Asset protection the law office of antoinette bone, pllc. Asset protection structuring an asset protection plan. Domestic asset protection trusts are permitted under the laws of alaska, delaware, hawaii, missouri, nevada, new hampshire, ohio, oklahoma, rhode island, south dakota, tennessee, utah, virginia and wyoming. Texas is one of the few states that provide complete exemption for the homestead. You can use legal structures to achieve an advantage for you.
Transferondeath deeds, lady bird deeds, and traditional life estate deeds can all transfer real estate at a persons death while. We take care to do simple things correctly, like ensuring the appropriate beneficiaries are elected on life insurance polices and iras. The best asset protection strategies involve legal tools and financial plans developed to shield valuables from lawsuits. Dallas asset protection lawyer irrevocable trusts fort worth. Mar 10, 2017 what are the best asset protection strategies. We will consider insurance, prenuptial agreements, asset segregation, choice of jurisdiction, gifting, llcs, partnerships, corporations, and asset protection trusts. Jan 16, 2018 surveys jay adkissons 2017 articles touching on asset protection planning. In texas, all property owned by husband and wife is presumed to be community property. Basic asset protection for investors the texas series llc 1 form a series llc to own and manage investment properties and businesses in separate series, establishing insulation and multiple liability barriers. Eldercounsel is the creator of the elderdocx software and provides quality elder law education and practicebuilding tools for elder care attorneys.
Asset protection, business and corporate law, contract law, estate planning, probate and trust administration, immigration law, real estate investor law, firearms and 2nd amendment law, securities law and private placements. Estate planning can accomplish many things, including protecting your assets. Structuring an flp or llc requires careful planning and sensitivity due to the changes in federal and texas case law. The process of asset protection involves transferring the assets from an unprotected form of ownership to a protected form of ownership. Eldercounsel elder law attorney resources and drafting software. Transferondeath deeds, lady bird deeds, and traditional life estate deeds can all transfer real estate at a persons death while retaining a right to use the property during the persons life. While creditors are concerned about the strategies and. A company engaged in business in texas that provides a taxable service in this state is required to obtain a.
There is unlimited value but the exemption applies to 1 acre in town and 100 acres in any area outside of town. Advisors must be knowledgeable about debtorcreditor laws, fraudulent transfers, tax. The most important limitation and obstacle to asset protection planning is the fraudulent transfer law. Domestic asset protection trusts the problem is that the courts of the non domiciliary state may not give effect to the asset protection features of the trust however, there is no question that a significant degree of protection is afforded by utilizing the domestic asset protection trust especially when. Proper asset protection planning is an important consideration for clients. Advisors must be knowledgeable about debtorcreditor laws, fraudulent transfers, tax planning, civil litigation, property laws. The family limited partnership flp and the limited liability company llc are two of the primary asset protection tools used in texas. The goal of medicaid asset protection planning is to eliminate or minimize the amount that the government receives and maximize the amount that the family receives. And we can help with business succession and retirement planning techniques, asset protection or planning for children with special needs. Asset protection and estate planning are two sides of the same coin. The methods include using laws such as a homestead exemption.
Estate planning and probate, asset protection planning, business tax, charitable planning. Texas deeds and medicaid asset protection several types of deeds are used in texas for estate planning purposes. It is not intended to be a textbook or comprehensive academic treatise. Threats to your assets can come from a wide variety of potential predators, including future creditors and unnecessary taxes. Total asset protection is probably not achievable, even in texas, in spite of claims made by internet and seminar gurus and even some lawyers who have never spent time in a real court of law in front of a real judge who has contempt power. Asset protection planning is not just for the very wealthy.
When we think of asset protection planning, we think of many things. The texas asset protection handbook the wiewel law firm. Asset protection strategies and forms james publishing. Asset protection for professionals and business owners in texas. Guarding your property against creditors is essential to preserving your estate for your heirs. Medicaid asset protection planning texas holland elder law. Asset protection involves protecting your hard earned wealth from loss to creditors, predators, bankruptcies, and divorce using legal strategies. Legacy planning may be a part of a revocable living trust. Best asset protection strategies and wealth preservation. Austin, tx estate planning law asset protection limiting. The procedure to form a c corporation is simple, consisting of filing very abbreviated articles of.
Living trusts are useful for estate planning, but youll need to take other steps. This book is a pragmatic and creative approach to legal and asset protection issues faced by investors in texas real estate, particularly investors in residential and smaller commercial properties. A domestic asset protection trust is any trust that is established to protect your assets from creditors. March 10, 2017 estate planning while you may not be considering the need for asset protection now, if you have substantial wealth, there are several asset protection strategies that you should know. Thrash law firm austin texas estate planning and probate. Dec 23, 2010 as asset protection attorneys, we deal with clients from around the country. Which united states jurisdictions allow for the creation of asset protection trusts.
The term taxable services is defined in tax code section 151. Dec, 2019 unfortunately, too many people are learning far too late that asset protection planning is also longterm planning, not something that can be done as a quick or temporary fix. Asset protection is the use of certain legal tools and strategies to shield valuables from seizure in legal proceedings. Lapin law group, a texas fullservice law firm, accepts litigation and nonlitigation legal matters in the following practice areas. Technically, asset protection planning is the debtors side of creditordebtor law. Let our firm help you with your asset protection planning. Some say to plan is to be a participant in a civil or perhaps criminal conspiracy with the client in defraud of creditors rights. Its important to note that a truly effective and efficient asset protection plan cannot exist in a vacuum. Wealthcounsel is your resource for legal document software, trust and estate planning software, legal marketing and continuing legal education courses cle. Good planning needs to take the long term perspective, and avoid a cookie cutter appearance. The firm is conveniently located in the lake travis area of austin, texas. Local asset protection attorney not always best lodmell. This law provides that a debtor cannot transfer assets if the principal reason for the transfer is to prevent present or future creditors from gaining access to these assets. Many of the techniques used in estate planning every day also protect assets from creditors claims.
For such planning to be effective, you will need the help of an experienced estate. Rather, we think of them as a way of getting value out of the estate and down to the children or other. My practice is in the areas of creditordebtor law and. Some say to plan is to be a participant in a civil or perhaps criminal conspiracy with the. The shocking truth about asset protection planning. Board certified in estate planning and probate law by the texas board of legal specialization.
Strategies for asset protection in texas include preemptive planning before lawsuits and actions, creating legal barriers to personal liability and more. Taxable services texas comptroller of public accounts. At the same time, we also provide complex, multigenerational planning, utilizing corporate structures, trusts, and insurance solutions. But most estate planning attorneys do not think of qprts for asset protection. The shocking truth about asset protection planning wealth. Asset protection limitations the fraudulent transfer law. Medicaid, unlike medicare, is a means tested program. A major part of inheritance planning is asset protection from a variety of threats. A number of legal devices exist to ensure that both personal and business assets remain in the possession of the asset holder. Data processing services providers include sellers of software as a service and application service providers. The program names may sound alike but the programs are different. But in the last few years, many states have passed laws allowing some selfsettled asset protection trusts to shield assets from future creditors. Therefore, relying on asset protection planning software or an online program to protect your assets is shortsighted and dangerous. If your asset protection planning needs some ironing out of details pertaining to your local assets, and a local attorney is needed at that point, your asset protection advisor will consult with a local attorney.
The aim of medicaid asset protection is to preserve a lifetime of savings from the high cost of nursing home care. Presented in an faq format, this business asset protection planning guide will help you understand the steps and actions you should pursue if protecting your business assets has become a concern. Traditionally, selfsettled asset protection trusts were not allowed in most states, because of concern that people would create trusts to wrongfully avoid creditors. In our asset protection program, we counsel our asset protection clients on ways to. Surveys jay adkissons 2017 articles touching on asset protection planning. In fact, one question that we notice clients struggling with, is whether it is necessary that they seek the services of a qualified local asset protection lawyer. The process of asset protection involves transferring the assets from an unprotected form of ownership to a. Unfortunately, too many people are learning far too late that asset protection planning is also longterm planning, not something that can be done as a quick or temporary fix.
Simply put, an asset protection plan is a blueprint that legally secures your assets from creditors. Federal medicaid law requires states to implement an estate recovery program, but gives states leeway to determine exactly what is included in the estate for medicaid recovery purposes. Asset protection in estate planning youre beginning to accumulate substantial wealth, but you worry about protecting it from future potential creditors whether your concern is for your personal assets or your business, various tools exist to keep your property safe from tax collectors, accident victims, healthcare providers, credit card. Asset protection planning is alive and well a consumers guide to modern estate planning by reed k. A number of legal devices exist to ensure that both personal and business assets remain in the possession of the assetholder. Wealthcounsel estate planning software, cle and legal.
By planning ahead, you can ensure a high degree of certainty of outcome. We will consider insurance, prenuptial agreements, asset segregation, choice of jurisdiction, gifting. We assist our clients in determining the appropriate level of asset protection planning for their particular circumstances. For many years, the c corporation was the favored entity for conducting ones business affairs because it provided the business owner protection from thirdparty claims against his or her personal assets. For such planning to be effective, you will need the help of an experienced estate planning attorney sooner rather than later. The legal tools often include the use of certain domestic and offshore trusts, limited liability companies llcs and corporations. Its true that some trusts can protect your familys assets from creditors and claimants. Adding business planning to your estate planning practice. Texas state asset protection laws asset protection society. Asset protection planning american bar association. Best asset protection strategies the best asset protection strategies involve legal tools and financial plans developed to shield valuables from lawsuits. Juris doctor degree with honors from the university of texas, austin, texas 1994.
The texas constitution provides for homestead protection from creditors. Legacy planning allows the distribution of your assets via charitable giving in our outside of your family. It preserves them your use and enjoyment as well as that of your intended beneficiaries. Asset protection planning is a method used to shield assets that would otherwise be susceptible to legal judgments or claims by creditors or former spouses. As a preliminary matter, however, it must be noted that the question of an assets status as exempt or. Thus, the time to put your asset protection plan together is long before a lawsuit is on the horizon. These includes analyzing a list of assets that need protection and determining which legal instrument or strategy would ideally protect each one. Asset protection planning, either as defensive structures put in place solely for asset protection planning, or as important components of the advanced estate planning techniques used by kelly hart attorneys, serves to protect client assets from unjustified claims of creditors, business associates, and claims in divorce. Asset protection planning is a process by which one organizes their financial affairs in such a manner as to safeguard assets from the risk of exposure. Speak to your attorney about all possible asset protection strategies. While estate and trust law changes very slowly, debtcreditor law can be quite dynamic in comparison.
Based on my experience, there are a few general rules i follow. While usually established in an offshore jurisdiction, the asset protection trust allows the assets to remain in the u. As a preliminary matter, however, it must be noted. Asset protection for austinites and central texas residents is imperative for wealth. It is not necessary that your asset protection attorney be local. The estate planning attorneys at burrows law group design the strongest. Efficient and effective asset protection at the law office of stephen kaplan, p. Asset protection planning is a complex area of the law. The karisch law firm, pllc, can help you explore options for safeguarding your property for you and the ones you love. One of the smartest choices you can make if you are growing your own company or working to grow your assets is to get legal help from an experienced attorney. Asset protection planning attempts to reach a balance between giving the client sufficient control so that the assets do not disappear, but at the same time not so much control that a creditor can.
Protect yourself, your family, and your finances during the coronavirus outbreak by preparing an estate plan. In a community property state like texas, you may be able to protect assets by partitioning community. Legacy planning involves leaving a legacy for your loved ones. Asset protection estate planning collin county texas. Asset protection specialists the greening law firm. The law strongly discourages asset protection planning after you become aware of. Eldercounsel elder law attorney resources and drafting. Tax is due on credit reporting services if the address of the credit applicant is in texas at the time of the request for a report, and the person who requested the credit report is in texas or is doing business in texas.