If you live in Israel and have U.S. brokerage accounts, IRA accounts, U.S. bank accounts, or Israeli financial accounts, one question deserves more attention than it usually gets: Who may be able to step in if you can’t manage your money yourself?
It’s not the flashiest part of financial planning. Most people would rather talk about investments, retirement income, taxes, or how the market is doing. But access matters. Even a well-built financial plan may become difficult to use if the right person cannot reach the right account at the right time.
This article is for educational purposes only and should not be treated as financial, legal, or tax advice. Speak with qualified professionals in both the United States and Israel before making decisions about powers of attorney, account ownership, estate planning, or healthcare directives.
Access Is Not the Same as Authority
Many people assume that adding a child to one bank account solves the problem. It can feel practical. It can feel simple. A son may be able to write checks, help pay bills, or make sure money is available if something happens.
But access to one account does not necessarily create legal authority over your full financial life.
If you have a U.S. brokerage account, an IRA account, an Israeli bank account, pension funds, or other assets, each institution may have its own rules. One bank may recognize one type of authorization. A brokerage firm may ask for different paperwork. An Israeli institution may not accept a U.S. document. A U.S. firm may not accept an Israeli one.
That means a family could face a painful situation. A parent is in the hospital. Bills need to be paid. Medical costs may need attention. Accounts may need oversight. Everyone may understand that the money belongs to the parent and that the family is trying to help. Still, the bank or brokerage firm may refuse access if no one has the proper authority.
This is where families often discover that “Mom told me I could” is not enough. Verbal permission usually does not move money. Passwords do not create legal authority. Being named on one account may not help with a different account at a different institution.
Adding a child to an account may solve a narrow problem, but it can also introduce new questions. Depending on how the account is titled, joint ownership may create tax issues, estate complications, or family tension. One child may appear to have more control than another. Other children may wonder whether the account was meant for convenience, a gift, or something else entirely.
The larger issue is that piecemeal planning can create a false sense of security. A person may have one son on one account, another child helping informally, and old documents stored somewhere at home. Each piece may seem reasonable on its own, but the pieces may not work together when life becomes urgent.
Financial access should not be handled as an afterthought. It should be reviewed as part of the broader financial plan, especially when accounts exist in more than one country.
Healthcare Decisions Need a Clear Person in Charge
Financial access is only one side of the issue. Healthcare decisions are another.
If a medical emergency happens and you cannot speak for yourself, doctors need to know who has authority to make decisions. That may sound obvious, but in families with several adult children, it can become complicated quickly.
One child may live in Israel. Another may live in the United States. One may be more involved in day-to-day care. Another may have strong opinions about medical treatment. If no one has been formally designated, the hospital may not know who should speak. If the children disagree, the situation may become even harder.
A healthcare power of attorney, healthcare proxy, or medical directive is designed to address this problem. It names the person who can make medical decisions if you cannot make them yourself.
This is not only about legal paperwork. It is also about giving the family a clear structure during a stressful time. When one person is clearly named, everyone has a better sense of who is responsible. The chosen person can speak with doctors, ask questions, and make decisions based on your wishes.
It is also worth talking with family members before a crisis. If one child is chosen to handle healthcare decisions and another is chosen to handle finances, that should not come as a surprise. Surprises during stressful moments can lead to resentment, confusion, or arguments that might have been reduced with an earlier conversation.
Good planning does not remove every emotional challenge. But it may give the family a better process to follow when emotions are high.
Cross-Border Families Need Documents That May Work in Both Countries
For Americans living in Israel, planning can be more complicated because financial life often crosses two systems.
A person may have an IRA in the United States, a brokerage account at a U.S. firm, an Israeli bank account, pension funds in Israel, and healthcare needs that could arise locally. That means one document may not be enough.
Israeli institutions do not automatically recognize U.S. legal documents. U.S. institutions do not automatically recognize Israeli legal documents. If you operate in both countries, your planning may need to take both countries into account.
One key document to discuss with an attorney is a durable financial power of attorney. This type of document may allow a chosen person to manage accounts, pay bills, file paperwork, and handle financial matters if you are unable to do so. Depending on how it is drafted, it may take effect immediately or only under certain circumstances, such as incapacity.
A durable financial power of attorney is different from a will. A will explains what happens after death. It usually does not help your family manage your accounts while you are alive but unable to act. That distinction matters.
A family may have a will and still be unprepared for incapacity. A will does not generally allow a son to call a brokerage firm and manage an IRA while a parent is hospitalized. It may not allow someone to pay bills, communicate with banks, or handle paperwork across institutions.
That is why cross-border planning often calls for a careful review of who can act, where that authority applies, and whether the documents are likely to be accepted by the institutions involved.
It is also wise to ask each major financial institution what it requires. Some firms have internal forms. Some may review outside legal documents. Some may require updated paperwork after a certain period. These rules can vary, and they may change over time. Checking in advance can reduce the chance of unpleasant surprises later.
Family members should also know where important information is kept. Documents do not help much if no one can find them. Account details, advisor contact information, attorney contact information, powers of attorney, healthcare directives, and other key records should be organized in a way that the right person can locate when needed.
That does not mean giving everyone full access to everything. It means creating a responsible system before a crisis.
Think of it as the practical side of protecting the financial life you worked hard to build. Investments matter. Tax planning matters. Retirement income matters. But the plan also needs to function if you cannot personally pick up the phone, sign a form, or answer a question from a financial institution.
The good news is that this issue can often be improved with a focused review. Many families may be able to make meaningful progress by identifying accounts, checking existing documents, speaking with qualified professionals, and clarifying who should do what.
Do not wait until a hospital stay, sudden illness, or urgent family call forces the issue. By then, the person who needs to sign documents may no longer be able to sign them. That is exactly when prior planning may matter most.
If you live in Israel and have U.S. brokerage or IRA accounts, take time to review your financial access plan. Ask who could step in, whether he has legal authority, whether the documents are likely to work in both countries, and whether the family knows what to do.
Your accounts should not become harder to reach at the moment your family may need them most.
At Profile Investment Services, we help people in Israel manage their U.S. brokerage and IRA accounts as part of a broader cross-border financial picture. If you want to get your U.S. accounts organized and understand how we work with Americans living in Israel, schedule your free introductory call to see if we’re a good fit: https://profile-financial.com/call/
