Protecting Your Assets
The trust that I use to help our clients is the Family Asset Protection Trust. This trust is used for many different purposes, not just for Medicaid planning.
The Benefits and Details of my Family Asset Protection Trust:
- You can become qualified to have the government pay for your long-term care without losing any of your hard-earned assets.
- If you are married, the trust gives you added peace of mind knowing that if your spouse remarries after you die, that second spouse cannot get any of the assets in the trust no matter what happens (even if they divorce or your original spouse dies before they do.)
- There are no tax ramifications when using our Family Asset Protection trust. There is no tax impact on you or your beneficiaries. With my trust, you can be your own trustee, and all of your regular tax deductions and exemptions pass right through to your personal tax return. There is no separate tax return required for this trust.
- You can sell your home at any time and purchase a new residence, which will still be protected by the trust. Even if you move to another state, the trust is valid in every state to protect your assets.
- You can change the beneficiaries at any time, change the amounts that the beneficiaries get, shelter their assets in a trust instead of giving them outright, etc. The trust is completely flexible in response to the changing needs of your family.
- You can provide protection for those in the family who may be under a disability (either physically or mentally), are currently receiving benefits, or have other issues that would make it difficult to manage their inheritance themselves.
Since creditors cannot obtain the assets put into these trusts, many clients whose careers involve a high probability of litigation use these trusts to protect their main assets. These careers include doctors, contractors, real estate developers, and even airline pilots. They’re also very popular among those who own rental properties and vacation homes, because of the potential liability connected with those investments.
However, most ordinary people are concerned about losing their assets in two ways: to the cost of their own long-term care or huge end-of-life medical bills and to a second spouse if their surviving husband or wife remarries. Using my Family Asset Protection Trust resolves these issues.
Using this trust ensures that your assets will always be there for you during your lifetime, without having to “spend down” your money on your own care. Then, after you die, your assets will pass to your loved ones without having to go through the expense and delay of probate – a huge time and cost savings to you and your family.