A common misconception prevalent in Singapore is with regards to economic planning for the future, in which many solely focus on wealth management and passing the inheritance down to the next generation. Many tend to ignore unfortunate but rare circumstances, when they are unable to make decisions for themselves due to mental incapacitation. In these cases, the Lasting Power of Attorney (LPA) is crucial to ensure that trusted decisions can be made on your behalf.
What is a Lasting Power of Attorney?
A Lasting Power of Attorney is a legal appointment, which allows a person (donor) of minimally 21 years of age to voluntarily appoint one or more persons (donee) to make decisions and act on their behalf if they lose mental capacity one day. This allows the donee to act in two broad areas, mainly in personal welfare and/or property & affairs matters.
So why should I sign a LPA?
Many would ponder on what are the benefits to an LPA. There are two main benefits:
- An LPA enables a donor to make a personal, thought-out choice of a trusted proxy decision maker, who is able to act in the donor’s best interests should they lose mental capacity one day.
- Without an LPA, in the case of mental incapacitation, loved ones would have to apply for a Deputyship order, which requires time and money. Having an LPA avoids unnecessary stress and difficulties.
Why is there an LPA Form 1 and LPA Form 2?
There are two types of LPA forms, and are chosen based on the specific donor’s needs.
LPA Form 1: This form is for donors who wish to grant general powers with basic restrictions that already have been established.
LPA Form 2: This form is for donors who wish to grant customised powers, and has to be drafted by a lawyer.
Generally, an LPA Form 1 is preferred, with 98% of Singapore Citizens who made an LPA used the LPA Form 1.
Is now the right time?
For many considering an LPA, they do not see the need in pursuing one now, and would rather wait for another time. However, mental incapacitation cannot be predicted, and thus preparing early prevents difficulties in the future.
Furthermore, the Office of the Public Guardian (OPG) has also extended the LPA Form 1 application fee waiver for Singapore Citizens to 31 March 2026, in an attempt to encourage more Singaporeans to plan ahead and apply for an LPA. Thus, by applying now, application fees will also be avoided.
Normal prices for an LPA
LPA Form 1 Fee
Singaporean Citizens – $70 ($0 until 31 March 2026)
Permanent Residents – $90
Foreigners – $230
LPA Form 2 Fee
Singaporean Citizens – $185
Permanent Residents – $230
Foreigners – $275
There will also be a certificate issuer fee to get the LPA certified, and the fees will vary depending on the choice of certificate issuers.
How do I make an LPA Form?
For LPA Form 1
- Choose 1 or 2 donees, and 1 replacement donee (optional)
- Draft your application online at https://opg-eservice.msf.gov.sg/
- Wait for all your donees to accept their appointments
- Visit an LPA certificate issuer to certify and submit the LPA
If you would prefer to appoint more than two donees, more than one replacement donee, or would like to grant your donees customised powers, a lawyer would guide you through making an LPA Form 2.
Conclusion
If you would like to create an LPA, it is important to seek professional legal advice, as it ensures that your LPA is drafted without breach of Singapore law, protects your interests,
and shields you against potential pitfalls. If you require professional guidance in this regard, do contact the Advomi team, where we have a team of qualified lawyers to assist you in your operations.
Disclaimer: This article provides general information and does not constitute legal advice. Please seek professional advice for your specific situation.
