Asset Protection and Planning
The first question is how to protect hard earned asset form creditors. Asset protection is a type of planning intended to protect one's assets from creditor claims. Individuals and business entities use asset protection techniques to limit creditors' access to certain valuable assets, while operating within the bounds of debtor-creditor law.
Asset protection helps insulate assets in a legal manner - without engaging in the illegal practices of concealment (hiding of the assets), contempt, fraudulent transfer (as defined in the 1984 Uniform Fraudulent Transfer Act), tax evasion or bankruptcy fraud. We will highly recommend our client to plan for this early to ensure the validity and legality of the transaction, and not to wait until a debt has occurred, which often times is too late to protect the said assets.
The second question is how to pass the asset down to surviving spouse, children and/or heirs without incur excessive costs, taxes or processing time. Furthermore, how assets are divided amount family members can sometime influence the harmony and cordiality amount the family members, so it is essential to plan those out early, and not to wait until some emergencies happened.
Once of the most popular vehicles used by people for asset protection and planning is trust. For details, please refer to our trust sections by.