While every person can benefit from some level of asset protection, there are certain people who are more likely to find themselves in need of the service too late. Understanding the value of asset protection will likely prompt you to contact a knowledgeable attorney who will assist you with the drafting of an asset protection plan.
One category of people that can benefit from asset protection planning and should engage in this process sooner rather than later are those who are very wealthy. Even the perception that you or your family has financial wealth can make it more likely that creditors or predators will come after that money. A person who believes that the possibility exists to recover winnings in a lawsuit, for example, might target you unfairly because of this perception of your wealth. And unfortunately, it may not be enough to take asset protection planning steps after a threat has already emerged, as there are very few actions you can take to protect your assets from potential loss at that point.
It is important to consider that having an established asset protection plan well before any legal threats appear on the horizon can deter others from bringing an action against you in the first place. Predators like these will recognize that it will be difficult, if not impossible, to get access to your assets, and will likely decide against pursuing a suit.
Certain individuals that should consider asset protection planning as a preventive measure are targeted simply because of perceived wealth tied to their profession. One common example is physicians. Asset protection planning should occur as soon as possible after a physician has begun to accumulate wealth. For most physicians, this will happen after they complete their residency program. Those individuals entering high-earning professions should educate themselves about asset protection planning processes and programs before completing their educational requirements or embarking on their careers. This will help set them off on the right foot financially.
Do you need help with planning for asset protection needs? You’re not alone. Many people struggle to figure out how they will manage protecting their assets. Ready to talk options with a legal professional? Set up a meeting today.