- Estate Planning
- Asset Protection Lawyers
- Asset Protection Basics
- Types of Assets You Can Protect
Not all assets are treated in the same way. Certain assets are exempt, while other assets require more protection. Exemptions vary between states, so it’s important to contact a local asset protection lawyer who can help determine how much protection you need. To speak with an asset protection lawyer near you, simply complete the free case review form on the right for a no obligation evaluation of your situation.
Depending on the laws in your state, some examples of exempt property can include the following:
- Social security benefits
- Household furniture
- Private and public retirement benefits
- Jewelry, clothing and other personal effects
- Tools of a business or trade
- Proceeds of life insurance and annuity policies
State law determines what is exempt from creditors. It’s important to understand which assets are protected in your state, so you can concentrate your protection plan on other assets. When examining your state asset protection laws, note how much of an exemption is allowed for a certain item; a specific type of property may be completely exempt or exempt up to a specified amount. For instance, pieces of art may be exempt up to a certain amount, while 100% of the assets in a pension plan may be exempt, regardless of the amount.
Utilizing your state’s allowable exemptions is a cost-effective means to protect your assets. However, these exemptions by themselves may be unable to protect a major portion of your assets. More developed asset protection techniques involving investments and trusts may be necessary. Generally, creditors can only seize property you own and control; there are ways to put these items outside of your control. For instance, if you are employed in a field with a high risk of malpractice lawsuits, you could set up a trust to pay for your daughter’s education. Because you cannot take control of this money until she has finished her schooling, the creditors cannot seize it.
If you are considering setting up a trust or using another type of asset protection technique, it’s advisable that you speak with an asset protection lawyer. Asset protection techniques are often complex and are only successful when done properly. An asset protection lawyer can ensure your plan is carried out smoothly, establishes the necessary techniques to protect your worth and focuses on the items that are not exempt under your state’s law. To learn more about how an asset protection attorney can help you, complete our free, no obligation case review form on the right.