Attorneys and record-keeping responsibilities

An attorney's records should explain both the transactions made and the reasons for significant decisions. Official guidance addresses records and expenses when managing an LPA in England and Wales. ^[1]

Keep an account that another person can follow Record the date, amount, recipient and purpose of each payment. Retain statements, invoices and receipts with references linking them to the ledger. Where money was reimbursed to you, show the original expense and why it related to the donor.

Keep the donor's finances distinguishable from your own. A shared household arrangement needs clear allocation rather than assumptions that every payment benefited both people equally.

Record judgement as well as arithmetic For a major purchase, investment change or property transaction, note the options considered, the donor's involvement and any advice obtained. Explain how conflicts were identified and addressed.

Review transactions involving your own interests before proceeding. If you are only helping informally, distinguish that role from an attorney's authority and use a family-helper record. A complete paper trail supports accountability without turning every ordinary purchase into a lengthy report.

Establish an opening picture before recording new activity Assemble the information needed to understand the donor's relevant affairs when you begin acting. For financial work, identify accounts, assets, regular income and commitments using statements and reliable documents. Record the date of the information and any unresolved discrepancy. An opening position allows later transactions to be understood in context. It also helps distinguish a problem inherited from an earlier period from a decision you made, without assuming that every unfamiliar entry represents either an error or misuse.

Choose a recording method suited to the complexity of the work. A straightforward ledger with referenced receipts may be enough for ordinary administration, while a business interest or several properties may need additional professional support. Use categories that explain the donor's expenditure rather than a system only you can interpret. Keep the source records accessible through clear references. The objective is that an authorised reviewer could follow the money and understand the significant choices without requiring you to reconstruct every transaction from memory.

Connect each payment to its purpose and evidence Record the transaction date, amount, recipient and explanation, and link it to the relevant invoice, receipt or statement entry. Where a household expense is shared, explain the allocation rather than automatically charging the whole amount to the donor. If cash is used, keep a proportionate account of withdrawals and expenditure so the trail does not end at the cash machine. A payment description should be specific enough to identify its purpose without placing unnecessary sensitive personal details in a widely accessible ledger.

Separate reimbursement from remuneration. If you pay an appropriate expense personally, retain the original evidence and show the amount subsequently reimbursed, avoiding duplicate recovery. Do not assume that unpaid time spent helping the donor can be converted into a fee without authority. The official records-and-duties guidance addresses role-related expenses and the need for receipts. Ask for advice where a proposed payment benefits you or goes beyond a straightforward documented expense, because a good record does not itself make an unauthorised transaction permissible. ^[2]

Record the reasoning behind significant decisions For an important decision, note the issue, information considered, realistic options and the donor's involvement. Identify relevant wishes, advice obtained and any disagreement or conflict requiring attention. The explanation should connect the choice to the donor's circumstances rather than merely state that it seemed best. A property decision, a substantial purchase or a difficult welfare choice may need more detail than an ordinary transaction. The records should be proportionate; they need not become a lengthy narrative about every small daily preference.

Distinguish facts, professional advice and your own judgement. If an estimate or assumption influenced the decision, label it and retain its basis. Record when further information changed the assessment and how the decision was revisited. Avoid rewriting a historical note so it appears that later knowledge was available at the time. A dated correction or additional explanation is clearer. This approach allows the record to show a considered process honestly, including uncertainty, rather than an artificially perfect account assembled after a concern has been raised.

Reconcile, protect and hand over the records Compare the ledger with bank statements at sensible intervals and investigate unexplained differences. Mark an issue as unresolved until it is actually clarified. Retain relevant correspondence and distinguish pending payments from completed ones. If several attorneys share work, agree how updates are recorded so the same expense is not paid twice or omitted because each assumes the other handled it. Practical allocation of administration should remain consistent with the decision authority in the LPA and the donor's confidentiality.

Keep the records secure and disclose them through appropriate channels when there is a proper basis. Relatives' interest in the donor's affairs does not by itself answer every question about access to private information. OPG or the Court of Protection may examine an attorney's actions, so respond accurately to legitimate requests and obtain advice where needed. On a lawful handover, provide the current position, supporting records and unresolved matters. The next person should be able to distinguish completed work, continuing commitments and decisions still needing attention. ^[2]