Meurer Law Offices, P.C., serves clients in Denver, Greenwood Village, Centennial, Aurora, Littleton, Englewood, Arvada, Westminster, Broomfield, Parker, Castle Rock, Lone Tree, Sheridan, Elizabeth, Kiowa, Lakewood, Parker, Highlands Ranch, Denver County, Arapahoe County, Adams County, Douglas County, Jefferson County, Colorado.
PRACTICE AREAS - ESTATE PLANNING
Estate Planning Services
Asset Protection Strategies
In today’s litigious society, it is important to put together an asset protection plan for you and your family. This is especially true if you work in a high risk profession or operate your own business. As you accumulate wealth, you become a target by creditors and predators. It is important to develop a plan to preserve your wealth and protect it from creditors. This usually starts with insurance. It is important to have an adequate liability insurance policy to protect your assets. State minimums are not sufficient. In addition to increasing limits, it is also imperative to have an umbrella policy that covers any shortfall in your limits.
Second, a pre or post-nuptial agreement can be an effective tool to transfer assets between spouses. This is a useful tool in asset protection planning in virtually every state. By placing the high risk asset (medical clinic) into the name of the practicing spouse and placing the home, vehicles, 529 plans for the children, household goods and other assets into the name of the non-practicing spouse, if there is a law suit (i.e. medical malpractice) action brought, although the professional may lose his/her clinic, the other assets of the family remain.
Third, properly leveraging existing state exemptions is also an important asset protection planning strategy. Currently in the state of Colorado, a person is allowed to keep in the event of a claim: $60,000 equity in their home ($90,000 if over 60 years of age), $5,000 equity in a vehicle ($10,000 if married) $3,000 of household goods, $2,000 for jewelry and watches, $1,500 for clothing etc. By properly classifying assets and not becoming heavily weighted in one area of classification, you can maximize your exemptions in the event of an asset attack.
Fourth, Family Limited Liability Companies (“LLC’s”) and Family Limited Partnerships (“FLP’s”) can be a shield from creditors if structured properly. In addition to creditor protection, an FLP or FLLC can also save your family up to 50% in estate and gift taxes. LLCs created under the of the state of Nevada have additional protections and are often utilized to maximize asset protection.
Fifth, Nevada Asset Protection Trusts/Domestic Asset Protection Trusts are an ideal solution as your net worth increases and as your liabilities increase. Nevada has special rules relative to a creditor’s ability to charge against a membership and partnership interest.
Sixth, for the most difficult asset protection cases, is an Off Shore Trust. All though our office would never engage in any income tax evasion planning, and in fact there is no tax advantage plan in most cases, it can be an excellent tool for asset protection.
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Meurer Law Offices
5347 S. Valentia Way, Suite 220
Greenwood Village, Co. 80111
303.991.3544
Estate Planning Attorney
FREE Consultations
MEURER LAW OFFICES, P.C.
5347 South Valentia Way, Suite 220
Greenwood Village, CO 80111
Phone: 303-991-3544
