SECURE YOUR FAMILY’S FINANCIAL FUTURE
ATTORNEY GRATIA P. SCHOEMAKER FOCUSES ON ASSET PROTECTION IN CLEAR LAKE, TX
Asset Protection like Estate Planning is not just for the wealthy. People from most walks of life can benefit from integrating asset protection in their estate plan. This is important for professionals in high liability areas, Entrepreneurs and business owners alike. Taking steps to protect your assets in advance, could benefit your family for generations.
Asset protection is part of our daily lives, you might not have realized it yet. For example, homestead exemption laws are created to protected our assets we us day-to-day from loss in bankruptcy. Organizational structures such as limited liability companies and corporations can also provide protection for assets with a business purpose. For example, conveying rental property to an LLC will protect your other assets from liability arising out of the rental property (provided the LLC is treated as a separate entity). Conversely, property in the LLC would be protected from liability arising out of your non-rental activities. Other asset protection strategies might involve types of estate planning, such as domestic asset protection trusts and irrevocable trusts.
It is important to note that asset protection is not a way to hide money from creditors, or a debt that has already been incurred or you are aware is imminent. Asset protection requires advance planning before there are any storms on the horizon. A good asset protection strategy will provide creditor protection, but it also might be implemented to protect a beneficiary from wasting or losing his or her inheritance (e.g., substance abuse or perhaps a failing marriage). So instead of giving an outright gift, a trust could be used to ensure distributions are made in a manner that best supports the beneficiary in his or her situation.
As you can see there are many different strategies to consider when it comes to asset protection planning. How can you make sure you’re making the best choice about your assets? Speak with a trusted lawyer about asset protection today.
WHY IS ASSET PROTECTION IMPORTANT?
It can be tempting to wait until later in life to start thinking about asset protection planning, but you never know what’s going to happen. Like insurance, unless you plan for it, asset protection might not be there when you need it.