Michigan Power of Attorney: Essential Protection for Your Estate Plan

Every week, families walk into Michigan probate courts facing the same preventable crisis. A parent has suffered a stroke, a spouse has been diagnosed with dementia, or an accident has left someone unable to manage their own affairs—and no one in the family has the legal authority to step in and help.

That’s the reality when you don’t have a power of attorney in place. Without this single document, your family can’t pay your bills, access your accounts, or make medical decisions on your behalf—no matter how close the relationship. Not your spouse. Not your adult children. No one.

A power of attorney (POA) is a legal document that gives someone you trust the authority to act on your behalf when you cannot. It’s the difference between your family handling a health crisis with clear legal authority and your family spending months in court—and thousands of dollars—petitioning a judge for permission to help you.

At Boroja, Bernier & Associates, we see the consequences of missing powers of attorney in Michigan probate courts regularly. The good news is that this situation is entirely preventable with proper planning.

Why Michigan Families Need Powers of Attorney

Here’s what every Michigan resident needs to understand: without a power of attorney, no one has automatic legal authority to access your bank accounts, pay your mortgage, manage your investments, or make medical decisions for you if you’re incapacitated.

Under current Michigan law, family members must petition the probate court for guardianship or conservatorship if you haven’t designated an agent through a POA. Financial powers of attorney are now governed by Michigan’s Uniform Power of Attorney Act (MCL 556.201 et seq.), which replaced the former financial POA provisions under the Estates and Protected Individuals Code (the old MCL 700.5501–700.5505). Medical decision-making authority is governed separately through Michigan’s Patient Advocate Designation statutes (MCL 700.5506–700.5520).

Without these documents, the court process can take three to six months, cost $5,000 to $15,000 or more in legal fees and court expenses, and require ongoing court supervision—all while your bills go unpaid and critical medical decisions wait.

Many Michigan residents don’t realize that marriage doesn’t automatically grant these powers. Your spouse cannot access your individual bank accounts, sell your property, or make investment decisions without your explicit authorization through a durable power of attorney. This catches families off guard during the most stressful moments of their lives.

Understanding Michigan’s Two Essential Powers of Attorney

Michigan law recognizes two distinct types of powers of attorney, each serving a critical but different purpose in your estate plan. Together, they create a complete safety net that covers both your finances and your health care.

Durable Financial Power of Attorney

A durable financial power of attorney, governed by Michigan’s Uniform Power of Attorney Act (MCL 556.201 et seq.), authorizes your chosen agent (called an “attorney-in-fact”) to manage your financial affairs if you become incapacitated. The term “durable” is essential—it means the document remains effective even after you lose mental capacity, which is exactly when you need it most.

Your financial agent can handle a wide range of responsibilities, including:

Paying your mortgage, utilities, insurance premiums, and other bills
Accessing your bank accounts and safe deposit boxes
Managing investment accounts and retirement funds
Filing tax returns and dealing with the IRS
Buying, selling, or refinancing real estate
Operating your business or managing rental properties
Applying for government benefits like Medicaid or Social Security
Handling insurance claims and legal matters

In our experience serving Michigan families throughout Macomb County, Oakland County, and Wayne County, a properly drafted financial POA prevents families from scrambling to access funds needed for a loved one’s care. Without one, adult children often find themselves unable to pay a parent’s nursing home bills—which can run $10,000 to $15,000 per month in Michigan—or a mortgage payment while waiting months for conservatorship approval.

Medical Power of Attorney (Patient Advocate Designation)

Michigan’s medical power of attorney is formally called a “Patient Advocate Designation” under MCL 700.5506 – 700.5520. This document names someone to make health care decisions for you when you cannot communicate your wishes or lack the mental capacity to make informed medical decisions.

Your patient advocate can make critical decisions about:

Medical treatments, procedures, and surgeries
Prescription medications and pain management
Long-term care placement (nursing homes, assisted living, memory care)
Mental health treatment
End-of-life care, including life support decisions
Organ donation and autopsy decisions

Under Michigan law, your patient advocate’s authority only activates when your attending physician and another physician or licensed psychologist determine you’re unable to participate in medical treatment decisions. This built-in safeguard ensures you maintain control as long as you’re capable while providing clear authority when you’re not.

The Hidden Crisis: What Happens Without a Power of Attorney

Without powers of attorney in place, Michigan families face guardianship and conservatorship proceedings—a public, expensive, and emotionally draining court process that unfolds precisely when your family is already in crisis.

Here’s what that looks like in practice:

Your family must file a petition with the probate court in the county where you live. This requires hiring an attorney, often costing $3,000 to $8,000 or more. The court then appoints a guardian ad litem—another attorney to investigate and represent your interests—adding another $1,500 to $3,000 to the bill.

You’ll be required to undergo medical and psychological evaluations to prove your incapacity. The entire process becomes a public court record—anyone can access the details of your finances and health conditions. Even after the court appoints a guardian or conservator, that person must file annual reports and accountings with the court, seek court approval for major decisions, and pay ongoing legal fees.

At Boroja, Bernier & Associates, we’ve worked with families in Shelby Township, Troy, and throughout Southeast Michigan who paid over $15,000 in guardianship costs because a power of attorney wasn’t created in advance. That money could have funded months of quality care instead.

A comprehensive Will-based estate plan that includes both financial and medical powers of attorney typically costs $1,500 to $2,500—a fraction of what guardianship proceedings would cost your family.

How to Choose the Right Agent for Your Powers of Attorney

Selecting your agent is the most important decision in creating powers of attorney. Many Michigan residents don’t realize that the same person doesn’t have to serve in both roles. You might choose your financially savvy daughter as your financial agent while naming your son who lives nearby as your patient advocate.

Your ideal financial agent should be:

Trustworthy and honest with money
Organized and detail-oriented
Capable of managing complex financial matters
Willing and able to serve (consider their age, health, and location)
Someone who understands your values and priorities

Your ideal patient advocate should be:

Able to make difficult medical decisions under pressure
Familiar with your health care wishes and values
Comfortable communicating with doctors and medical staff
Geographically close enough to be present when needed
Emotionally capable of advocating for your wishes—even when it’s hard

Under Michigan law, you can name successor agents—backup choices if your first pick cannot or will not serve. This is critical. We’ve seen cases where the sole agent predeceased the person or became incapacitated themselves, leaving the family right back where they started—without anyone authorized to help.

When Your Power of Attorney Takes Effect: Immediate vs. Springing

Michigan law allows you to decide when your durable financial power of attorney becomes effective.

An immediate POA takes effect as soon as you sign it, though you retain full control over your affairs until incapacity occurs. Many attorneys recommend this approach because it allows your agent to help with day-to-day financial tasks if needed and ensures a seamless transition if incapacity strikes suddenly.

A springing POA only activates upon a specific triggering event—typically a doctor’s certification that you lack capacity. While this might seem more protective, it creates practical problems. When the crisis hits, your agent must scramble to obtain the required medical certifications, and banks or other institutions may question whether the POA has properly “sprung” into effect.

In our practice serving Michigan families statewide, we generally recommend immediate financial POAs with built-in safeguards rather than springing POAs. Medical powers of attorney in Michigan are always springing by design—they only activate when physicians determine you cannot make your own medical decisions, as required under MCL 700.5507.

Michigan-Specific Requirements for Valid Powers of Attorney

Michigan has specific statutory requirements that differ from other states. Understanding these requirements ensures your documents will actually work when your family needs them most.

For Financial Powers of Attorney under the Uniform Power of Attorney Act (MCL 556.201 et seq.):

Must be signed by you (the “principal”)
Must be dated
Must be signed by two witnesses or acknowledged before a notary public (notarization is strongly recommended)
Should specifically include statutory authority language referencing the current act

For Patient Advocate Designations under MCL 700.5506–700.5520:

Must be in writing, dated, and signed by you
Must be witnessed by two individuals (your patient advocate cannot be a witness)
Witnesses must sign an acceptance stating they witnessed your signature
Must specifically state that your patient advocate is designated under Michigan statutes

Many Michigan financial institutions have their own POA forms they prefer customers to use. At Boroja, Bernier & Associates, we often prepare both a comprehensive statutory POA and execute specific bank or brokerage POA forms to eliminate any potential resistance from financial institutions—because a power of attorney that gets rejected at the bank counter isn’t protecting anyone.

Common Michigan Power of Attorney Mistakes to Avoid

Using outdated or generic forms. Free online POA forms are often not Michigan-specific or lack provisions that address your unique situation. Generic forms may reference the old financial POA statutes rather than Michigan’s current Uniform Power of Attorney Act—and may not be accepted by Michigan hospitals, banks, or government offices.

Naming only one agent with no backups. If your sole agent dies, becomes incapacitated, or is simply unwilling to serve when the time comes, your family ends up in guardianship court anyway—exactly the outcome you were trying to prevent.

Failing to inform your agent. Your designated agent needs to know they’ve been selected, understand your wishes, and know where to find the original document when needed. A power of attorney locked in a safe that no one knows about won’t help during an emergency.

Not updating after major life changes. Marriage, divorce, the death of your named agent, or moving to Michigan from another state all require POA updates. Documents drafted under another state’s laws may not include Michigan-specific provisions that your family needs.

Creating a POA when you already lack capacity. Michigan law requires you to have sufficient mental capacity to understand the nature and consequences of executing a POA. Once dementia or other conditions progress too far, it’s too late. This is the single most common and heartbreaking situation we encounter at our firm.

Frequently Asked Questions About Powers of Attorney in Michigan

Can I revoke my power of attorney if I change my mind?

Yes, you can revoke your Michigan power of attorney at any time, as long as you have mental capacity. Revocation should be done in writing, dated, and signed. You should notify your agent, all institutions that have a copy (banks, investment firms, health care providers), and destroy all copies of the revoked document. At Boroja, Bernier & Associates, we help clients execute proper revocations and create new POAs that supersede previous versions.

Does my power of attorney from another state work in Michigan?

Michigan generally recognizes powers of attorney validly executed in other states under the Uniform Power of Attorney Act (MCL 556.201 et seq.). However, some Michigan institutions may be reluctant to accept out-of-state POAs, especially if they don’t contain Michigan-specific language or provisions. If you’ve recently moved to Michigan, we recommend executing new Michigan-specific powers of attorney. Our offices in Shelby Township, Troy, Ann Arbor, and Lansing help clients throughout Michigan update their estate planning documents after relocating to the state.

How much does it cost to create a power of attorney in Michigan?

Standalone powers of attorney typically cost $500 to $800 per document, depending on complexity and whether you need both financial and medical POAs. However, at Boroja, Bernier & Associates, we include comprehensive financial and medical powers of attorney in every complete estate plan we create—which also includes wills, trusts (if appropriate), and advance directives. Complete Will-based estate plans typically range from $1,500 to $2,500, and complete Trust-based estate plans typically range from $2,500 to $5,500 depending on your family’s needs. Creating these documents as part of a coordinated plan is more cost-effective and ensures everything works together seamlessly.

Can my power of attorney agent do whatever they want with my money?

No. Your agent has a fiduciary duty under Michigan law to act in your best interests, keep accurate records, and avoid self-dealing. You can include specific limitations in your POA—for example, prohibiting your agent from making gifts, changing beneficiary designations, or creating trusts. Michigan law also allows you to require your agent to provide periodic accountings to a designated third party, such as another family member or professional, adding an extra layer of protection.

What’s the difference between a power of attorney and a living will?

A living will (also called an advance directive) is a document where you express your wishes about end-of-life medical treatment—such as whether you want life support if you’re terminally ill. Your patient advocate (medical POA) is the person you’ve designated to make medical decisions for you. These documents work together: your living will provides guidance about your wishes, but your patient advocate has the legal authority to make real-time decisions based on your current medical situation. We include both documents in every comprehensive Michigan estate plan.

Do I need a lawyer to create a power of attorney in Michigan?

While Michigan law doesn’t require attorney involvement, working with an experienced Michigan estate planning attorney ensures your POA includes all necessary statutory language, addresses your specific situation, includes proper safeguards against abuse, and will actually be accepted by Michigan financial institutions and health care providers. The cost of proper planning is a fraction of what your family would spend on emergency guardianship proceedings—which can run $5,000 to $15,000 or more. Many Michigan residents learn this lesson the hard way after attempting DIY powers of attorney that fail when needed most.

When should I create powers of attorney?

The best time to create powers of attorney is now—while you’re healthy and have full mental capacity. Under Michigan law, you must have sufficient capacity to understand what you’re signing when you execute a POA. If you’ve already experienced significant cognitive decline, a doctor’s evaluation showing lack of capacity means you can no longer validly create these documents. We regularly help Michigan families in Macomb County, Oakland County, and Wayne County create powers of attorney as preventive planning, not crisis management.

The Boroja, Bernier & Associates Approach to Powers of Attorney

Unlike firms that treat powers of attorney as standalone forms pulled from a template library, we view them as essential components of a comprehensive estate plan—documents that must work together to protect you during life and after death.

When we create powers of attorney for Michigan families, we:

Draft customized documents that reflect your unique family dynamics and concerns
Include Michigan-specific provisions addressing current statutory requirements under the Uniform Power of Attorney Act and Patient Advocate statutes
Build in safeguards against financial abuse while maintaining the flexibility your agent needs
Coordinate your POAs with your wills, trusts, and advance directives so every document works in concert
Ensure your agents understand their responsibilities and your wishes before they’re ever called upon to act
Keep your documents current as Michigan law evolves—because an outdated POA can be just as useless as not having one at all

We serve Michigan families statewide for estate planning matters, with offices conveniently located in Shelby Township, Troy, Ann Arbor, and Lansing. Our attorneys understand the specific requirements of Michigan probate courts, financial institutions, and healthcare providers throughout the state.

Take the Next Step: Protect Your Family Today

A power of attorney isn’t just a legal form—it’s protection against one of the most stressful situations your family might face. Without these documents in place, your loved ones could spend months and thousands of dollars in court, all while unable to help you when you need it most.

The incapacity that makes powers of attorney necessary rarely comes with advance warning. A sudden stroke, unexpected accident, or rapid cognitive decline can happen to anyone, at any age. The question isn’t whether you’ll need these documents—it’s whether they’ll be in place when that moment arrives.

At Boroja, Bernier & Associates, we help Michigan families throughout the state create comprehensive powers of attorney that provide real protection—not false security from generic forms. Our estate planning attorneys take the time to understand your family’s dynamics, address your specific concerns, and create documents that hold up when tested.

To schedule a consultation with the Michigan estate planning attorneys at Boroja, Bernier & Associates, call our law offices at (586) 991-7611. Don’t leave your family’s future to chance—protect them with proper planning today.