Executor Vs. Power of Attorney

What’s the Difference?

It is often assumed that an Executor and Power of Attorney are one in the same. This is not accurate. An Executor and Power of Attorney are not the same thing. In fact there are some key differences between the two. Both have different roles and responsibilities.

An executor will administer your will when you die — making sure your wishes are carried out. A POA protects your interests while you’re still alive.

Power of Attorney

A power of Attorney names someone who can act on your behalf.  When an individual (principal) selects another (agent) they are granting the agent the authority to make decisions on your behalf.  For example, the right to access bank accounts, invest money, purchase or sell property and more.

Executor

An executor is a person appointed by law (selected by you) to oversee the administration of someone’s will after they have died. The Executor gathers assets, settle debts, distributes belongings.  The Executors work begins during the probate process.

EXECUTOR	POWER OF ATTORNEY
Handles a decedent’s estate after he passes away.	Remains valid during the principal’s lifetime.
The executor has no authority during the decedent’s lifetime.	Automatically ends upon the principal’s death
Is in charge of the decedent’s will.	The agent steps into the shoes of the principal.
Represents the estate in the probate process	Makes important decisions for the principal
Has the authority to handle the estate as the decedent would if they were still alive.	Has the authority to make decisions for the principal. (limited to the powers granted).
Has a Fiduciary duty to act in your best interest.	Has a Fiduciary duty to act in your best interest.
Can only be terminated by court order.	Agent’s powers can be revoked at any time by the principal for any reason.
Can voluntarily resign from their positions at any time	Can voluntarily resign from their positions at any time
Becomes effective upon the principal’s death	Authority ends upon the principals death
The Court must grant the Executor the role	The principal grants the agent its role.

Cynthea Motschmann

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