Four Fallacies About Asset Protection
It is important to know what information is accurate and what the misconceptions are around Asset Protection. Asset protection is the legal process of protecting both your personal and business assets from any potential future financial threats. Here are four debunked myths about Asset Protection.
- Asset Protection is only for the wealthy.
No matter how much you own, you need Asset Protection to protect what you have! In fact, the less you have the more important it is to protect it. There is no monetary threshold, if you get sued, you can lose everything. Having an Asset Protection plan can discourage lawsuits and help to put you in a better position to negotiate so you don’t lose it all.
- Asset Protection is illegal.
So long as you are not trying to bury any fraudulent assets or committing any crimes, Asset Protection is 100 % legal and ethical. You can set up your assets both inside and outside the United States as long as you are compliant with all laws in both jurisdictions. It’s important to note that Asset Protection is not about hiding; you never want to hide your assets. If Asset Protection is done legally and ethically, you have a right to protect yourself from future creditors.
- Nothing can be done once you have been sued.
To an extent, this is false. If you are sued before you protect your assets, your options will just be much more limited. For example, in Florida you might be able to put more money in your homestead or protect other assets. So, while you may have choices to protect your assets after being sued, the choices will be much more limited than if you were proactive.
- Asset Protection plans are all the same.
Asset Protection is extremely individualized, customized, and tailored. All plans vary from person to person. This is because every individual has different assets, threats, creditors and liabilities. Individual circumstances must also be considered: assets owned, how they are titled, how they are taxed, future plans, and location of businesses and residences. Asset Protection plans should integrate Estate Planning, Tax Planning, and Business Succession Planning. This will ensure that your assets are protected even after death. All Asset Protection plans are unique to the individual and their unique circumstances.
The Presser Law Firm specializes in Asset Protection Planning and integrated Estate Planning. Contact us today to schedule a complimentary preliminary consultation to learn more on how to protect your assets.
The Presser Law Firm, P.A.
(561) 953-1050 or e-mail Info@AssetProtectionAttorneys.com