Ok I don't envy her that bit.

It is a heck of a job. Can you not persuade your father to streamline things somewhat?

countrymouse, thank you. i plan to consult the attorney. when assuming POA, i really didn't expect it to go on this long... i had already been handling his finances, but without POA. got that when he became too blind to sign. that was all before he ended up living with me, and now it has all gotten to be too much. he is 94 and doesn't appear to be checking out any time soon. the dementia is the worst part. considering a nursing home.

Superdaughter, the law on this seems to vary from state to state. In your place, I'd go back to the attorney who drew up the POA documents and get advice there.

Also be careful to distinguish between claiming back out of pocket expenses (postage, phone calls, travel) which is perfectly legitimate (but keep proper, methodical records); and actually charging a fee for your time, which probably won't be unless it was agreed when the POA was set up. There could, I suppose, be a case to be made for "loss of earnings" as a claimable expense - but don't assume. Ask the lawyer.

This is becoming a real bug-bear for me, the way people merrily take on POA without calculating in advance what the real cost to them will be in terms of time, trouble and money. So that even when the POA process does allow for an agreed rate of compensation for a family member, nobody seems to think it's appropriate to tick that box. And later on, fairly obviously, you can't as the POA just pay yourself whatever salary you like.

You can, as POA, hire people to do the work for your father, which he would then pay for. This would save you time but not money; and you would still be responsible for ensuring that the work was done properly.

I Googled "Can a dpoa be compensated" and found three answers from lawyers that say that the DPOA can be compensated. There may be differences between states, but Colorado and California agreed.

For example, my husband spent 4 hours yesterday, when he should have been at work, because he had to change the addresses on his mothers property taxes. He also had to talk to the insurance agent, because her trailer is empty now. (And learned that we cannot insure an empty mobile home, State Farm.) But, he does not take compensation. His mother would pay him, if she realized how much time he spends on her stuff. It takes on a life of it's own.

He would not compensate himself, though. I would, though. Perhaps people that can't get compensated, might get more of the inheritance eventually. But, who knows when that would be? After my husband's mom and my mom, both leaving their homes around the same time - I would never agree to be POA. If an attorney takes over the finances, you better believe that he gets paid.

The Durable Power of Attorney document I have on my mother states that I cannot be compensated for carrying out the duties of performing POA responsibilities. It does state, I may use her money on behalf of her care and paying her expenses.

pstiegman, so it is a conflict of interest for a POA to receive any compensation, whether as POA, or in the caregiver role? the POA states nothing about payment or no payment as the POA, but I do pay caregivers when I cannot be there. my brothers and I would like to be compensated too for our time sacrifice. for me it is a second full time job as he lives with me. my brothers stay at the house while I am working. weekdays. they are retired and could be spending this time working a new job themselves. we are thinking that compensation would make this poor situation a bit more rewarding. it is a thankless job because my father has dementia and is not easy or appreciative

The NYS attorney general would remove a POA who is also receiving compensation. It's a Conflict of Interest.

Dogabone, What is your source for that? The POA is obliged to keep records of all expenses, and to use the money for the benefit of the care receiver.

As I understand it, the POA agreement can specify that the POA should NOT be paid, or that the POA can be paid for expenses and for time spent for the benefit of the elder. It's probably not so smart to charge for time spent watching TV with dad, but paying his bills seems like work.

Does the POA document itself mention anything about payment, one way or the other?

I paid my mother's POA $500/mo. He was driving 90 minutes one way, to hand her affairs. If you are needing to pay yourself, it is a bit different. I would think that you could spell that out in the POA document, itself.

My husband is his mother's POA and I agree that it is a full time job.

POA is not allowed to charge for service.As a POA your not allowed to Barrow,Gift or charge for POA service.

Assandache is correct. You can do it, but you need attorney to draw up a reasonable compensation allowance legally in writing and notarized especially if there are any other interested parties (family, friends, charities as part of the will).

Of course you can! You could have an attorney draw up a care agreement. Also you can have him pay utilities amounting to an agreed amount..



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