Is it legal for POA to be "gifted" by the person they are POA for?

POA4Auntie, it would be better of your Aunt made this part of an employment contract and not as a "gift". Later down the road, if your Aunt needs to apply for Medicaid [which is different than Medicare] and if Medicaid sees that your Aunt had "gifted" you monies, the amount of said "gifts" can be deducted from her care should she go into a nursing home.

Now, is your Aunt's Attorney an "Elder Law Attorney"? If not, I would check with an Elder Law Attorney as they specialize in everything regarding elder finances, Wills, Trust, Medicaid, etc.

I have to think that if you got this information from her attorney, he/she should know the laws of the state, no? Attorneys don’t become successful by passing out bad advice. Is there a reason you might not trust this attorney? You might want to ask the attorney if there is a limit on how much you can get and how regularly. It’s my understanding that, in most states, finding recompense for caregiving is darned near impossible. The money needs to come directly from the person being cared for.