14 Essentials to Consider for Good Asset Protection Planning
When it comes to asset protection planning, it’s crucial you have a solid understanding of the basic elements you need to have in place. Here is a list of 14 essential considerations to help you feel confident about your protection plan.
- Do something today. Don’t wait until the loss has already happened.
- Be realistic about the possibility of exposure and about the effect that a six or seven figure judgment would have upon the financial planning you have in place.
- Have top council in place in three core areas: asset protection, financial planning, and financial management and accounting.
- Use the right tools. Specifically, be wary of promoters and do it yourself kits.
- No, Nevada Corporations do not work.
- Maintain a legitimate business purpose for all legal tools.
- No, transfers to a spouse, child, or relative are not effective.
- Just an S Corp. or an LLC is not enough.
- Get professional, individual help.
- The legal tools used are typically tax neutral. The purpose of asset protection is not to hide money.
- Don’t forget about income and receivables. Protect the source of your wealth.
- Do not draw liability in; don’t escalate your value as a target.
- Have adequate levels of insurance.
- Protect your credit is one of the most enduring and valuable assets.
If you would like to learn more about this subject or receive a free quote then please contact us and we’ll be happy to help.
By Anthony C. Williams, CWS, ChFC, MRFC, CLU | Investment Advisor Representative | President & Founding Partner of Mosaic Financial Associates & Orthopaedist Advisory Group | Securities and advisory services offered through Cetera Advisors LLC, Member FINRA/SIPC, a broker/dealer and a Registered Investment Advisor. Cetera is under separate ownership from any other named entity.