Most people, not just the super wealthy, have assets that they would like to protect in the present moment. If you are one of them, then you should take advantage of the asset protection laws in Colorado.
In many cases, asset protection strategies can help you protect your assets better than drafting a will. Yet, not everyone understands these strategies or knows how to implement them.
Therefore, you should contact a Parker asset protection lawyer. He or she can offer guidance when making important estate planning decisions involving asset protection strategies in Colorado.
While contacting an attorney is essential, it is important for you to understand the meaning and intention behind asset protection. Essentially, asset protection involves protecting your assets from parties that have no legal right to them.
For example, some of these parties may include creditors and other potential heirs. When done with the help of a Parker asset protection lawyer, asset protection is a completely legal practice. He or she will use the appropriate strategies and legal tools to help you identify potential problems before they arise.
Some of the best asset protection strategies in Colorado include:
Owning Liability Insurance
When protecting your assets from litigation, the state minimum requirements for insurance are seldom sufficient. If you have large amounts of wealth or work in a high-risk profession, then you do not want your estate to be vulnerable to lawsuits. Therefore, it is important to increase your insurance limits and carry an umbrella policy.
Forming an Asset Protection Trust
To protect your assets from creditors, you may consider creating an asset protection trust. In Colorado, creditors cannot take assets that are located in an asset protection trust. Additionally, these trusts can reduce your tax burden and allow for the private ownership of assets. There are many other benefits to be gained from creating an asset protection trust, including that you can avoid the probate process, and potential to protect assets from increasing long-term care costs.
Creating a Limited Liability Corporation or Partnership
Another asset protection strategy involves creating an LLC or LLP to hold property or business assets. Doing so can shield your own personal assets from business or corporate liability. Some people even create a structure of LLCs to limit their personal risk and protect their assets. Additionally, besides protection from creditors, an LLC can save your family up to 50 percent in estate and gift taxes.
Contact a Parker Asset Protection Lawyer Today
In order to understand the best asset protections strategies in Colorado, it is best to speak to an experienced Parker asset protection lawyer as soon as possible. At Skipton Law, LLC, we offer complete legal guidance throughout the asset protection process. Contact us today at (720) 613-2633 or fill out our confidential contact form for more information. We are ready to assist you with all of your estate planning needs.