This is a quality article. The current trend in Florida is to use LLCs instead of limited partnerships because a controlling partner doesn’t need to assume unlimited liability and all of the other purposes of a limited partnership may be accomplished by allocating different “classes” of membership interest in the LLC. Your second question is a bit confusing as I’m not sure what you mean by the myrtle personal property. Or, would it be better for me to keep my funds in 401k ? Don’t get me wrong, an annuity can be a solid financial choice under proper circumstances. Creating an Irrevocable Living Trust Consider hiring an attorney. A revocable trust, such as a living trust, will not fill that bill. Hello Rob, thanks for you comment and good questions. Not cool. The steps in asset protection planning include: Asset protection planning should result in knowing what is at risk and what to do about it. Another important point is that there are exceptions to Florida homestead protection that generally include the default of your home mortgage because the mortgage is secured by a security interest in the home. This financial planning tool is beneficial both to individuals and small business owners. eg. The extent of that protection, however, varies. 2. Florida statutes provide for substantial protection from creditor claims for a number of different assets. McDonald’s Restaurants found this out years ago with the infamous “hot coffee lawsuit,” Liebeck v. McDonald’s Restaurants, in which an elderly customer won a large judgment by jury (2.8 million) after asserting that the coffee she spilled on herself was unreasonably hot. A creditor may also be a bank, business partner or individual who loaned you money or entered into another kind of business deal with you. A review of your legal situation and circumstances of civil liability. Asset Protection Strategies in Florida The options/strategies that are available for asset protection in Florida are: Homestead or personal residence protection; Annuities and life insurance; Qualified accounts (IRAs, 401ks, and 403bs) and wage accounts; Domestic business entities (LLCs, corporations and limited partnerships) Florida asset protection is a legal process where a debtor structures his or her assets—such as property, cash, businesses, and investments in such a way that makes it much more difficult for a current or future creditor to collect on those assets. Many family LLCs are member managed because only members will be managers and often everyone gets a vote. They cannot be touched, and you will not lose them. Florida Trust and Estate Planning Attorney, Florida offers a high level of protection for annuities and life insurance, limited liability company (LLC) in Florida, prenuptial agreement or postnuptial agreement in Florida, Florida revocable trust vs. an irrevocable trust in Florida, Florida revocable living trusts DOES offer asset protection for beneficiaries, Wealth replacement trusts or irrevocable life insurance trusts in Florida (ILITs), Charitable trusts in Florida (CRTs and CLTs). The idea is that both parties have a chance to deliberate, seek the advice of counsel and confirm the consequences of signing any marital agreement. Using Life Insurance Effectively. Date Night. The bottom line is that you are easy to sue, and these lawsuits are tough to defend, often requiring a $5000.00 retainer to the defense lawyer just to get started. (407) 444-0404 — Schedule a consultation. If you live in this state, you cannot lose your annuity policy due to a lawsuit. LLCs are often much less expensive to file than a limited partnership. An annuity is a financial product created by the insurance industry that provides a rate of income at a contractually agreed rate. You will want to consult with a licensed financial … IRA RMD is $300,000. It is important to remember the important distinction that a Florida revocable living trust offers the trustmaker no asset protection from creditors, whereas a Florida irrevocable trust can offer this protection. Whereas the rules concerning homestead protection and qualified accounts are somewhat “cut and dry” it gets a bit more interesting in the following sections because contractual language may be used to “enhance” your asset protection. With these tools, you’ll be empowered to direct your own course (and your chosen experts) to design a plan that really makes sense for you and your loved ones. Courts define Florida asset protection through their interpretation of Florida’s Constitution and statutes. Like Texas and Oklahoma, Florida’s homestead exemption is unlimited as long as it is less than ½ acre within a municipality and less than 160 acres outside of any municipality. Once signed, these agreements do not have a shelf life and would arguably impact a divorce after a 30-year marriage. For a business owner, a creditor may be anyone who enters your place of business. Not all creditors are bill collectors. My opinion would be that the 401k and IRA would have about the same protection extended against creditor actions. Offshore tax evasion is criminal. Many states also consider whether the policy is matured and for the benefit of only the policy holder or primarily for the beneficiaries, thus warranting greater protection. 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