Asset Protection Planning Before Prenuptial Celebration

Posted by Joseph Franks on September 30th, 2019

Asset protection is imperative before the prenuptial celebration. Fortunately, responsible adults recognize that the safeguard of assets is the key to financial stability. Although money cannot buy love, however, it can buy shelter, healthcare, food, clothing, transportation, and travel opportunities, cultural and other necessities of life. Moreover, recreational activities and the sense of security that comes from being able to provide luxuries or necessities for yourself and your family. Therefore, it is wise to consult with a well-credentialed and trusted, an estate-planning attorney before getting married. In many cases, this realization crystallizes for you when you expect getting married and starting a family.

 With hope in your heart and practicality in your mind, it is essential to start planning asset protection early. Either you are just beginning to accumulate savings or have inherited substantial wealth, asset protection planning is vital. Irrespective of your expectations or plans for the future, the one thing you can count on is that there will be unexpected difficulties and delightful surprises, so better be prepare for both.

From an early age, most of us have been taught how to guard our briefcases, suitcases, wallets, purses, vehicles, and homes against the thieves. However, the estate-planning attorney goes one step further by assisting you in protecting your less tangible assets from  

• Double taxation
• Liability stems from criminal liability
• Personal injury suits  
• Fraudulent claims
• Premises liability suits
• Malpractice liability claims
• Fake will planning, and others

 Just as you can not think of leaving your car unlocked; or your wallet unattended, likewise you should not simply put your money into a bank account where it is vulnerable to potential threats.  

Methods of Protecting Your Assets

There are various techniques for protecting your assets. A skilled estate-planning attorney knows these methods in-depth. Therefore, it is wise to have an experienced professional overseeing your decisions and making wise suggestions for you. A sharp attorney well-schooled in asset protection provides you with the finest options in your particular case. These include one or more of the following:

• Formation of a Limited Liability Company (LLC)

 A knowledgeable asset protection attorney will help you to create an LLC in which you will be a member. LLCs, unlike LLPs, do not require a managing partner, yet provide the same tax advantages to the entity. In many ways, LLCs coupled the benefits of a sole proprietorship or partnership with those of a corporation. 

• Setting Up Irrevocable Trusts Before Your Marriage

An irrevocable trust can only be modified or terminated with court approval. Once the trustee, have transferred their assets into the trust, they have given up their right to own or control them. The primary advantage of an irrevocable trust is that it protects assets from probate as well as estate taxes and the claims of creditors. 

• Prepare for Your Financial Future and the Wedding

 Undeniably, the wedding takes a great deal of thought such as preparation and money. Make sure that you plan your wedding wisely s it will have long-term consequences on your financial wellbeing, if not planned properly. Therefore, it is advisable to find an asset protection attorney with an excellent reputation so that you do not have to go through a difficult time in the event of the annulment of marriage.