How would you feel if you lost what few assets you do own? Wealth is relative. It is not only the rich and affluent who need asset protection; if you have any assets, they need protection. An example to illustrate this point involves an airport shoe-shiner. He was sued for $100,000 on a bank loan he guaranteed for his son. He owned only his Bronx home with $100,000 equity. To some people, $100,000 is hardly serious
wealth. While they would hate to lose it, such a loss would not hurt their lifestyle. That $100,000 was this man\u2019s entire lifetime accumulation. How many more shoes must he shine to replace his $100,000 nest egg?<\/p>

Another example is that of a married couple who were small business owners. They were of modest wealth, but nonetheless they decided to be pro-active and do asset protection. A while later they ran into IRS trouble, and subsequently the IRS tried to levy $8,000 from their business account. If the IRS had been successful, the business would have been seriously interrupted. The levy would have cut off
their only source of income and crippled their ability to pay other creditors, which could have caused the business to fail. Fortunately, because the business was an LLC, the IRS was unable to seize the money for the couple\u2019s personal tax problems.<\/p>

Asset protection allowed the business to run uninterrupted while the tax debt was resolved in a fair and equitable manner. Although in the narrowest sense this planning may have only saved them $8,000, to this married couple the planning\u2019svalue was much, much greater. They were very glad to have paid less than $3,000 to do some simple planning in a timely manner.<\/p>

We receive calls from people throughout the country who have creditors or lawsuit problems. Many have only a few dollars in the bank, a small house, or perhaps some modest investments. Whatever their wealth, it is precious to them. Protecting their assets is as serious a matter as protecting someone else\u2019s millions. Wealth is relative, and you must treat your wealth accordingly. You must protect any asset that is important to you.
Myth #3: \u201cI Don\u2019t Need Protection. I\u2019m Insured.\u201d
This is another fallacy. You buy a liability policy and figure, \u201cThat\u2019s it, I\u2019m covered. If I\u2019m sued, my insurance will take care of it.\u201d
Although liability insurance is an excellent (and recommended) first line of defense against lawsuits, it has its limits. You could be sued for more than your coverage amount, or your policy may not cover you in situations where you thought it would. In fact, liability insurance covers only about one in three lawsuits. Furthermore, no insurance will protect against divorce, bankruptcy, or tax problems, although asset protection will if done in a correct and timely fashion. Even worse, a very large liability insurance policy may actually make one
an attractive target for litigation.<\/p>

A moderate amount of liability insurance is thus recommended, especially when you consider that no asset protection plan will pay for a defense attorney when you\u2019re sued, although a liability policy generally will (at the same time, this attorney may be looking out more for the insurance company\u2019s interests than your own, which is why it\u2019s often a good idea for you to hire an attorney to watch
over the attorney the insurance company provides you.)<\/p>

Protecting your assets is not too costly, and probably will not take more than a few hours of your time. I find the average family can gain strong protection for their assets for a few thousand dollars, sometimes even less. We have sheltered larger fortunes (in the millions) often for around $6,000-20,000, and there are many protective steps that cost absolutely nothing.<\/p>

A doctor who was a prospective client once complained he did not have the spare cash to set up the few entities he needed to safeguard his $3 million net worth and considered the $15,000 asset protection fee too great a cost. However, he spends $65,000 a year for malpractice insurance. This same $65,000 policy only covers malpractice claims, and only for one million dollars.<\/p>

Next year the good doctor will pay another $65,000 (assuming his premiums do not increase) for the same limited protection. In comparison, this physician can get complete protection against any lawsuit, in any amount, for the rest of his life, for less than one-fourth of what he pays each year for malpractice insurance. So, which is the better deal\u2026insurance or asset protection?<\/p>

You can\u2019t think of asset protection as an expense. It\u2019s an investment \u2014 a great investment \u2014 if you truly want financial security!<\/p>

There\u2019s a saying that if you ask five attorneys the same legal question, you could get a different response from each one. The same could be said regarding asset protection. This \u201csame question, different response\u201d phenomenon is partially due to the fact that in the U.S., laws are constantly evolving and changing, that asset protection is as much an art as it is a science, that there is more than one way to
effectively protect an asset, and that one must always consider the laws of the state in which a client lives as well as federal law. Despite the foregoing, there are some fundamental components every sound asset protection program shares. In this chapter, these concepts will be broken down and examined one by one.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"

Ryan Fowler’s: Asset Protection In Financially Unsafe Times We’re proud to annouce we’re giving away a Free PDF eBook version of Ryan Fowler’s crtically acclaimed book “Asset Protection In Financially Unsafe Times”to all complete training members of Assetprotectiontraining.com. The book thoroughly examines asset protection fundamentals as well as cutting-edge asset protection strategies pioneered by Dr. […]<\/p>\n","protected":false},"author":49,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[113,54],"_links":{"self":[{"href":"https:\/\/www.assetprotectiontraining.com\/wp-json\/wp\/v2\/posts\/401"}],"collection":[{"href":"https:\/\/www.assetprotectiontraining.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.assetprotectiontraining.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.assetprotectiontraining.com\/wp-json\/wp\/v2\/users\/49"}],"replies":[{"embeddable":true,"href":"https:\/\/www.assetprotectiontraining.com\/wp-json\/wp\/v2\/comments?post=401"}],"version-history":[{"count":0,"href":"https:\/\/www.assetprotectiontraining.com\/wp-json\/wp\/v2\/posts\/401\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.assetprotectiontraining.com\/wp-json\/wp\/v2\/media?parent=401"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.assetprotectiontraining.com\/wp-json\/wp\/v2\/categories?post=401"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.assetprotectiontraining.com\/wp-json\/wp\/v2\/tags?post=401"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}