Wages, earnings or compensation of the head of household which are due for personal labor or services, including wages deposited into a bank account (provided they are traceable and identified as such) are exempt from garnishment or attachment under Florida Statute Section 222.11. A debtor is head of household if he financially supports someone for whom he has a legal or moral support obligation, such as a spouse, child, or parent. The dependent does not have to reside in the debtor's primary residence. Exempt means that such wages cannot be reached by a creditor, except for alimony and child support payments, or except when the right to garnish wages is given to a creditor (such as in loan documents, in connection with a bank loan).
Some other states have similar laws – it's best to contact The Presser Law Firm, P.A. to talk about what is specifically exempt in your state of residence.
Advantages: The Asset Protection advantage is obvious in this instance, creditors cannot reach your wages for a certain period of time – at which you can construct and finalize your Asset Protection strategy, which may include these wages.
Yes, You Can Lose Everything!
You may think that your wealth is safe and that you don't need protection. But don't delude yourself and accept reality — for every 60 minutes you spend making money, spend 60 seconds thinking about how to protect it!