5 Tips For Protecting Your Assets With The Help Of An Asset Protection Lawyer
Many people are unaware of the importance of asset protection for safeguarding their future. Not only does an asset protection lawyer help you protect your assets from creditors and other legal claims, but they also make sure that these assets remain available to you and pass on to your heirs in a legally sound manner. Here are five tips for protecting your assets with the help of an asset protection attorney:
1. Understand Your State's Asset Protection Laws
It is important to understand what types of measures are permissible under the laws of your state when it comes to protecting your assets. An experienced asset protection attorney will be able to explain any applicable laws in detail so that you can properly plan for asset protection without violating those laws.
2. Create an Estate Plan
Creating a comprehensive estate plan with the help of an asset protection lawyer can help ensure that your assets are distributed in accordance with your wishes upon death. This includes setting up trusts and creating wills and other documents to ensure that your wishes are carried out after you have passed away.
3. Utilize Asset Protection Trusts
Asset protection trusts (APTs) can be used to protect assets from creditors and other legal claims while also allowing for tax savings. An APT is created by placing assets inside the trust and appointing a trustee who has fiduciary duties to manage the funds according to the terms of the trust document. The main benefit of asset protection trusts is that they provide greater security against creditors than traditional estate planning tools such as wills and revocable trusts.
4. Use Business Structures for Limited Liability Protection
Creating business structures, such as an LLC or corporation, can be a great way to limit your personal liability from the debts and liabilities of your business. An asset protection attorney can help you set up these entities in accordance with state law and also explain how certain tax advantages may apply depending on the type of structure that is chosen.
5. Ensure Insurance Coverage
Asset protection lawyers can also help you ensure that you have adequate insurance coverage for both personal and business assets. Having proper insurance coverage helps to protect your assets in the event that you are sued or other legal claims arise against them. Asset protection attorneys can review your current policies and suggest changes or additional coverage if needed.
Asset protection is an important part of financial planning and should not be overlooked. An experienced asset protection lawyer can help you understand the laws in your state and create a plan to protect your assets while taking advantage of any tax savings available. With the right asset protection strategy, you can ensure that your hard-earned assets remain safe and are used according to your wishes both now and in the future.
Contact an asset protection lawyer for more information.