Some people creating an estate plan in North Carolina will need to include an asset protection plan as well. With asset protection, you create various tools that ensure that you keep as much of your money as possible when faced with, for example, a lawsuit or creditors. Though your attorney will have to evaluate your situation in order to tell you what type of asset protection tools will work for your needs, you can ask yourself several key questions in order to determine if an asset protection plan is something you might need..
Are you facing, or is it likely that you will face, a lawsuit?
For most people, the idea of being sued and facing a lawsuit is not something they ever have to consider very seriously. For others, the possibility of being sued and losing a lot of money to those who sue you is a very real possibility. If you own a business, work in a profession that exposes you to considerable litigation risks, or know that you could be sued, an asset protection plan is something you need to investigate in.
Are you a business owner?
A lot of business owners focus on running the day-to-day operations of their businesses, and have little time to focus on much else. Unfortunately, the wrong business structure can leave you and your family completely exposed to an economic downturn, a changing business environment, or litigation that might originate out of business dealings. The right structure will allow you to protect personal assets while still managing your business in the manner you find appropriate.
Are you blending families?
A lot of people, especially baby boomers, are going through a divorce, or are considering getting remarried. When the question of blended families and remarriage arises, you need to protect yourself and your interests against the possibility that your new marriage might one day end. The statistics are clear, and people in a second or subsequent marriage are much more likely to see that marriage ended in divorce than those who have never been divorced before. If this happens, you need to take steps to ensure that your property is protected and that you can create an estate plan that will protect your family’s inheritances.
Are you worried about asset protection?
If the idea of asset protection is appealing to you, even the most basic asset protection strategies can help alleviate your concerns. Any estate plan you make has to meet your individual wishes, and including asset protection tools is usually not difficult. If you have concerns about asset protection and want more information, you need to speak to your estate planning attorney as soon as possible.