General Asset Protection Information
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by: ryshep13@gmail.com
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Word Count: 614
Asset protection has firmly established itself as part of every successful American's life. nFrivolous lawsuits are threatening business owners, and they should be taken seriously. Government regulators, the IRS, and half the entitlement Joes are waiting to take away everything they have. Most lawyers don't really concentrate on asset protection, because they make their living cleaning up the mess that comes when somebody tries to take your assets away from you. Disasters, including divorces, frivolous lawsuits, taxes, identity theft, and major medical, are something every one of us have to deal with. It doesn't matter which one of the disasters hits you, they are a big asset protection threat to you. You will get hit, and if you've done a little asset protection planning, you'll be a lot better off.nnOwnership is the key element in all asset protection plans. If you don't own the asset, chances are an asset protection disaster or attack won't affect the asset. Your spouse or children will own all or part of "your" assets. The trick in asset protection planning is to move ownership away from you and still have you control the assets and get the beneficial enjoyment of the assets.nnMost of the houses around mine have businessmen or professionals living in them. I know all of my neighbors, but one day I looked at the land plat of our neighborhood, and none of their names appeared on the county records. They have done asset protection planning and moved ownership of their homes away from themselves. Usually the spouse is the direct or indirect owner of the professional's house. If the asset protection plan is set up so the non-professional spouse owns the house, then when the professional is sued, the attacker probably can't get the house. Actually, if the spouse is going to "own" the house, you should make sure to use a living trust so that you don't have to probate the house if he or she dies.nnThere are a limited number of asset protection tools that an attorney has available to "move" ownership of assets. nLiving trusts do not provide asset protection. nOwnership of an asset by a living trust, gives asset protection from acts of other people, but not from acts committed by the "owner" of the living trust. Corporations are good asset protection tools. A corporation is usually thought of as a business structuring tool, but the corporation can be used to get some good asset protection in a family setting.nCorporations are mostly used as business tools, but they can be used to give a family some good asset protection and tax protection. Limited partnerships are in important asset protection tool. When a limited partnership is use as part of a family's asset protection shield, it id termed an FLP or "Family Limited Partnership." In today's legal arsenal, the most flexible tool we have is the LLC or Limited Liability Company.nnThe core of your asset protection plan should be a living trust. It needs to "own" the stock in your corporation, membership interests in the LLC, and the partnership interests in your FLP, so that there won't be any probate when you die, estate taxes can be avoided, and management of the entities can continue uninterrupted.nnWhen you get the new book, Guaranteed Millionaire, you'll learn in plain English how to set up a living trust and use it as the core of your asset protection plan. Make sure you get the FREE 90 minute DVD that is entitled Using the Law to Make Money and Protect Your Assets. The DVD normally sells for $19.99 without the book. It will give you an in-depth tour of the asset protection tools you can use.
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For more information on general asset protection please visit our website above and get a free 90 minute informational DVD.n
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