How You Can Keep Claims From Threatening Your Property
Most of us do not expect to be sued. However, lawsuits are filed every day the courthouses are open. If your estate plans doesn’t include adequate asset protection, you could end up losing a substantial amount of your wealth in the event of a claim – even a “frivolous” one.
It’s well worth talking to an Attorney about what asset protection strategies your current plan includes. Many existing plans may need a revamp, while others will need to implement a new plan entirely. Shielding your assets and property against legal claims takes sophisticated planning and teamwork. We’re here to help you develop a tailored asset protection strategy for you and your family.
Risk Management Planning: Setting up a corporation, LLC, limited partnership, buying appropriate insurance, negotiating contracts effectively, using retirement plans and other exempt accounts, and other strategies are all part of what we could call risk management planning. Some of these may be built into your estate plan while others may be part of your business plans. Many people have not taken the time to develop a risk management strategy fully, but it is well worth the effort.
Planning of this type should not be delayed or neglected. Effective strategies like these only protect you when they’re put into place early enough — well ahead of a lawsuit, credit claim, or bankruptcy. For those who have already implemented one or more strategies, it is also a great time to review and ensure the plan will work as expected. Many trusts – even “irrevocable” ones – can be modernized (and their benefits possibly enhanced) using tools like a modification or decanting. Of course, the traditional concerns of estate planning, such as client privacy, freedom to determine who will be in charge of their assets, and reduction of income and estate taxes, must be addressed.
Planning tip: Bankruptcy and divorce can also come into play here, so protective planning to protect and preserve assets is extremely important. We’re here to help you. Give us a call today to talk about how we can build asset protection into your plan.