| There may be particular
times in our lives when we may need someone to manage
our day-to-day affairs, for example, if we are having
a major operation or need long-term hospitalisation,
or perhaps need to be overseas for a lengthy period.
This can be done by appointing an “attorney”.
A Power of Attorney is a formal legal
document signed by a person (the ‘donor’) that
giving someone he or she trusts (the ‘attorney’)
authority to make personal or financial decisions on
your behalf if you are unable to do so (either because
you are not physically present or because you lack the
mental capacity when such decisions are needed).
Usually power of attorney is given to a close family
member who has your best interests at heart.
A power of attorney ends:
- if there is a specified period for the power of
attorney and that specified period expires
- if notice is given by either party that the
power of attorney is terminated
- if the attorney becomes bankrupt
- if the donor becomes incapable of making
reasonable judgments due to some type of
disability
- if either party dies.
A general power of attorney gives the
appointee authority to look after your financial and
legal affairs. For example, you might authorise
someone to complete a property settlement on your
behalf while you are travelling overseas.
An enduring power of attorney authorizes the
appointee to make legal and financial decisions on
your behalf when you are unable to make reasonable
judgments, for example, if a stroke or accident
renders you unable to make decisions or communicate
your wishes.
An enduring power of attorney (medical
treatment) gives someone the authority to make
decisions about your medical treatment only after you
lose the ability to make your own decisions, for
example, because of loss of consciousness or dementia.
You must be legally competent to give power of
attorney. Before you sign such a document, you need to
fully understand the implications of your decision,
and ensure that the person you appoint also
understands his or her duties. The ‘attorney’ has
a duty of care to act only in your interests.
Power of attorney forms can be bought from
newsagents or stationers – it is not necessary to
consult a solicitor.
|
| Don't be embarrassed if you
have trouble controlling your money - it is a learned
skill like any other. The process of learning how to
spend – or how not to spend – your income is
called budgeting. It takes time and effort, but if you
persevere you will be able to pay your bills on time,
hopefully have some money left over for luxuries, as
well as some set aside in case of an occasional
crisis.
When doing your budget, it is essential to remember
the following simple rules:
- You must spend less than you earn.
- If you spend more than you earn, you are in
trouble!
In Money
Management for Women, we make it easy for you to
budget by giving a sample budget sheet and a sample
yearly planner. We also give detailed step-by-step
instructions for creating a budget, and offer several
case studies that explain how the process worked for a
number of individuals.
TIP: In the early stages of your budget,
keep a small notebook in your handbag and record the
details of every item you buy each day. Add them at
the end of the day to see how closely you are adhering
to your budgeted amount. If you are spending more than
that amount, make an assessment of where you can cut
back, and do so.
Budgeting is nothing new. Below we show how
it was done by one Australian family in the 1940s.
Budgeting the
old-fashioned way
In my house I still have some special things that
belonged to my mother. One is the ‘pot stick’, a
wooden stick, smooth and well rounded, that she used
to push clothes down in her gas copper when she did
the washing. Her wooden rolling pin brings back
memories of her busy in the kitchen and me watching
everything she did, whether it was rolling out pastry
for a pie, patting out scones, or making dumplings for
the lamb stew.
Another piece of nostalgia for me is the metal
spice rack. Made from painted tin, it has a holder
containing six small round tins with lids, which still
have the labels on them for ginger, cinnamon, nutmeg,
white pepper, allspice and cloves. However, this spice
rack was not used for its original purpose; instead,
it was my parents’ budgeting tool.
My father was paid weekly in cash and, after
keeping a small amount back for himself (which he
spent on his fares to work and roll-your-own tobacco),
the rest of his wage was given to my mother.
After the mortgage installment was paid – always
the first priority – the little tins were used to
hold those portions of the weekly wage allocated for
the monthly, quarterly or even yearly bills, such as
the house insurance, the electricity, council rates,
water and gas. Money was carefully budgeted by Mum and
Dad – ten shillings for this, five or two shillings
for that – and, after the money allocated for bills
was put aside, the remainder of the cash was spent on
food and other household expenses. Anything left after
that was my mother’s to save or spend.
There was rarely anything over, and things like
clothes or shoes were often received as hand-me-downs
form our cousins, or given as gifts for birthdays or
Christmas, and Mother ‘turned’ the sheets and
towels to make them last longer. Socks were darned
when a hole appeared in the heel or toe, and to this
day I still have her darning basket, with the little
wooden ‘egg’ that went inside the sock to hold it
taut for darning.
A special thank you to Lorraine Potts for
allowing us to use this extract from her article, ‘A
Forties Childhood’.
|
Why
put up with the stress of money worries? Now's the
opportunity to get back in control with a guide book
that slices through the complexity with practical,
easy to understand advice.