What is the difference between a guardianship and a power of attorney?

The difference between a guardianship and a power of attorney in Texas is a major difference in terms of legal decision making for a person who is elderly or incapacitated. A guardianship is a court appointed person, called the Guardian, who is responsible for the daily affairs and well-being of the incapacitated person, called the ward. The Guardian is able to make decisions regarding the ward’s medical care, where they live, and how they manage their finances. The court is in control of the Guardianship and must approve any and all decisions made by the Guardian. On the other hand, a Power of Attorney (POA) is a private agreement between two parties, the principal and the agent. The principal gives the agent power to act on their behalf in business and other financial matters. The agent has the legal authority to make decisions for the principal, as long as those decisions are within the confines of the POA agreement. The agent must act in the best interest of the principal. A guardianship is most often used for individuals with mental or physical disabilities that prevent them from managing their everyday affairs. A POA is commonly used for individuals who have not yet been declared incapacitated, but need help managing their finances. POA documents can also be used when an individual is unable to act on their own behalf regarding business transactions.

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What is the difference between a guardianship and a power of attorney?

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