Asset protection is not a do-it-yourself exercise. Anyone interested in protecting their assets from lawsuits and creditors should consult an asset planning specialist
San Jose, Costa Rica (PRWEB) March 8, 2006
Asset & wealth protection should be top priority in today's litigious society.
With new lawsuits being filed at alarming rates, and jury awards reaching record levels that just a few years ago would seem impossibly high, the time has come for even the average person to seriously consider asset protection strategies.
"Many people are not aware that the explosion in home values over the last few years has increased their wealth to the point that they are now on the radar screens of aggressive attorneys who are looking for assets to attach on the behalf of their clients,” said Ron Z. Mendelson, offshore asset protection specialist.
The point, according to Mendelson, is that you no longer have to be rich and famous to become the target of a lawsuit that could wipe you out financially unless you have taken steps to protect yourself. Plus, you probably have more assets at risk than you might imagine.
“Even though most retirement plans are protected from seizure before retirement, the proceeds of these plans become fair game once the account owner begins taking distributions,” Mendelson added.
Certain high-risk people, such as physicians, have been utilizing asset protection programs for quite some time. Only recently have other professionals and even wage earners started looking at available options.
“Any person who has not taken positive steps to shield their assets from creditors and lawsuits is more at risk today then they have ever been before,’ Mendelson said. And that’s the impetus behind the steady growth of the asset protection industry.
Asset protections plans can be as simple as transferring assets to a spouse or as complex as establishing Off Shore Asset Protection Trusts. Each individual case needs to be examined on its own merits in order to determine which plan is best for any particular situation.
“Regardless of the asset protection plan chosen, it’s imperative that it be implemented long before any claims are made against the client. Otherwise, any transfer or protection of assets which occur shortly before a claim is filed runs the risk of being judged a "fraudulent conveyance," warned Mendelson. That’s why it is so important that an asset protection strategy be undertaken before any issues arise.
The best asset protection strategy involves implementing multiple plans which divide the assets into pieces. That way if one protection plan is successfully defeated, the remaining assets are still protected.
Asset protection planning requires the assistance of a specialist who is experienced in both the strategies and the legalities of shielding assets from creditors. There are also potential tax implications which need to be carefully considered.
“Asset protection is not a do-it-yourself exercise. Anyone interested in protecting their assets from lawsuits and creditors should consult an asset planning specialist,” Mendelson said.
For more information visit http://offshoreXplorer.com
Established in 1999, privately-held offshoreXplorer.com serves large and small organizations throughout North America, Europe and Asia with incorporation services, establishing offshore trusts, as well as creating offshore companies aimed at protecting assets to legally reducing annual taxes.
Ron Z. Mendelson, director of offshoreXplorer.com, is an expert in offshore asset protection strategies, and specializes in wealth protection, foreign asset protection, international business corporations, worldwide investing, global banking, and international e-commerce.