Unfortunately, there is no shortage of individuals and companies who would love to get their hands on your hard earned assets. The government, too, is not ashamed to tax your property and wealth in sometimes onerous ways, reducing what you can pass down to your loved ones. To protect your hard earned property, wealth and other assets in today’s highly litigious environment, good asset protection strategies are more important than ever.
What is an Asset Protection Strategy?
An asset protection strategy is designed to protect your assets or a specific asset from risk of loss due to lawsuits, taxes or other legal circumstances such as a
divorce. Another element of asset protection strategies is creating the legal barriers needed to shield your assets as much as possible from creditors and bankruptcy proceedings.
A good asset protection strategy targets all the risks and liabilities associated with an asset or group of assets and erects the legal fences necessary to keep them safe from legal plunder.
Types of Asset Protection Strategies
Since an overall, comprehensive asset protection strategy can be very complex, with multiple considerations, to help you understand the elements of a good asset protection strategy, we must limit our description to a few instances that can be easily explained.
A great example of a single asset protection strategy is the establishment of a revocable living trust. A living trust allows you to specify where and to whom your assets go upon your death. The living trust protects your assets from the tedious probate process and the fees and time that it requires. The revocable living trust allows you to make changes and you retain control over your assets.
Another, more extreme, example is that of an irrevocable living trust. An irrevocable living trust is designed for maximum asset protection. With an irrevocable living trust, you are not able to change he terms once it is executed and you legally transfer your assets from your estate to the trust itself. Since the trust and the assets it contains is no longer a part of your estate, they can no longer be seized by creditors.
A further example is that of a business partnership in which each partner wants to protect themselves from liability brought on by the other. In a partnership, if one partner is sued, the assets of the other are at risk as well. Creating an LLC is a great business planning protection strategy that keeps you safe from the liability of your partner or partners.
Asset Protection Strategies with Kalicki Collier
Whether you need a strong business plan to protect you and your assets or are looking for a robust plan to protect your estate, Kalicki Collier has the experience to help you protect your assets, your future and your family. The Reno based law team of Kalicki Collier is nationally known for their knowledge in asset protection strategies and will work to help you create a comprehensive strategy for all the circumstances that threaten your assets and legacy. Contact us today to get started.