Your Sibling Has Power of Attorney Over Mom’s Money — Who Is Watching the Money?

A financial power of attorney gives a trusted agent authority to manage a parent’s money, but it does not eliminate the duty to keep accurate records. Reviewing expenses and documenting unusual transactions can help protect an older adult and the person managing the finances – Shutterstock

Your sibling has power of attorney over Mom’s money, and suddenly, questions about her finances seem to have no easy answers. Who pays her bills? Where does her retirement income go? And if something looks wrong, can another family member demand an explanation?

A financial power of attorney gives someone legal authority to handle another person’s finances, subject to the document’s terms and applicable state law. It does not automatically give that person permission to treat Mom’s money as their own. Yet families often assume someone else checks the transactions, reviews the bank statements, or steps in if trouble develops. In many arrangements, nobody routinely performs that oversight. That leaves families with a practical challenge: protecting Mom without turning every family conversation into an interrogation.