For many Americans, a will or a basic trust is not enough to complete their estate planning. For people in Massachusetts and throughout the United States with more considerable assets, advanced estate planning can be required.
The goals for more complex estate plans can include everything from reducing estate taxes to creating your legacy.
But here, let’s focus on the topic of asset protection. Just what does that term mean?
With asset protection, you’re less focused on what will happen to your assets after your death than you are about what happens to them when you’re alive. Asset protection keeps your holdings safe from any possible litigation.
What if a catastrophic incident occurs and you are sued? Without an asset protection plan, your hard-earned assets could be lost in a lawsuit.
People with considerable assets, such as business owners or high-earning professionals, often are targets for litigation and need an asset protection plan to shield their funds, properties and other holdings.
It isn’t only the super-rich who need asset protection, though. Accidents can happen to anyone, and you could be held liable. Think about this. If you have an estate of $1 million but have been slapped with a $2 million court judgment, you will be bankrupt. If you have a properly set up an asset protection plan, your included assets can’t be tapped.
Asset protection is a complex legal action, and it isn’t something you should attempt to prepare on your own. You should have an attorney experienced in asset protection on your side to discuss the estate planning tools available to you, allowing you to see how each can help you achieve your goals.