A will is a complex legal document that details the distribution of your money, belongings and property after your death. In the document, you name a "personal representative" (commonly known as an "executor") to distribute your property in accordance with your wishes.

2. Durable power of attorney for finances

A durable power of attorney for finances allows you to appoint another person as your agent, and grant him or her access to your money and other assets and the authority to make financial decisions on your behalf if you become incapacitated. Some examples of the powers you can give your agent are the powers to:

1. Authorize payment of bills;
2. Run your business;
3. File your taxes;
4. Withdraw money from your checking or savings account;
5. Control your investments;
6. Sell your home;
7. Apply for insurance benefits on your behalf.

It is important to carefully choose a person you trust to be named as your agent due to the enormity of financial control you will give him/her. However, it should be noted that you can limit the power given to your agent by detailing the specific powers you are giving her/him in the durable power of attorney for finances document.

3. Health care proxy, or durable power of attorney for health care

A health care proxy, or durable power of attorney for health care, allows you to designate another person as your agent to make health care decisions on your behalf. If a situation arises in which you are incapacitated and cannot make medical decisions for yourself, a health care proxy instructs doctors, nurses and others involved with your care that the person you appointed as your agent is the person who you want making care decisions on your behalf. For example, a health care proxy can allow you to give your agent the power to:

1. Be given first priority to visit you in the hospital;
2. Receive your personal property recovered by any hospital or police agency at the time of your incapacitation; and
3. Authorize medical treatment and surgical procedures.

4. Living Will

A living will (or medical directive) is a document that instructs your doctor or care provider about your preferences for life-saving procedures in the event that you have a terminal condition or are incapacitated. For example, you can decide whether you want your doctor to initiate life-sustaining procedures such as CPR, administer artificial nutrition and hydration or keep you as comfortable and free of pain as possible if you have a terminal condition or are in a persistent vegetative state.

A living will is an important legal document because it communicates your wishes and gives your loved ones guidance in making a very difficult decision. A living will is different from the durable power of attorney for health care because you are not appointing someone to make life-sustaining decisions for you, but rather leaving instructions for your doctor or care provider. Because a living will is limited to terminal situations, a living will should always be used in addition to a durable power of attorney for health care and not as a substitute. When you use a living will in conjunction with a durable power of attorney for health care, these documents may be referred to as advance directives. It should be noted that a living will is not the same thing as a last will and testament.