Broadly speaking, asset protection using estate planning protect your assets from creditors, taxes or the cost of long-term care. Not every estate planning attorney is an asset protection attorney as there are a lite of different levels of expertise in this field of law.
Who Needs Asset Protection?
Anyone who has high-value assets or anyone who is considering protecting their assets from the nursing home should have some form of asset protection. Our estate planning attorneys create personalized asset protection measures based on your unique situation. We review your assets and income to discover what's currently protected (and what's not protected), as well as your debts and your likelihood of being named in a lawsuit. Then, we determine the best way to secure your unprotected assets, and make sure your plan will work as intended.
Without asset protection, your life savings and holdings could be lost to:
- Divorce. If you separate from your partner, the court may order you to give half of your property to your ex-spouse. Also, your estate plan could protect your children's inheritance from divorce, as well.
- Court judgments. If someone sues you or your business, you could be held personally liable for whatever amount the court awards. Asset protection can make some of your income and property exempt from collection.
- Nursing homes. It's possible to qualify for Medicaid to pay for long-term nursing care while keeping your assets safe to pass on to your children. However, you will have to create an irrevocable asset protection trust several years before entering a nursing home. Otherwise, you may have to pay for long-term care out of pocket.
- Taxes. There are a variety of tax planning strategies to avoid the federal "death tax," but which one will best achieve your goals? We can hel establish protection methods so that everything you worked hard for will go to your family, not to the government.
If you have questions about your Will, your estate plan, or your eligibility for Medicaid, the attorneys at DeLoach, Hofstra & Cavonis can explain your options. Simply fill out the quick contact form on this page to set up a consultation and get answers to your questions.