Rochester asset protection planning is important because you work too hard for your money to see it lost due to bad luck. Unexpected illness, a lawsuit against you or your company, or a need for nursing home care are a few of the many things that could cause the loss of your assets during your lifetime. These are all possible sources of loss that The Law Office of Michael Robinson, P.C. can help you to protect against.
Many people are not just concerned with the possibility that they could experience a loss of assets during the course of their lifetime. They also want to ensure that their wealth is going to be used in a responsible way after they are gone. This can be a problem when a potential heir is not responsible with spending.
If you want to leave money to a child or another loved one who you don’t think makes good financial choices, you likely want the inheritance that you are leaving behind to be used wisely to enhance quality of life. Unfortunately, if your chosen heir isn’t responsible, you have justified reason to be concerned that the money will be squandered quickly, or that it will be lost as a result of a bankruptcy filing or creditor judgements against your irresponsible heir.
You do not have to give up on leaving money to your loved one just because of the fact that you cannot count on them not to lose the money. There are options available to you to provide an inheritance and ensure that it is not wasted. Rochester asset protection planning lawyers at The Law Office of Michael Robinson, P.C. can help you to make effective use of legal tools aimed at protecting an inheritance for an irresponsible heir, so give us a call today to find out how we can help you.
Protecting Your Assets When Leaving Money to An Irresponsible Heir
When leaving money to someone who you fear will lose it, one of you best options is to make use of a spendthrift trust. A spendthrift trust is a specific type of trust that is specifically designed to make it possible for an irresponsible spender to be given an inheritance without the risk of all of the money or property being lost.
When you create a trust, you can name a beneficiary- who will, in this case, be the spendthrift heir. You can put a trustee in charge who has a fiduciary duty to act in the best interests of the beneficiary. You can select a responsible trustee who you have confidence will be able to appropriately manage your assets and keep your wealth safe and secure. You can also use your trust document to provide specific instructions for when and how the inheritance is utilized to enhance quality of life for the beneficiary who you have chosen.
Because the beneficiary is not the owner of the trust assets and does not have access to the assets that the trust owns, the assets should be safe in the event of a bankruptcy and should not be lost as a result of claims made by creditors. And, since the financially irresponsible heir does not just receive a large inheritance all at once with no conditions or strings attached, the money and property cannot simply be quickly lost as a result of poor management and irresponsible spending.
You’ll need to make sure you select the right type of trust to provide protections for the assets, and you’ll also need to ensure that you follow the appropriate process for trust creation so the trust is legally valid. Getting help from an attorney in creating a trust is a good idea.
Getting Help from A Rochester Asset Protection Planning Lawyer
A Rochester asset protection planning lawyer can assist you with all aspects of the estate planning process, whether you are trying to protect assets from being lost due to an irresponsible heir or whether you have other issues to address such as leaving money to a minor or to a disabled loved one who is receiving means-tested benefits. We also provide advice on protecting your wealth during the course of your lifetime.
To find out more about how an attorney can help you, you can join us for a free seminar. You can also give us a call at (585) 546-1734 or contact us online to talk with an experienced legal professional at The Law Office of Michael Robinson, P.C. who can provide the personalized one-on-one assistance that you need. To find out more about the personalized advice that our firm can offer you as you try to keep your wealth safe, give us a call today.