Guide to Making a New Jersey Power of Attorney

Granting someone Power of Attorney (POA) is one of the most important steps you can take to make sure your personal, financial, or medical decisions are handled the way you want—especially if you ever can’t make them yourself. In New Jersey, the process involves choosing a trusted agent, completing the right legal documents, and following the state’s signing requirements. While it may sound intimidating at first, understanding the State of New Jersey Power of Attorney form will make it much easier to take action. 

How Does Power of Attorney Work in New Jersey?

In New Jersey, a Power of Attorney must be created in writing, signed, and properly acknowledged before a notary public or attorney to be legally valid. The state recognizes both general and limited POAs, as well as Durable Powers of Attorney, which remain effective if you become incapacitated. If you want your POA to be durable, New Jersey law requires that the document clearly state this intent—otherwise, it automatically ends if you can no longer make decisions on your own. You can also create a separate Medical Power of Attorney, sometimes called a Health Care Proxy, which designates someone to make health-related decisions on your behalf. Once executed, your appointed agent has the legal authority to act within the powers you’ve granted, but you retain the right to revoke or change your POA at any time as long as you’re competent to do so.

Types of Power of Attorney in New Jersey

General Power of Attorney in NJ

A General Power of Attorney gives your chosen agent broad authority to handle your legal and financial affairs. In New Jersey, this authority ends if you become incapacitated unless the document is made “durable.”

Durable Power of Attorney New Jersey

A Durable Power of Attorney stays in effect even if you lose the ability to make decisions. New Jersey law requires specific language in the document to make it durable, so that your agent can continue managing your affairs during incapacity.

Medical Power of Attorney NJ

Also known as a Health Care Proxy, a Medical Power of Attorney lets you appoint someone to make medical decisions on your behalf if you’re unable to speak for yourself. In New Jersey, this is often paired with an Advance Directive to ensure your healthcare wishes are honored.

Financial Power of Attorney New Jersey

A Financial Power of Attorney authorizes your agent to manage money-related tasks, such as paying bills, filing taxes, or handling property transactions. This can be structured as general or limited, depending on how much authority you want to grant.

Limited or Special Power of Attorney NJ

A Limited (or Special) Power of Attorney is used when you want your agent’s authority to cover specific tasks or a defined period of time. For example, in New Jersey, you might use it to authorize someone to complete a real estate transaction while you’re out of the country.

New Jersey Power of Attorney for Tax Matters

In New Jersey, you can grant someone Power of Attorney specifically for tax matters using Form M-5008-R, “Appointment of Taxpayer Representative.” This document allows you to authorize an agent—such as an accountant, attorney, or other trusted person—to receive confidential tax information and act on your behalf with the New Jersey Division of Taxation. Your representative may handle filings, communicate with the state about your tax account, and resolve issues directly, depending on the authority you grant.

Unlike a general or durable Power of Attorney, this tax-specific POA is limited in scope and applies only to the matters listed on the form. For example, you can appoint a representative to handle matters related to sales and use tax or inheritance tax. You remain responsible, but your appointed representative is empowered to manage the administrative details and interactions with state tax authorities. You can revoke or update this appointment at any time by submitting a new form.

New Jersey Power of Attorney Requirements

• Written document – A Power of Attorney must be in writing to be enforceable.

• Principal’s signature – The person granting authority (the principal) must sign the document.

• Acknowledgment – The POA must be notarized, or signed in the presence of an attorney, to be legally valid in New Jersey.

• Capacity – The principal must be at least 18 years old and of sound mind when executing the document.

• Durability language (if applicable) – To remain effective during incapacity, the POA must explicitly state that it is “durable.”

• Agent acceptance – The appointed agent should be clearly identified by name, and must accept their role.

• Specificity for limited powers – If creating a Limited or Special POA, the document must clearly outline the exact powers granted.

If your Power of Attorney does not meet these requirements, your family may be forced to work with New Jersey Surrogate Court to take control of your affairs through a guardianship if you were ever unable to do so. 

How to Get Power of Attorney in New Jersey

Follow these steps to get Power of Attorney: 

1. Choose the Right Type of NJ POA

Decide whether you need a General, Durable, Medical, Financial, Limited, or Tax-related Power of Attorney. Each type serves a different purpose, and the right choice depends on the level and scope of authority you want to grant.

2. Select a Trusted Agent

Name an agent you trust to act in your best interests. This person will have legal authority to carry out the powers outlined in your POA, so it’s important to choose someone responsible and reliable.

3. Use a Legally Valid New Jersey Power of Attorney Form

Make sure you use a New Jersey–compliant POA form. The document must include specific language if you want it to be durable, and it should clearly outline the powers you are granting to your agent.

4. Sign, Witness, and Notarize

In New Jersey, your POA must be signed by you (the principal) and acknowledged before a notary public or attorney to be legally valid. Following these formalities ensures your document will be recognized by courts and third parties.

5. Provide Copies to Relevant Parties

Once your POA is completed, share copies with your agent, financial institutions, healthcare providers, or anyone who may need to recognize your agent’s authority. Keeping the document accessible helps avoid delays when it needs to be used.

Common Mistakes to Avoid with a New Jersey POA

• Not making the POA durable – In New Jersey, a Power of Attorney automatically ends if you become incapacitated unless the document clearly states it is “durable.”

• Failing to notarize – A New Jersey POA must be notarized (or acknowledged by an attorney) to be legally valid.

• Using the wrong form for tax matters – For state tax representation, you must use the official Form M-5008-R, not a general POA.

• Leaving powers too vague – If you don’t specify which powers your agent has, third parties like banks or the Division of Taxation may reject the document.

• Forgetting to update after life changes – Moving out of state, divorce, or changes in financial accounts may require updating your New Jersey POA to stay accurate and enforceable.

When Does a New Jersey Power of Attorney End?

In New Jersey, a Power of Attorney ends when the principal revokes it, when the agent resigns or can no longer serve and no successor is named, or when the principal passes away. A non-durable POA also ends if the principal becomes incapacitated, unless the document specifically states that it is durable. In all cases, death automatically terminates the agent’s authority.

FAQs: 

How much does a Power of Attorney cost in New Jersey?

The cost of a Power of Attorney in New Jersey depends on how you set it up. Hiring an attorney can range from a few hundred dollars to over $500, depending on complexity. If you use an online service like Trust & Will, you can create a legally valid, state-specific Power of Attorney alongside an online will for a more affordable, transparent price.

Does New Jersey accept a federal Power of Attorney?

A federal Power of Attorney typically refers to the process of appointing a tax representative to help with your obligations to the IRS. As with most types of POA, your representative would not be able to take control of your affairs beyond the scope of the document (which in this case, would be federal taxes). New Jersey would likely not “accept” a federal POA for state-related matters. 

How do I resign as a Power of Attorney in New Jersey?

In New Jersey, an agent can resign from serving under a Power of Attorney by providing written notice of resignation to the principal. If the principal is incapacitated, the notice should instead be delivered to any co-agents, a successor agent named in the document, or—if none are available—the principal’s guardian, caregiver, or another appropriate party. To avoid confusion or disputes, it’s best to put the resignation in writing, sign and date it, and keep copies for your records.

How can I find Power of Attorney records in New Jersey?

Power of Attorney records are generally not public information, though you can try filing a request through New Jersey’s Open Public Records act for related information filed with a County Clerk. In most cases, to access a Power of Attorney document you need to receive a copy from the person who created it. 

Is a Power of Attorney from another state valid in New Jersey?

Yes, a Power of Attorney from another state is generally considered valid in New Jersey so long as it was properly created in that state. Essentially if you followed your state-specific requirements when creating the POA, it will be recognized when moving to New Jersey. 

Set Up Your New Jersey Power of Attorney Easily with Trust & Will

Setting up a Power of Attorney in New Jersey ensures that your financial, medical, and legal affairs will be managed according to your wishes if you’re ever unable to act for yourself. Creating a Power of Attorney won’t eliminate probate fees down the line, but it can help your loved ones avoid the additional court costs and legal fees of a guardianship proceeding if you ever become incapacitated. 

With Trust & Will, creating a New Jersey-compliant Power of Attorney is simple, affordable, and guided every step of the way. Our platform makes it easy to choose the right type of POA, complete the necessary forms, and ensure your documents meet the state’s legal standards. By taking this step now, you’ll know that your affairs can be managed smoothly and correctly, no matter what life brings.

Trust & Will is an online service providing legal forms and information. We are not a law firm and we do not provide legal advice.