When a loved one begins struggling with memory loss, mental health challenges, or the everyday responsibilities of managing their finances, families often wonder:
“Do we need guardianship?”
Or is a Power of Attorney enough?
In Illinois, these two tools serve very different purposes — and choosing the right one can protect your loved one and avoid unnecessary court involvement. This guide breaks down, in plain English, when guardianship is needed and how it compares to Power of Attorney (POA).
What Is a Power of Attorney in Illinois?
A Power of Attorney (POA) is a voluntary legal document that an adult signs while they still have mental capacity. It allows them to choose someone they trust — an “agent” — to help make decisions on their behalf.
There are two main types in Illinois:
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Power of Attorney for Property (financial decisions)
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Power of Attorney for Health Care (medical decisions)
A POA is private, flexible, and avoids court involvement.
If a person can still understand what they are signing, a POA is almost always the better, easier option.
What Is Guardianship in Illinois?
Guardianship is a court-supervised legal process where a judge appoints someone (a guardian) to make decisions for a person who can no longer make decisions for themselves.
It is used when someone:
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Can’t manage their finances
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Doesn’t understand medical care
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Is vulnerable to scams or exploitation
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Refuses help because they lack insight into their condition
Guardianship removes some of the person’s rights, so Illinois courts only grant it when absolutely necessary and only when there is no less-restrictive alternative.
Power of Attorney vs. Guardianship: The Key Differences
| Power of Attorney | Guardianship |
|---|---|
| Signed voluntarily | Ordered by a judge |
| Person must have mental capacity | Used when capacity is lost |
| Private | Court-supervised |
| No court hearings required | Court petition, hearing, and ongoing reports |
| Flexible and customizable | Strict duties and oversight |
| Usually inexpensive | More expensive (court + attorney fees) |
| Can avoid guardianship entirely | Usually a last resort |
When Is a Power of Attorney Enough?
A POA works well when your loved one:
✔ Still understands what they’re signing
✔ Is willing to accept help
✔ Simply needs someone to step in for medical or financial decisions
✔ Wants to avoid court involvement
Most estate plans in Illinois rely on POAs as the first line of protection.
When Is Guardianship Necessary in Illinois?
Guardianship becomes necessary when a loved one no longer has the capacity to sign a Power of Attorney, and decisions must be made for their safety.
Guardianship may be needed when someone:
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Has dementia or Alzheimer’s and cannot manage daily affairs
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Is being financially exploited or vulnerable to scams
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Cannot understand medical treatment
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Is refusing needed care because of impaired judgment
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Has a disability and never executed POAs
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Is an adult child with special needs turning 18
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Has a sudden health crisis (stroke, traumatic brain injury)
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Has severe mental illness resulting in lack of capacity
In these cases, families cannot simply “step in.”
Banks, hospitals, and agencies often require legal authority, and guardianship is the tool the court provides.
What Illinois Courts Look For When Deciding Guardianship
To approve guardianship, a judge must find that:
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The person cannot make or communicate responsible decisions
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No less-restrictive option (like POA, trust, or supported decision-making) will protect them
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A medical professional has completed the Illinois Physician’s Report
Courts prefer limited guardianship when possible — meaning the guardian only gets the powers truly needed.
Can Guardianship Be Avoided?
Yes — many families avoid guardianship entirely with proper planning, including:
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Durable Powers of Attorney
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Living trusts
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Supported decision-making agreements
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Joint accounts (when appropriate)
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Advance directives
If your loved one still has capacity, creating POAs today can prevent a stressful and costly guardianship case later.
Final Thoughts: Choosing the Right Path for Your Family
Deciding between Power of Attorney and guardianship isn’t easy. It’s emotional, legally complex, and often happens during a difficult season of life. But you don’t have to make the decision alone — and you don’t have to guess.
If you’re concerned about a loved one’s ability to manage their affairs, I can help you understand your options and determine whether POA, guardianship, or another tool is the right fit.
📞 If you have questions about your estate plan or a probate matter, contact the Law Office of Jonathan W. Cole P.C. at (708) 529-7794 — Your Neighborhood Law Firm.
