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QPRT as Asset Protection vs Ultra Trust Irrevocable Trust

Posted on: August 5, 2020 at 6:16 am, in

We’re asked often “should I use a QPRT as asset protection”? When you have worked hard and invested time, effort and money to increase the value of your property, then it makes sense for you to hand the family home over to your children. The Qualified Personal Residence Trust (QPRT) has been used to reduce taxes and avoid probate while permitting parents to live in their homes. At the same time, high-indebtedness has led to more legal attempts to seize valuable property. By changing the laws, governments have started to close loopholes that were previously used to protect the value of a primary residence. Asset protection deals with concerns, like “fraudulent conveyance,” “probate,” “estate taxes” and “Medicaid nursing home reimbursement.” The Ultra Trust Irrevocable Trust offers a more customized and complete solution than the QPRT.
While the Qualified Personal Residence Trust (QPRT) has been promoted as a solid way to reduce taxes and avoid probate, it suffers from serious limitations. By changing the ownership relationship between parent and child, the how can be sold without the parent’s consent and the parent could be evicted by the children. Selling the property or handling other life changes with the QPRT are very difficult due to its rigid structure. A properly drafted, executed, and funded irrevocable trust has many key advantages over the QPRT.

Asset Protection Is Essential to Estate Planning

Doctors, lawyers and athletes have become the targets of frivolous lawsuits threatening their livelihood and wealth. Many predatory attorneys are willing to “roll the dice” to siphon off a portion of this “well-deserved wealth” leaving the children with nothing.
Estate planning includes taxes, probate, inheritance and homestead considerations. As governments run out of money, they see a deceased person’s assets as a great target for seizure. Asset protection includes the masking, hiding or protecting of assets using financial and legal arrangements. Some of the advantages to an UltraTrust are:
  1. May preserve the homestead exemption
  2. Transfers wealth to heirs
  3. Avoids probate
  4. Reduces estate tax
  5. Avoids a Medicaid nursing home spend down
  6. Irrevocable so its safe from financial predators
  7. Flexibility
  8. Hides or protects assets from prying eyes and greedy lawyers
While estate planning might satisfy the first six characteristics, the true asset protection plan will satisfy all eight requirements.
QPRT as Asset Protection   Learn the 3 core secrets to successful asset protection by clicking here

Why Doesn’t the QPRT as Asset Protection Work Effectively?

The Qualified Personal Residence Trust (QPRT) is a specialty trust transferring ownership of a personal residence (but no other assets or real estate) from the original owner (or grantor) as a “gift” to a trust to reduce estate taxation. The QPRT keeps the family home protected, transfers a valuable asset to heirs and allows parents to stay in the home, but it has a number of flaws compared to a well-designed irrevocable trust:
1. By giving up a home as a personal residence, the original owner loses tax-deductible benefits. The home value must be reassessed at fair market value. The original owner may see his taxes increase.
2. The QPRT establishes a period of time for the agreement, if the original owner dies before the time expires, the property returns to the estate for full taxation. This nullifies the entire reason for setting up the trust in the first place.
3. Mortgage payments are considered gifts. This can be very expensive if it triggers the gift tax.
4. Income and expenses accrue to the original owner. The original owner is still financially connected to the property.
5. It is very rigid due to the “set” time period. Selling a home in a QPRT is very difficult, although it is often touted as an advantage of QPRTs.
6. It does not deal with life changes in marital status or lawsuits. If the children are involved in a divorce, the parent may be evicted.
The QPRT creates a rigid arrangement that cannot handle life changes adequately. Tax advantages are lost and tax disadvantages are gained. The QPRT is not ideal asset protection.

The Successful Hide Assets in Broad Daylight

The Patriot Act has made it very difficult to truly “hide” assets because the burden of proof has been shifted – all are “presumed guilty until proven innocent.” This allows the government to monitor most transactions within and outside of the United States. In fact, domestic trusts, such as the Ultra Trust can be better in most instances that an offshore trust. With a domestic Ultra Trust, the successful hide their valuable wealth in broad daylight by the using its sophisticated language and instructions for the trustee. The assets are still there, they are just owned by the trust and not attached to a person or family. Anyone looking into personal wealth probably won’t find the trust and therefore will be less likely to see the person as a financial target. The government, however, knows exactly where the assets are as the trust will file its own tax return.

QPRT as Asset Protection will make you feel like you're chasing the Benjamins

The Ultra Trust is Superior to the QPRT as Asset Protection

A properly drafted, executed, and funded irrevocable trust is well-suited and well-tailored to fit each family’s needs. The Ultra Trust even qualifies as Protected Intellectual Property because it is not a boiler plate arrangement. It is individualized to the specifications of each family. This well-drafted trust can handle any major life changes – new child, death or lawsuit – that might arise. The only guarantee in life is change.
The goal of this well-designed trust is to create a “rock-solid” trust arrangement with an independent trustee and trust protector. This mirrors the American Federalist system of “checks and balances” where authority is divided to ensure there is no “abuse of power.” Due to the complexity of this specially-tailored trust, it is a good way to “hide assets in broad daylight.” Most entities trying to seize your wealth will not bother to challenge a well-constructed irrevocable trust.
Protect your assets by contacting us. The future of your family depends upon proper asset protection.

Irrevocable Trust vs Will: The Top Five Differences

Posted on: July 21, 2020 at 4:19 am, in

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When meeting with your financial planner to prepare or modify your estate plan, a discussion about the best ways to accomplish your goals will invariably involve irrevocable trusts vs will. Depending upon the types of assets you own, family circumstances, possible health concerns, and other factors, your financial advisor might recommend the use of an irrevocable trust either alone or in collaboration with a will.
Irrevocable trusts can be an effective estate-planning vehicle even though they involve relinquishing ownership of all or part of your assets to the trust. Understanding the role wills and trusts play in an estate plan can help to ease concerns. You can begin with the following top five differences between an irrevocable trust and a will:
If the children experience financial difficulty during the life of the parents, creditors may be able to put a lien on the residence. They could not force a foreclose on the lien while the parents were alive, but the existence of the lien would still cause problems for the children when the property transfers following the death of both parents. If a child gets divorced, the house in a life estate is considered a marital asset and the ex-spouse could get half.

1. Trust vs Will: Irrevocable trusts will reduce your estate tax liability.

The law treats assets properly transferred into an irrevocable trust as no longer being owned by you. One of many benefits of this fact is the removal of the property from your taxable estate when you die for both the federal government and your state government – 20 STATES ask for a piece of your estate (find out if your state does) and their exemptions are much lower than the federal government. However, neither the property nor its appreciated value will increase your estate tax obligation.

Trust vs Will

Unlike an irrevocable trust, a will does not change the ownership of your assets during your lifetime. A last will and testament does not become a legally enforceable document until it is probated with the surrogate’s or probate court after your death. The assets you own during your lifetime are taken into account when determining the value of your taxable estate when you die.

2. Trust vs Will: Avoiding the costs and delays of probate.

When considering a Trust vs Will, one of the biggest considerations is probate. Property passing to your heirs and beneficiaries through a last will and testament require a probate proceeding for the appointment of the person you designated in your will as your executor or personal representative. The executor named in the will does not have power to act until granted that authority by the probate court.
This can mean additional expenses for lawyer’s fees, appraisers, accountants, and court costs as well as delays unfreezing assets as they are evaluated by the court; a probate can take 6-12 months depending on the state – more if there are challenges. Difficulty processing the paperwork involved in a probate proceeding or challenges to the validity of the will from disgruntled relatives left out of the will can delay the transfer of assets to your designated heirs and beneficiaries.
An irrevocable trust avoids probate for the assets you transferred to the trust during your lifetime. When you die, your trustee distributes the property remaining in the trust in accordance with its terms. Court proceedings to appoint a representative are unnecessary because your trustee already is empowered to manage the trust assets.

3. Trust vs Will: Privacy – Protecting assets from creditors.

Property in an irrevocable trust that has been properly drafted, executed, and funded in any state is treated as legally belonging to the trust and no longer belongs to you; the trust property is out of reach of your personal creditors. When created under the guidance and advice of an expert, an irrevocable trust can be an effective shield against personal creditors. If an attorney for a prospective lawsuit checks a person who created an irrevocable trust to hold assets, they won’t see any and the lawyer probably won’t be interested in taking the case on contingency. The lawsuit is stopped before it starts.
A will does not transfer your assets out of your name during your lifetime. As a result, assets you own might be subject to claims by your creditors. When you die, your creditors can file claims against your estate and might be entitled to payment from your estate assets before they are distributed. If an attorney for a prospective lawsuit checks a person who created a will for assets, they will see that they still own the assets in their name and will be able to attach or freeze assets with a preliminary judgement.

4. Planning for long-term care.

When considering a Trust vs Will, one of the biggest considerations is long term care. Assets you and your wife own are taken into consideration when determining your eligibility for Medicaid nursing home assistance. Unlike Medicare that does not involve income and asset limits to qualify, Medicaid is not available if your income or assets are above the limits set by Medicaid.
This can become an issue for elderly individuals in the need of a higher level of care than they can receive at home. Medicaid pays the costs of extended nursing home care if you qualify financially. Some attorneys and financial planners use irrevocable trusts instead of wills to assist people to plan for future nursing home costs. Assets in an irrevocable trust that is properly drafted, executed, and funded are not counted by Medicaid in determining eligibility, but the laws are complex and should be discussed fully and completely with a Medicaid Planning expert.

5. Property in an irrevocable trust is out of the creator’s reach.

The benefits derived from having your assets out of your name and owned by a trust that is properly drafted, executed, and funded are lost on some people who are concerned about giving up ownership to a trust managed by a trustee. A will does not create this type of concern during your lifetime, but a will does not offer any of the benefits and protections of an irrevocable trust and the executor designated in your will controls your estate after your death in much the same manner as a trustee giving rise to the same potential concerns.
The peace of mind that a creator or grantor of a trust achieves depends upon the terms and conditions of the trust agreement. A trustee is a fiduciary owing a legal duty of loyalty to the trust and those who benefit from it. The laws impose serious penalties and consequences on trustees who violate their fiduciary duties.
If you are looking to avoid probate as well as minimize estate taxes, protect asset from Medicaid, or Protect assets from creditors, then you may want to consider what makes a good irrevocable trust because they are not all the same even though they both have the name irrevocable trust.

Revocable vs. Irrevocable Trust Advantages

Posted on: June 14, 2020 at 7:35 am, in

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Here we examine the differences of revocable vs. irrevocable trust advantages. If you reposition (transfer) your assets through the use of an IRREVOCABLE TRUST, you will no longer own them. If you don’t own assets, no one will want to sue you; no one will want to track your spending habits; no one will call you to interrupt your dinner. You don’t have to go offshore. US Laws, US courts will defend and support your asset protection system. These laws have been defined by thousands of court cases, over and over, right up to the Supreme Court. Hence, our analysis, based on court cases, revocable vs. irrevocable trust advantages. You must however, give-up control over your assets to a true independent trustee.

Revocable vs. Irrevocable Trust Asset Protection   Learn the 3 core secrets to uncompromising asset protection by clicking here

Legitimate repositioning (transfer) of assets from you to an irrevocable trust is perfectly legal. The fact is, if your assets are owned by a subchapter S. Corporation or a Limited Liability Company and in turn the shares of the Sub S or membership units of the LLC are owned by an irrevocable trust, it’s the fortress of US Asset Protection. The ultimate asset protection device is the use of an offshore asset protection trust.
The following financial grid explains the major differences between revocable vs. irrevocable trusts:
Asset ProtectionABSOLUTELY NO Asset Protection. NONE. The Grantor, The Trustee, and the Beneficiary are generally the same person. The Grantor did not give-up control of the asset(s).YES. The Grantor no longer owns the assets. Assets have been transferred to the INDEPENDENT Trustee who has a fiduciary duty to manage the assets for the benefit of all beneficiaries, which may include the Grantor.
Eliminate ProbateYESYES
Eliminate Estate TaxesNOYES. Assets are not subject to the Estate Tax. The deceased did not “own” the assets or have assets in his possession at the time of his death.
Defer / Reduce Capital Gains TaxesNOYES. Assets transferred to the Trust can be structured without capital gains taxes.
Defer / Reduce Income TaxesNOYES, if combined with international structure.
Form 1040 income tax benefitsYES. You have done nothing. You still “own” the assets. All Income and Expenses flow-through to the Grantor’s form 1040.YES. If this is a Grantor-Type Trust, for income tax purposes, all income and expenses flow-through to the Grantor’s form 1040.
Comments:The Revocable Trust is designed to eliminate probate. DOES NOT eliminate estate taxes; ABSOLUTELY NO asset protection. The Revocable Trust is nothing more than an extension of your will.For asset protection purposes the trust is irrevocable. Under certain conditions, the trust can be designed to be a pass-trough trust for income taxes.

The Revocable Trust (Revocable Living Trust):

What’s wrong with a revocable trust (revocable living trust) is that the owner of the assets (the Grantor) retains too much power over the disposition of the trust assets. This direct control nullifies any defenses against potential frivolous lawsuits. His deemed control is equivalent to ownership, and if you still own the asset you are liable to lose them in a lawsuit. And if you own the asset you will incur an estate tax.
The laws of most states permit the formation of a variety of revocable trust instruments (AB “Family” Trust, QTIP Trust, Crummey Trust, Retained Interest Trusts such as GRITS, GRATs, GRUTs, and QPRT), whereby the trust creator (Grantor) contributes assets for the benefit of others to be managed by a Trustee. While it is also possible for the creator to be either the Trustee or a Beneficiary of the trust he or she has created, such dual capacities will usually destroy the trust’s ability to shelter its assets from creditors of the Grantor. When a Grantor reserves an unqualified power of revocation, he or she is deemed the absolute owner of the trust property, as far as the rights of creditors are concerned. This is true even if a Grantor of a trust does not retain a beneficial interest in the trust, but simply reserves the power to revoke it.

The Revocable vs. Irrevocable Trust Advantages:

Unlike a revocable trust (revocable living trust), assets transferred to an “irrevocable” trust cannot be changed or dissolved by the Grantor once it has been created. The Grantor no longer owns the assets. An independent Trustee is your best defense. With an independent trustee, you generally can’t remove assets, change beneficiaries, or rewrite any of the terms of the trust. An irrevocable trust is a valuable estate-planning tool. First, you transfer assets into the trust-assets you don’t mind losing control over. You may have to pay gift taxes on the value in excess of $1million of the property transferred at the time of transfer or you may be able to set-up a mock sale by using a device known as a private annuity to avoid capital gains taxes.
With an irrevocable trust, all of the property in the trust, plus all future appreciation on the property, is out of your taxable estate. That means your ultimate estate tax liability may be less, resulting in a more tax efficient way to transfer your accumulated wealth to your beneficiaries. Property transferred to your beneficiaries through an irrevocable trust will also avoid probate. As a bonus, property in an irrevocable trust may be protected from your creditors. Of late this irrevocable trust device is being utilized by many planners for avoiding the Medicare nursing home spend-down provisions whereby if the elderly has to enter a nursing home he must first spend all his money until he does not have any money left.

Revocable vs. Irrevocable Trust Advantages

Independent Trustee:

A quick word about the independent trustee: most people don’t like to give up control over their assets because of their perceived notion that giving up control is equivalent to leaving the wolf in charge of the hen house. The law imposes strict obligations and rules on trustees including a duty to account for any benefits the trustee may have gained directly or indirectly from a trust. This goes beyond fraudulent abuse of position by a trustee.
The courts regard a trust as creating a special relationship which places serious and onerous obligations on the trustees. The law regards the special “Fiduciary” relationship of a trust as imposing stringent duties and liabilities on the person in whom confidence is placed – the trustees – in order to prevent possible abuse of that confidence results in a major difference in the revocable vs. irrevocable trust advantages. A trustee is therefore subject to the following rules:
  • No private advantage – A trustee is not permitted to use or deal with trust property for direct or indirect private advantages. If necessary the court will hold him personally liable to account for any profits made in breach of this obligation.
  • Best interests of beneficiaries – Trustees must exercise all their powers in the best interests of the beneficiaries of the trust.
  • Act prudently – Whether or not a trustee is remunerated he must act prudently in the management of trust property and will be liable for breach of trust if, by failing to exercise proper care, the trust fund suffers loss. In the case of a professional, the standard of care which the law imposes is higher. Failure to exercise the requisite level of care will constitute a breach of trust for which the trustee will be liable to compensate the beneficiaries. This duty can extend to supervising the activities of a company in which the trustees hold a controlling interest.

Revocable vs. Irrevocable Trust Advantages: The Legal safeguard of an irrevocable trust:

In cases of substantial assets, you may add one other safety measure, “the Trust Protector.” The trust protector’s sole function is to hire and fire trustees, at will and without explanation. We use limits on how much a trustee can be authorized to spend without a second signature.

Protect your assets for yourself and your children and beneficiaries and save on tax dollars and learn the revocable vs. irrevocable trust advantages. Assets can be protected from frivolous lawsuits while eliminating your estate taxes and probate, and also ensuring superior Medicaid asset protection for both parents and children with our Premium UltraTrust® Irrevocable Trust. Call today at (888) 938-5872 for a free consultation and to learn more.
Top 6 Reasons Why Ultra Trust® Offers Superior Benefits of any Irrevocable Trust

Pros and Cons of Prenuptial Agreement vs. Irrevocable Trust Protection

Posted on: January 7, 2020 at 7:30 am, in

Premarital discussions that deal with financial issues and the possibility of asset distribution in case of a breakup are as romantic as getting a root canal done or spending an entire day in traffic court. Prenuptial agreements are not for all couples, but many legal analysts argue that they should be. These premarital agreements present both advantages and disadvantages that future brides and grooms should give careful consideration to.

Prenuptial Pros

Here are the advantages of a prenuptial agreement (aka prenup agreement for short):
Prenuptial agreement contract.
Can a prenuptial agreement really protect your assets? The pros and cons of a prenup.
Conflict reduction: As long as a prenuptial agreement is conscionable and enforceable, it has the power of reducing the legal burden of divorce proceedings. In a way, signing a premarital agreement is akin to a couple having a proactive discussion about issues that they do not really want to argue about in the future.
Establishing intent for spousal support and alimony: In many states that have adopted the Uniform Premarital Agreement Act of 1983, spousal support and even alimony can be waived before the wedding.
Financial protection: This is the most common reason cited as the rationale behind prenuptial agreements, particularly in states where the statutes follow the community property civil doctrine. In this regard, Arizona, California, Texas, and Nevada quickly come to mind.

Prenuptial Cons

If you believe that “All is Fair in Love and War,” you will be interested to know the following issues related to premarital agreements. In other words, here are the disadvantages of a prenup agreement:
The basis for the agreement: Although divorce statistics in the United States are far from encouraging, would-be newlyweds do not really want to talk about a potential marriage dissolution. The formulation and execution of a premarital agreement imply a future breakup, which is the ultimate killjoy of wedding preparations.
The burden of inflexibility: Life situations may change, but prenuptial agreements tend to stay the same. Although these agreements can certainly be updated, they often require many of the same steps undertaken for their creation. This could mean retaining separate counsel and talking about the possibility of divorce all over again.
Lifestyle adjustment: Once a prenuptial agreement is signed, the future husband and wife must learn to adjust their lifestyles to the terms they agreed to before the wedding. Sudden changes in financial situations can be detrimental to a spouse’s lifestyle after divorce all because of a clause was not amended on a prenuptial agreement.
Enforceability of prenuptial agreements: Many couples who sign premarital agreements are unpleasantly surprised when they arrive in court and find out that their document is ruled invalid or unconscionable. Such agreements are subject to the opinion of the court, and they are often subject to legal challenges.

Retain Control: How Irrevocable Trusts Improve Upon Prenuptial Agreements

The use of irrevocable trusts as premarital instruments for asset protection and financial stability yield more advantages than prenuptial agreement and have none of the disadvantages.
With irrevocable trusts, individuals do not really pre-plan their divorce. Establishing an irrevocable trust is not something that a couple must endure; in fact, input from other parties other than estate planners is not required. This is good news for people who do not want to have that uncomfortable conversation about what to do in case of a divorce.
Creating an irrevocable trust does not mean that future wives, husbands or children have to be excluded from the enjoyment of assets. The grantor of the trust can designate beneficiaries to receive certain amounts of assets under certain circumstances. You are in control of all of the outcomes related to assets inside of the trust and with a properly drafted irrevocable trust, you can change your mind at any time. Why would you want a judge to dictate the terms of a divorce when he is not privy to all of the details and private conversations with your spouse?
One of the main goals of irrevocable trusts is asset protection, which happens to work very efficiently in divorce cases. Unlike prenuptial agreements that are subject to the interpretation and opinion of the court, a judge will only take a look at the assets outside of the trust to check for marital assets because assets placed inside the trust are by definition – not martial.
Whereas prenuptial agreements can be legally challenged with many strategies, precedent tends to favor the integrity of irrevocable trusts. Case law has been very positive towards irrevocable trusts in divorce cases; the same cannot be said of numerous premarital agreements that have been deemed invalid, unconscionable, unenforceable, and even nonsensical.
Aside from serving as excellent tools for asset protection, irrevocable trusts are great for estate planning. Prenuptial agreements simply do not survive death. Irrevocable trusts, on the other hand, may continue to earn value and serve the interests of the beneficiaries long after the grantor passes away.
In the end, the flexibility, efficiency, and control of assets inside irrevocable trusts makes them very attractive as legal instruments to be used in place of prenuptial agreements. To find out more about how an irrevocable trust can help you retain control of future outcomes better than a prenup, please call us now at (888) 938-5872.

Asset Protection in Divorce: How to Protect Assets From Divorce

Posted on: September 7, 2019 at 11:42 pm, in

Will learning about asset protection in divorce be a waste of time if you live in a community property state? How does one protect assets before or during a divorce? Common steps to divorce asset protection for gifts, family heirlooms, and real estate. You will need to consult with a divorce lawyer, professional appraiser, and estate planner. Definition of Equitable Distribution and fair market value of assets in divorce.

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How to protect your assets during a divorce? Protecting assets through a divorce can be a complex financial process further complicated by the emotional devastation. If you are going through a divorce it may be important to you to determine ahead of time what your assets are and how you will protect them from your spouse.
The first step will be to hire a lawyer familiar with the laws for dividing property in your state. Good legal council will prove invaluable in defending your claims to property and can give you names of appraisers and accountants to help your case. Your divorce lawyer will also assist you on how to remove any Powers of Attorney granted to your spouse for control of your property and finances.
There are several steps you should consider when trying to protect your assets during Divorce:
  1. Identify everything that was given to you as a gift or family heirloom.
  2. Identify community property.
  3. Hire a professional appraiser.
  4. Figure out how you will split retirement and physical assets.


Identify Gifts and Family Heirloom to Protect Assets During Divorce

A camera will prove to be your best friend during a divorce. You should make a list of all items which were given to you before and after the wedding and take pictures of these items prior to removing them from the residence. Once you have compiled your list you should remove all your personal items to a location not easily accessible to your spouse.
Your spouse will be within their rights to claim any items you leave behind in the residence and do not immediately claim. If you or your spouse left the residence voluntarily, either of you is entitled to return at any time and retrieve belongings. If locks have been changed, except in the case of a court order, you are within your rights to have a locksmith open the doors. Your next step will be obtaining, if possible, written proof of who gave you the items and when they were received.

Asset Protection in Divorce

Community Property Assets

Community property of assets refers to the belongings shared by you and your spouse, such as the furniture, pots and pans, etc. It is important to take pictures of these belongings as well before you remove the items you wish to claim as your own. Photographs are especially valuable if there are expensive items you would like to have but did not have the ability to move and you feel your spouse may try to take them. All photographs should be kept in a secure location not readily accessible by your spouse.

Hire a Professional, Independent Appraiser for Divorce Asset Protection

Division of property during a divorce is determined by the fair market value of the disputed items to ensure one party is not being favored over the other during settlement. An appraiser will be necessary to determine accurate estimates, although you should consult your lawyer on finding a qualified individual.
Using the same accountant who handled your assets in the past may seem suspicious and a court may order another appraisal or rule in favor of your spouse’s accountant. It is critical that an appraisal be straightforward and unbiased for the protection of assets during Divorce.

Estate Planner Consultation to Divide and Protect Assets During Divorce

When considering how to divide assets prior to divorce settlement, it is wise to consult a professional estate planner or financial analyst. For example, if you are thinking about selling your home it may be wise to do so prior to settlement since you are entitled to deduct up to $500,000 of the sale from capital gain taxes.
Selling the home after the divorce is final and reduces your benefit to only half of the sale price. Retirement assets and stocks should also be discussed. If you and your spouse choose to split the retirement benefits you must sign a Qualified Domestic-Relations Order (QDRO) which notifies the pension sponsors how to pay the benefits. Although you cannot take stocks in your spouse’s name you may be entitled to the proceeds once they are sold.

Exceptions to the Rule on Divorce Asset Protection

Some states, such as New York, are known as “equitable distribution” states. “Equitable” mean “fair” and assets will not be divided right down the middle based on their fair market value. Division of assets according to New York Divorce law states that all property obtained prior to the marriage still belongs to the individual and all property obtained afterwards will be distributed by the court based on established guidelines.
The factors a court considers in equitable distribution states for divorce assets are:
  1. The difference in income and property from when the marriage began to the date divorce was filed.
  2. The age of both individuals and how long they were married.
  3. The needs of a parent who has won full custody of children involved (i.e. will they need the house to properly care for the child?)
  4. Any loss of pension or inheritance.
  5. What contributions the parties made to acquire the property.
  6. Future earning potential of both parties.
  7. Tax consequences.
If you are considering divorce it is wise to consult a lawyer as soon as possible to ensure the protection of your assets and help you understand your rights as they pertain to individual state law.
Estate Street Partners is available for consultation on how to protect your assets during and before a divorce. Please call our toll-free line at 888-93ULTRA (888-938-5872).
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Irrevocable Grantor Trust: 8 Advantages of Choosing it as Your Family Trust

Posted on: August 8, 2019 at 1:04 am, in

“What is the origin of an Irrevocable Grantor Trust being used as a Family Trust, and how can it help me?”

We get many calls every week asking “what is a family trust, where did they originate, how could they help me?” There are many types of “family trusts.” Some are specifically for the purposes of holding real estate such as a real estate family trust, and some designed to hold only life insurance like an irrevocable life insurance trust (ILIT) and others are for more general purposes. In general, although the use of a family trust dates back a few centuries, lawyers and estate planning firms have mostly overlooked the irrevocable grantor trust as a preferred instrument for this purpose. While most ill-advised attorneys tend to promote the revocable living trust, we, along with most asset protection attorneys are of the opinion that an irrevocable grantor trust makes the best family trust in most circumstances, and the following eight reasons explain why.

Benefits of a Family Trust #1 – An Irrevocable Grantor Trust Protects Assets

King of British Empire creates feudal taxes in the likeness of estate taxes via the equivalent of irrevocable grantor trust.
King of British Empire creates feudal taxes in the likeness of estate taxes.
Creating a postmortem real estate family trust was one of the earliest purposes of trusts upon their establishment in the 15th century. The historically controversial King Henry VIII of England did not like the use of trusts too much; in those days, feudal taxation was excessive to the point that the Crown supported the appropriation of property as soon as knights passed away. In this case, early real estate family trusts were created upon the execution of wills, which meant that relatives could benefit from land that could not pass to the Crown. King Henry VIII was not in agreement with this practice and thus prohibited these real estate family trusts by royal decree; upon his passing due to health issues related to obesity, the English Court of Chancery reauthorized the use of trusts.

Irrevocable Grantor Trust Protects Assets    Learn the 3 key to uncompromising asset protection by clicking here

Although feudal taxation would be gone long before the fall of the British Empire, it survives in spirit in the form of estate taxes. This taxation standard is the basis of the idiom about there being nothing certain but death and taxes, for it is true that even the dead are required to pay tax in the absence of legal instruments such as an irrevocable grantor trust in today’s world.
Estate taxes are present at both the federal and in many states at the state level. Essentially, these are death taxes, a vestige of the Henry VIII days that seeks to collect revenue even after the taxpayer shuffles off this mortal coil. Modern statutes are not draconian in this regard; some exemptions and the use of an irrevocable grantor trust are allowed.
In situations like these irrevocable trust advantages are outstanding. An irrevocable grantor trust basically serves the same purpose as they did when real estate family trusts were created in the midst of the Renaissance period: to protect property and assets from the claims of third parties, including the tax authority. In the past, these third parties were the Crown, the feudal lords, the lenders, and potential usufructuary actors who would jump at the chance of claiming a piece of a knight’s property once he passed away. The modern versions of these third parties in the United States would be the Internal Revenue Service (IRS), the state revenue collection agencies, creditors, opportunistic or frivolous plaintiffs, and even gold diggers.
Irrevocable trust advantages go beyond the estate tax. A modern irrevocable grantor trust can do more than simply avoiding the payment of death taxes; they can provide individuals and their loved ones with guaranteed income while effectively transferring property and assets to heirs in a manner that is more efficient than traditional wills. Asset protection attorneys dedicated to estate planning and wealth management have been known to recommend about a dozen trust structures to families; however, only a properly written, executed, and funded irrevocable grantor trust is known to provide “bulletproof” protection if they are properly structured and managed. Any irrevocable grantor trust broken in the last 150 years of litigation, the only ones broken were ones that had issues with how they were written, executed, or funded.

Benefits of a Family Trust #2 – Irrevocable Trust Advantages Include Providing Ideal Ownership Situations

What are other examples of irrevocable trust advantages? It all boils downs to a legal theory known as the “burden of ownership.”
There is no question that we live in highly litigious times. Frivolous lawsuits that seek to establish a claim over property or assets are filed every day, and this is a situation that is often magnified after death. A good example in this regard would be legendary musician Prince, whose unfortunate death was followed by numerous siblings and half siblings coming forward to meet under contentious circumstances as they suspected that the late Minneapolis star did not leave do any estate planning what-so-ever, not even a will.
State ranking of Ameria of the number of torts
A graphic map of the number of torts per state. (click on image to see larger detail. 383KB)
Legal analysts and asset protection attorneys following the Prince case have commented that the burden of ownership is something that will haunt his estate for years to come as his survivors continue to fight in court. In the absence of an irrevocable grantor trust, Prince Roger Nelson’s estate will pay a huge estate tax with relatives ready to file claims for the remainder that establish his ownership of assets and their rights as heirs apparent.
The burden of ownership is what makes frivolous lawsuits happen in the first place. The first legal hurdle that a plaintiff must clear is that of establishing that the respondent actually owns the assets or property being claimed. The case cannot move forward and should be dismissed when the court finds that the lacks this basis; in other words, claims can only be made against property that is legally owned by the respondent.
When an irrevocable grantor trust, the burden of ownership is effectively removed. Assets placed within a properly written, executed, and funded irrevocable trust are not owned by individuals; instead, they are owned by the legal entity established by the terms of the trust, but unlike a corporate structure, the trust has no shareholders, just beneficiaries. This does not mean that families cannot enjoy automobiles, homes, art, liquid funds, investments, etc; all these assets are still available for the use of beneficiaries, and they can even be sold and transferred by the trustee as instructed by the trust.
Irrevocable Grantor Trust for Generations for Prince and his family
Prince could have set up an irrevocable trust
In the case of the late Prince, for example, an irrevocable trust could have been set up so that the income from the rights and royalties to the music he created could be paid to his family in perpetuity. Prince could have effectively separated himself from his music, but only in the ownership sense, and he could have pulled this off in a very private way so that no one except for select confidants would have known about the true ownership.
Doing away with the burden of ownership is something that can certainly be considered one of the irrevocable trust advantages. Once again, the notoriously litigious society that we live in makes this a necessity for many families.

Benefits of a Family Trust #3 – Income Tax Returns

One of the most famous examples of an effective irrevocable trust structure being used was made known to the public during the 2012 electoral campaign of former Massachusetts Governor Mitt Romney.
As a candidate to the Presidency of the United States, Romney was required to provide a series of financial disclosures that revealed his use of a series of irrevocable trusts that effectively will allow his family to avoid a 35 percent tax rate on assets valued at more than $5M at the time of the trigger, his death.
Mitt Romney's irrevocable grantor trust and how they protected assets for their family
What the public learned about Mitt Romney’s irrevocable trusts and how they protected assets
What the public learned during Romney’s campaign about irrevocable trusts and how they shield assets from taxation was unprecedented. His family’s estimated net worth inside the trusts back then was $250 million, but this mostly came from financial disclosures of his investment banking firm Bain Capital. Due to the privacy features of irrevocable trusts, it is very possible that the American public will never know the exact net worth of Romney and his family.
Despite his use of irrevocable trusts, Romney was still able to produce the requisite income tax returns that candidates are expected to show to the public. This tradition of American politics did not help Romney’s campaign much because it proved that he took advantage of certain credits and exemptions that reduced his personal income tax burden. What the public never got to see, however, was any tax return from the irrevocable trusts that the Romney family members reportedly benefit from.
The American public will probably never get to see the tax returns produced by the Romney family trusts, and this is due to the bold privacy protections of irrevocable trusts. This does not mean, however, that the trust itself is invisible to the IRS; it has its very own tax identification number and files its own tax return, but it is understood that the beneficiaries are not the legal owners of the assets held therein.
Irrevocable grantor trusts used for the purpose of family wealth preservation and management are not illegal instruments of tax avoidance, either the trust or the individual will pay taxes due on income, it is typically just a different process. Form 1041, U.S. Income Tax Return for Estates and Trusts are filed each year by thousands of trustees and CPAs across the country. Tax advantages and reduced liability shall not be confused with tax avoidance.

Benefits of a Family Trust #4 – The Probate Process

The statutes of all 50 states of the Union have at least two elements in common: a criminal code and a probate code. In the United States and across the world, the intent of the probate process is to establish the legal validity of wills and other instruments that individuals executed before they passed away. In other words, the probate process ostensibly puts the courts in a position of representing the legal interests of the departed.
Irrevocable Grantor Trust for avoiding probate
Probate process in America is a legal avenue for wealth redistribution
In reality, the judicial probate process in all 50 states serves as a legal platform of wealth redistribution, whereby debts and taxes are paid before the heirs can establish a claim to what is left of the estate.
Probate proceedings happen to be matters of public record; this is particularly useful in cases of intestacy, which is when individuals pass away without leaving a trust or even a will. As mentioned above, this may seem to be the case with the Prince estate, and it is bound to get more convoluted as time passes and more dirty laundry is hung out to dry on news headlines.
No family wants to go through the probate process because of the cost (5-10% of assets), public scrutiny, delay in distribution of assets, and opportunity for outsiders claims and as any asset protection attorney will tell you, it can be completely avoided. Trusts can certainly prevent the ugliness of public probate proceedings. In terms of avoiding probate and keeping family life out of the public view, nothing is more efficient than a trust, and this is something that cannot be stressed enough: any trust can keep family affairs in the family when the time comes to settle an estate. Moreover, a trust should also be structured in a certain way for this privacy and anti-probate features to be effective.

Benefits of a Family Trust #5 – Setting Up an Irrevocable Grantor Trust for Generations

Families who wish to protect their assets so that they can pass from one generation to another should choose their instrument carefully. Two important benefits of a family trust should always be longevity and equity in terms of asset control.
A revocable living trust cannot guarantee longevity, nor can they ensure families that one of their members could suddenly exert total control over property and assets. Most grantor trusts are of the revocable living trust type, which means that the Grantor, as owner of the assets that will be deposited in trust, will retain too much control. One notorious example in this regard is the family trust created by media mogul Sumner Redstone, majority shareholder of Viacom/CBS.
Irrevocable Grantor Trust for Generations for Sumner Redstone

Sumner Redstone, owner and CEO of Viacom Inc.

Sumner Redstone, owner and CEO of Viacom Inc., convinced members of family trust to allow him to retain control
The Viacom/CBS media empire found itself at odds when the National Amusements trust, which has 80 percent voting power in the Viacom/CBS affairs, moved to oust two top executives. According to probate filings, Redstone convinced the members of the family trust to approve keeping him in control despite his advanced age and questionable competence to handle financial affairs.
As the Viacom/CBS case progressed in court, legal analysts argued whether giving Redstone so much control over the trust was a wise business decision for Viacom/CBS. To be clear, the National Amusements trust is irrevocable, but it is structured in a way that makes Redstone the only beneficiary as long as he is alive, which means that he can appoint or dismiss trustees as he pleases.
There are better ways to establish irrevocable trusts that would not run into the issues seen by the Viacom/CBS sordid state of affairs. The first step is to ensure that the trust is not a revocable living trust, which gives the Grantor too much control over decisions on how to manage the family fortune. The idea is to establish solid permanence for the family by stripping ownership from the Grantor and appointing an independent Trustee. The trust must be structured in a way that can benefit the family from one generation to the next, and this requires a structure that does not allow arbitrary the removal of assets or beneficiaries. In some cases, a Trust Protector may also be appointed for the purpose of hiring and dismissing trustees.

Benefits of a Family Trust #6 – Keeping Family Fortunes From Being Lost Abroad

In the later decades of the 20th century, major changes in the laws and regulations of the United States prompted some families to consider going offshore for the purpose of protecting their assets.
The offshore asset protection industry came of age during the Reagan years and grew exponentially as the World Wide Web developed. As a result, more American families became convinced by their asset protection attorney that the best asset protection strategy available to them could be found in offshore financial havens such as the Cayman Islands, the Bahamas, Switzerland, Panama, and other nations where fiduciary laws and regulations favored privacy and the protection of wealth.
Offshore financial havens take advantage of their regulatory climate to safeguard assets and keep them away from aggressive creditors, frivolous plaintiffs, freeloaders, gold diggers, and other unpleasant characters whose purpose in life is to claw away at family fortunes.
Although the offshore asset protection strategy is often considered to be pretty bold and effective, it has unfortunately attracted lots of attention in the 21st century. The so-called “Snowden Effect” of activism and Wikileaks-style whistleblowing resulted in the Panama Papers scandal of 2016.
The estate planning and wealth management's world industry learn from the Panama Papers
Panama Paperss give the estate planning and wealth management’s world industry a lesson
The estate planning and wealth management industry has learned some hard lessons in the wake of the Panama Papers, particularly about the zeal that drives activists and journalists to investigate and expose what they consider to be scandalous. It has already been established that the bulk of the Panama Papers revelation consists of individuals, families and business entities that simply wished to legally take advantage of offshore jurisdictions to protect their assets. Unfortunately, the names of American families have been run through the mud along with the names of unsavory characters who also used offshore financial havens for nefarious purposes.
Any expert asset protection attorney will tell you, there are two clear realities about offshore family trusts: they are effective tools for asset protection, but they are also overkill for most American families as the cost to maintain one ranges from $5-10,000 annually. The fact that they are also being targeted by surreptitious activists and data journalists who claim to operate in the name of transparency is alarming.
What any expert asset protection attorney will agree with, is that many American families do not realize is that bold asset protection and wealth preservation can be achieved domestically with a properly written, executed, and funded irrevocable trust, which can also be combined with a limited liability company (LLC) for even bolder protection. There is no need to get tangled up in high maintenance costs or a cloak-and-dagger affair such as the Panama Papers.

Benefits of a Family Trust #7 – Gifting Versus Irrevocable Grantor Trusts

Many an asset protection attorney suggests gifting as a strategy for individuals who wish to transfer a lump sum to their survivors. They may even recommend transferring funds into an irrevocable trust as a gift. This is a severely flawed strategy that must be avoided at all costs.
Irrevocable trusts are superior to plain gifts in the sense that the Grantor will relinquish all control. First of all, lump sum gifts tend to be used irresponsibly, which happens to be against the precepts of estate planning. Second, a gift made to an irrevocable trust may expose those assets in a potential court case.
Plaintiffs represented by seasoned asset protection attorney who are skilled in the ways of asset protection can easily uncover gifts made into irrevocable trusts. If a family wishes to place assets in trust for the benefit of their heirs, then the Grantors must be properly advised on how the transfer must be executed. Gifts into trusts may appear to be questionable to a judge, who could in turn issue an order to reverse the asset transfer.
Any asset protection attorney will tell you that irrevocable trusts are better options than outright gifts, but they must be structured in a certain way that protects the interests of the family. Reduction of capital gains taxes is just one aspect of this strategy, which may also call for Independent Trustees and a Trust Protector.

Benefits of a Family Trust #8 – A True Legacy and Peace of Mind Can Be Attained With an Irrevocable Grantor Trust

Primary benefits of a family trust are to keep assets within the family, and no other legal instrument can achieve this as efficiently as an irrevocable grantor trust.
For married couples who are planning on having children, there may always be a concern about what could happen to their fortune should one spouse pass away. If the surviving spouse gets married again, there is always a chance that the estate of the departed husband or wife could be enjoyed by the members of the new family instead of what the couple had originally planned.
With a properly constructed irrevocable trust, a provision can be stipulated for the benefit of true beneficiaries, who can be the children of the couple who agrees to form the trust in the first place.
When setting up an irrevocable trust to protect family assets, the ultimate goal is to establish a legacy. A frank discussion with estate planners should provide the guidance for the objective of the irrevocable trust. From drafting to funding and from execution to management, an irrevocable trust can truly help families build their legacies in perpetuity.

We look forward to our visit with you and your professional representatives to assist you with the advancement of your estate planning.
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Rocco Beatrice, CPA (Certified Public Accountant), MST (Master of Science in Taxation), MBA (Master of Business Administration), CWPP (Certified Wealth Protection Planner), CAPP (Certified Asset Protection Planner), CMP (Certified Medicaid Planner), MMB (Master Mortgage Broker)
Managing Director, Estate Street Partners, LLC
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This statement is required by IRS regulations (31 CFR Part 10, 10.35): Circular 230 disclaimer: To ensure compliance with requirements imposed by the IRS, we inform you that any U.S. federal tax advice contained in this communication (including any attachments) is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another party any transaction or matter addressed herein.

What’s an Asset Protection Trust?

Posted on: July 25, 2019 at 1:24 am, in

What’s an asset protection trust? What’s a Trust?

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An “ASSET PROTECTION TRUST” is nothing more than an unchangeable (irrevocable) to the outside world “CONTRACT” between the person who wishes to protect his assets (the Grantor) the person who will manage the assets (the Trustee) for the benefit of all Beneficiaries which may include the Grantor, his spouse, children and grandchildren.
The Trust Contract requires the transfer of assets from the original owner (Grantor) to a legal entity for the purpose for which the Trust Contract was created.

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What type of trust, Grantor, or Non Grantor? What’s the distinction?

A Grantor Trust take a special place within the tax code. A “Grantor-Type Trust” for tax purposes is treated as a disregarded legal entity. The disregarded entity is “Income Tax Neutral” meaning that the original Grantor retained strings attached so that for purposes of the IRS he retains the assets in his complete control, thus he did nothing for the purpose of asset protection. Income tax benefits and income tax expenses are retained by the Grantor, thus he pays income taxes on the income of the trust. The Trust is a “pass-through” to his form 1040 i.e. real estate tax deduction and mortgage interest deduction on his person income tax return.

Revocable or an Irrevocable Asset Protection Trust, what does that mean?

Revocable is when the original person with the assets transfers (repositions) the assets to a trust with strings attached. The Grantor, the Trustee, and the beneficiary are the same person. Effectively you have kissed yourself on the hand and blessed yourself as the Pope. A revocable trust does absolutely nothing for asset protection. Many lawyers recommend revocable trusts for avoiding probate, recognizing that the trust is not worth the paper it’s written on for protecting assets against frivolous lawsuits and the avoidance of estate taxes.
Asset Protection Trust
An irrevocable trust is when the Grantor (the person with the assets) gives-up complete control to an independent Trustee who in turn will use his judgment as Trustee to manage the assets for the beneficiaries of the trust. The fiduciary relationship of the Trustee is to the protection of the assets at any cost. The Trustee must protect and must diligently invest under the prudent man rules, he cannot ever deal for himself. The courts do not look favorably on dereliction of duties while serving as Trustee. An irrevocable trust is the only significant asset protection device for avoiding frivolous lawsuits, avoiding the probate process, avoiding estate taxes, and is the only device for avoiding the mandatory spend-down provisions for qualifying into a nursing home.
An irrevocable asset protection trust when combined with a Limited Liability Company is an asset protection fortress, short of a foreign asset protection trust. A foreign asset protection trust is the Rolls Royce of asset protection, the irrevocable trust with an LLC is the Cadillac.

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Asset Protection FAQ (Frequently Asked Questions)

Posted on: April 26, 2019 at 5:54 am, in

Asset Protection: Questions on Protecting Your Assets

Estate Planning and Protecting Your Assets

Protect your assets from lawsuits, divorce, Medicaid.
Asset protection is one of the most important things you can do. The planning is a method of preparing for any possible lawsuits in the future. It entails rearranging the ownership of your current assets so that they cannot be touched by creditors during a lawsuit. Asset protection can also act as a form of supplementary insurance. It can protect you from the various risks that can be associated with professions and businesses. Generally speaking, asset protection is used to safe-guard your assets that would be at risk. There are different degrees of asset protection. Typically, the more complex the planning is, the more effective it will be in the future. However, even though complex planning can offer you the best protection, it is also very expensive and there are more restrictions involved.

Do You Need an Expert on Asset Protection Planning?

If you have assets that require you to plan your estate if you die, then you probably have enough assets to strongly consider an asset protection plan. It is important to protect these assets from lawsuits that could occur before your death. The decision is entirely personal and is based on risk aversion, your asset level and the level of protection you need. There are very few levels of protection that as you may imagine, have a correlated cost to set up, but it is a very personalized product and a professional needs to assess all of these factors when making a recommendation.

What Assets Can Be Protected?

Asset protection involves exempt property that is considered unreachable by creditors. Each state has its own unique laws that define what exempt property is. Some properties can be entirely exempt, while others may be limited. Some common examples of exempt property include clothing and jewelry, tools of a trade or a business and household furnishings. In some cases, life insurance and social security may be classified as exempt property. But there is no reason to risk laws changing in your particular state; an asset protection plan should take these potential risks into consideration.
If your property is not exempt, you should consider an asset protection plan attorney. This simple plan would transfer the property from you to an irrevocable trust. By transferring ownership of valuable assets to a trust, you will protect those assets from creditors. This transfer will protect your assets while you are living and will also protect them from a tax collector when you die. There are some disadvantages associated with these transfers which include the new owner’s exposure to creditors, your personal loss of control over the particular asset that was transferred and any gif tax consequences that result from the transfer.

Are My Retirement Assets Protected from Creditors?

If your assets are held in a retirement plan, the federal law will not allow creditors to reach those assets. Some examples of assets that are protected by a retirement plan include profit sharing, pensions and 401(k) plans. IRA’s may not be protected. You will need to check the laws in your state to see if your IRA is legally protected from creditors.

How You Can Protect Your Assets When Starting a Business

If your new business is not incorporated or held within an LLC with the shareholders being an irrevocable trust, you will place your personal and business assets at risk. Any claims that are made against the business could result in the loss of assets; personal or business-related. There are different tools that can help protect your assets when starting a business.

Partnerships and Trusts

Family limited partnerships have been deemed one of the available asset protection devices. While this is effective, it is not foolproof unless an irrevocable trust is the general partner. Many states allow limited liability companies to be formed, and they are also viewed as a great ownership form when considering asset protection. It is very difficult for any creditor to reach any assets that have been transferred using these devices if the membership shares are in the name of a trust.

Fraudulent Transfers

Asset protection is ethical and legal as long as the plan is put in place before a lawsuit is filed. It may be too late if there is already a claim or a lawsuit pending. Asset transfers during this time could be considered fraud. More specifically, fraudulent conveyance is where someone divests themselves of assets without fair consideration because they see a problem arising and would like to avoid paying a claim. However, a few highly sophisticated firms have ways of legally transferring assets in distressed times with a financial instrument to avoid problems with fraudulent conveyance.Please contact Estate Street Partners if you are seeking counseling to legally transfer your assets in distressed times and still avoid fraudulent conveyance. Each will be taken on a case by case basis. Estate Street Partners will never condone illegal practices and advocates transparent accounting and legal practices.

How to Protect Assets from Lawsuits, Divorce, Accidents – Irrevocable Trust Asset Protection

Posted on: February 2, 2019 at 12:26 am, in

The keys is to learn how to protect assets from lawsuits. According the National Center for State Courts, there were 103M lawsuits in 2019; One lawsuit for every three citizens in the United States. Decades of a person’s hard-work to accumulate assets; working their entire life to build, are at risk of being attacked because of one “frivolous” lawsuit. How to protect assets from lawsuits like these? Did your lawyer tell you that there is nothing you can do now because the tragedy already happened? Do want to know how to properly protect your assets?
    how to protect assets from lawsuits    Learn the 3 keys to protect assets from lawsuits step by step (click here)

If We Can’t Help Teach You How to Protect Your Assets from Lawsuits, Then You Don’t Pay One Penny…

  • Dramatically increase your armor against all types of lawsuits
  • Save on your capital gains by deferring your taxes
  • Know that your assets are properly and safely assigned to your loved ones
  • Complete control over all your assets and reallocation of assets even after death
  • Design your own personal financial plan according to your wishes and desires and be flexible as your situation changes (addition of new baby, divorce, death of family member)
  • Total, surefire privacy and complete anonymity with client/attorney privileges
  • Exceptional successful and clear roadmap designed specifically for you and your family’s needs
  • Substantial savings of tens of thousands of dollars from probate fees
  • Option for Foreign Asset Protection and offshore financial planning if you have $3million or more, 10% should be in a foreign jurisdiction.
  • Completely legal. You rely on the laws created for asset protection, not secrecy. Filling all necessary IRS requirements, strengthens your asset protection system.
  • Finally, learn how to protect your assets lawsuits, divorce, and even from the Medicaid Nursing Home spend-down program.

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I’ll get straight to the point and tell you the ONE Ultimate Secret to how to protect assets from lawsuits or “hiding your money” is to REPOSITION  it. What do I mean by that? The answer is simple: you actually don’t hide your money to protect assets from lawsuits. You use laws created for “asset protection” to protect your assets from lawsuits. You use the laws to your advantage. You use legal entities created under the different laws – trust laws, corporate laws, partnership laws, bankruptcy laws, and tax loopholes to your complete advantage.
The average individual wants to “own” assets. The truly successful individuals have learned WHAT the absolute secret is regarding how to protect assets from lawsuits: that “control” is more significant than “ownership.” By not owning the asset, they control frivolous lawsuits, they avoid probate, they avoid estate taxes, negotiate with creditors on their own terms, and they are able to significantly reduce their taxes. In essence, they can “hide their money” completely transparently and legally.
Ownership is the absolute right to possess and use property to the exclusion of others. Control is the control of others or skillfully influencing others to your advantage. Ownership is absolute; control is not. If assets are in the absolute control of others, there’s no control on how it can be transferred, thus avoiding frivolous lawsuits and allowing you to dictate terms to your creditor in any negotiation. 96% of lawsuits never go to court because they are settled in a negotiation. We put you in a position of leverage when negotiating with your creditor. This is the true definition of irrevocable trust asset protection.
The successful have also learned to diversify their assets worldwide. The theory “don’t put your eggs in one basket” applies to everyone, not just the rich and successful. Everyone has the same opportunity to diversify, the number may be smaller for the average individual, but there is nothing that the successful are doing that is not available to everyone.

How to Protect Assets From Lawsuits by “Hiding Your Money and Assets in Plain Site

“Most advisors are mainstream with mainstream ideas. You are definitely out of the box. Your ability to take apart complex issues and provide alternative solutions is simply remarkable. Your vast array of tax planning strategies are extraordinary. You are absolutely in my little black book of people to call.”
— Rick S., Massachusetts
You can “hide” your assets with various options. Remember, you still keep your total privacy of your asset re-allocation but it’s still completely legal to the IRS because you still file all necessary forms that strengthen your asset protection!
  • Irrevocable Trusts
  • Foreign Trusts (FAPT)
  • Limited Liability Companies (LLC)
  • Foreign Limited Liability Companies
  • International Business Companies (IBC)
  • Limited Partnerships
  • Corporations under Chapter C
  • Corporation under Subchapter S

The 9 Basic Things The Successful Have Learned About How to Protect Assets From Lawsuits…

  1. An asset protection system will not make you “judgment proof.” Anybody can still sue you for any reason they can dream-up. You cannot avoid a lawsuit directly, but you can make it so painful to file one that they move-on to a better/easier target.
  2. Preventive maintenance, you don’t run your car 100,000 miles before replacing the oil. Asset protection planning is most effective and least expensive before you have legal problems. If you’re in a current lawsuit then don’t worry because there is something you can still do about protecting assets from lawsuits. Read on!
  3. It is never too late to improve protection. Anything is better than doing nothing. Don’t handout road maps to your bank account.
  4. Don’t UNDER-ESTIMATE the abilities of these shrewd, ruthless, invasive, money hungry predators and their very CLEVER CLIENTS. For the mere filing fee of $275 they will shake your tree to see what falls. They have learned that if they shake enough trees, they will get rich.
  5. Everything you own in your name is subject to creditor attacks. The common stock you own in your corporation; the LLC membership units, general partnership interests are subject to creditor attacks. If they own your shares, they own your company.
  6. Giving away assets to family members is not how to protect assets from lawsuits. Transferring assets to family members or anyone at less than its fair cash value is “fraudulent conveyance” a criminal event to defraud your potential creditors.
  7. All income is taxable, unless there is an exemption or exception. Deduction of your real estate tax is an exemption, gifting under $15,000 is an exception.
  8. Bankruptcy will not eliminate or discharge your tax liability.
  9. Only an independent trustee (not related to you by blood or marriage) is how to protect assets from lawsuits. An irrevocable trust, with an independent trustee, that is properly set up, structured, and funded is the only proven asset protection system. When an irrevocable trust owns shares in your corporation or is the member of your LLC, you have created the fortress of asset protection, the Mercedes of asset protection system, short of a Foreign Asset Protection Trust, which is the Roll Royce.

How to Protect Assets From Lawsuits to protect your wealth

Why I Want to Help You Learn How to Protect Assets From Lawsuits…My Personal Story

Hello, my name is Rocco Beatrice. In 1983 I hired an attorney with expertise in Real Estate Tax Abatements (reducing real Estate Taxes for a contingent fee) to represent one of my clients. Without my knowledge, the attorney hired an independent Appraiser and gave him instructions on how to prepare his appraisal report, creating a lack of independence on the Appraiser. As a result of my lawyer’s actions it caused the loss of a $2,153,000 real estate tax refund (abatement)!
Since I hired the attorney to represent my client, I stood to lose the lawsuit if my client sued me. Everything I owned jointly with my wife was up for grabs. Like everyone in wealth building years, I gave no thought to asset protection. After graduating college, my wife and I started our lives together with no money; we had a couple of kids, and we were progressing our way to financial independence; we owned a house, investments, cars, stocks and other assets.
  • Are you tired of listening to an attorney who only knows half the story?
  • Find peace and sleep blissfully with our rock-solid financial roadmap and asset protection strategies
“Dear Rocco, I write to express my greatest appreciation for the outstanding job you have done in compiling all of the vital information on asset protection and trusts. I especially want to acknowledge you for your gifted ability to transfer that knowledge to me in such an easily understandable manner. I hate to think how much I and my associates have spent over the years on so-called asset protection “experts” who don’t know 10% of what you know. Thank you for your commitment to excellence and for the ongoing contribution the Ultra Trust® is making to me and my business.”
— John M., Maine
      protecting assets from lawsuits    Learn the 3 keys to protect assets from lawsuits step by step (click here)

How we learned how to protect assets from lawsuits and how we personally almost lost EVERYTHING we owned!

In one single moment, we stood to lose everything with one just lawsuit – not to mention potential punitive damages. I was losing sleep. My wife was worried about me. I couldn’t talk to my friends about it because I felt ashamed of my situation and I couldn’t ask them to bail me out. It’s sounds so cliché but I felt alone and hopelessness was overcoming me. I was emotionally drained from this experience and I didn’t know what was going to happen to my family, my wife, my children and everything I worked so very hard my entire life for.
“How can this be happening?” I asked myself over and over. Just because of one overlooked mishap by someone working for me and I stood to lose everything. It wasn’t even my fault!
Isn’t this always the case? We are so unprepared for any mishap or accident or event in our lives then ONE DAY, all of sudden, something happens in our lives that changes our lives forever.
Save yourself from ulcers, sleepless nights because you are not protected, the migraine headaches and the feelings of total hopelessness with the Stable, Stronghold of the Ultra Trust®.
The Ultra Trust® is unmatched in its ability to save and protect your assets.

Why Are You Being Sued?

It’s always about the money. If there was no money involved then you wouldn’t be sued. Plain and simple. There will always be people declaring their lawsuit based on higher principles but, at the end of the day, what are they asking for? Money. They are not asking for a mere apology from you.
So it follows suit that any contingent-fee lawyer or any lawyer with wits about him/her will investigate how much money you have and how much you are actually worth. It’s the pot of gold that lies at the end of their litigation. Whatever is tied to your name and Social Security Number is what is deemed important to them and to you as well.
This information is so readily available with the advent of the Internet it would take anyone a few minutes of their time and pay a document search service center $30 to garner all your assets. Assets like your home, vehicle, real estate investments, stocks, bonds, bank and brokerage accounts and just about anything else of value to them can be found online. Scary but true.
Any lawyer worth his/her salt will do an even more in-depth analysis and conduct a much more thorough search of your worth. If they think it’s worth it then you can expect to be sued for nth amount of your worth.

But My Lawyer and Accountant Told Me “It’s too late!“…Hogwash – Learn How to Protect Assets From Lawsuits

When Elvis Presley died in 1977, he left $10.2 million worth of estate value. Of course as a result of people’s greed they were fighting for a slice of the pie. After several years of probate 72.5% of Elvis’ estate or $7.4 millions was gone to attorney fees judge fees appraisal fees accounting fees and other fees.
— James Banks “Creating Wealth Through Probate: The Best-Kept Secret in Real Estate Investing”
This is one of the most frustrating things I hear! After fielding hundreds of calls, especially when they find themselves in “potential lawsuits” the average inquiry is untrusting. I tell them that it’s better to do something than nothing. It’s contrary to their lawyer’s and accountant’s advice who have told them, “There’s nothing you can do. It’s too late!”
It’s better to do something than nothing, I tell them and repeat it over and over, despite what their attorney and/or accountant usually tells them. I know this from first hand, real world experience helping people that have been in real life or death situations with regards to their financial well-being. Opening your wallet and passing it around, is not my idea of solid advice.
As long as the lawsuit has not been initiated there’s no duty for you to leave your wallet open for potential, possibly potential, maybe potential, creditors. Nothing I have read within any civil, contract law or within your constitutional rights to leave yourself naked. You can do quite a bit, as long as you do not commit “fraudulent conveyance” – that is, repositioning (transferring) your assets at less than its fair market value.
If you transfer your house to family members or some legal entity (Corporation, LLC, Trust, Partnership, Limited Partnership, Family Partnership, or Family LLC, etc) as an asset protection device, the transfer has to be at its fair-market-value. If your house has a selling price of i.e. $500,000 you must receive back something worth the same $500,000 in cash or near cash.
Even when a lawsuit is initiated, you still can do some things to frustrate your creditor. Your objective is to stall and place barriers wherever you can legally to stop and prevent anyone from accessing your assets and money. Things you’ve worked too hard to lose because of one or two lawsuits.
Furthermore, a court judgment against you and your assets as a result of losing your case in court does not necessarily mean that they will even get the money. Under certain conditions the judgment against you will act as a strong deterrent because your creditor may have to pay income taxes on income generated by your business or assets without your creditor getting a single penny from you.
Getting a judgment and collecting on the judgment are two different monsters. Your creditor will definitely want to renegotiate with you if he has to pay taxes on income he will never receive.
Let’s think of your situation another way. If another person, entity, business or whoever holds any grievance against you and initiates a lawsuit for whatever reason whether there are any reasonable grounds for it or not, do you think that it is right and fair that your assets are now “suspended” whereby you cannot re-allocate it to someone else? In other words, just because someone is suing you does not give him or her the right to “hold” your assets indefinitely till the outcome is determined.
The outcome could be months or several years before an outcome is determined. So this means that whoever initiates any lawsuit against you can do this to your assets and your money? So if I didn’t like you then I can “suspend” your assets indefinitely. Your opponent can do this forever till you die. Does this sound reasonable and sound to you?
The plaintiff hasn’t even won anything yet so why should you suffer just because someone begins a lawsuit against you? It’s not right. It’s not just. And it’s your constitutional right to defend what is yours. So fight for it! Give your opponents every roadblock and make it as difficult for them to get to your money and assets. You’ve worked hard for this money. Don’t leave it there just because someone started a lawsuit against you.
  • It’s Your Constitutional Right to Protect Your Assets!
  • Save your assets and money despite what your own lawyer and accountant have told you
  • Are you presently being sued and need to protect your assets but your attorney and/or accountant have told you cannot do anything now? You can still do something about it!

Are You Tired of Listening to A Lawyer Who Only Knows Half the Story About How to Protect Assets From Lawsuits?

You may, as most people, will ask your attorney or CPA for advice on how to hide your assets, how to protect it and what you can do. The truth of the matter is that your trusted attorney or financial advisor hasn’t ever had any training or experience whatsoever in the matter of asset protection. I actually provide seminars to CPAs and Attorneys on Asset Protection twice a year. You would be shocked by the questions I get from so-called assets-protection-experts.
Did you know that asset protection isn’t even a subject in law school. Yes, there are courses taught on trusts, will, estate planning and corporations but not specifically on asset protection. Just look at the Harvard Law School Curriculum and you’ll see evidence of this. Protecting your assets is in essence designed to place lawyers out of business.
Well then “Who is qualified to be give advice on asset protection and how does one consider to be an expert at asset protection?”
Simple. Find someone who has:
  1. Real world, hands-on extensive experience in asset protection strategies in both domestic (the U.S.) and international arenas (Nevis, Bermuda, Antigua, Caribbean Is, Hong Kong, etc.) and someone who knows how to “hide” your assets totally and completely legally so the IRS will pat you on the back.
  2. Someone with an impeccable successful record in asset protection and with a pool of talented experts both in the domestic and international realms to give you the best advice from every angle possible. Period.
Estate Street Partners experience isn’t based on theoretical text books or what MAY work. I’ve been through the grind and learned everything I can to help my family and myself out of trouble. I’ve helped hundreds of others do the same. My real world, hands-on extensive experience is a based on a solid “what works” based on 153 years of court cases and I’ve assemble a team of experts around the world to help you do the same and offer you the best you can possibly get.
You will receive the uncompromising, absolute, secure and solid advice based on this real world, hands-on experience, years of experience from an award-winning estate and trust planner & tax expert AND an international team of bonded and licensed professionals who SPECIALIZE and are EXPERTS in their field whether you need domestic or offshore protection.

Don’t Let Your Attorney Convince You That a Revocable Trust or Just a Will Are Your Best Options!

It is one of the most common legal scams. This will only help your attorney set up his own retirement fund. You see that with a revocable trust and even a will, you will be subject to probate court where your attorney can defend the estate from frivolous claims on the estate. The larger the estate the more claims there are and the more fees your attorney can rack up.
What’s wrong with a revocable trust (revocable living trust) is that the owner of the assets (the Grantor) retains too much power over the disposition of the trust assets. This direct control nullifies any defenses against potential frivolous lawsuits. His deemed control is equivalent to ownership, and if you still own the asset you are liable to lose them in a lawsuit. And if you own the asset you will incur an estate tax.
So why does a lawyer espouse the benefits of a revocable trust (revocable living trust)? Well, he or she or the law firm benefits directly because they know that you have to rely on them completely for any and all legal matters that arise from any new lawsuits. That’s their goal. It’s always about the money, isn’t it?

Now Protecting and Transferring Assets is Even More Important So Seniors may Qualify for Government-Subsidized Medicaid Money…Transfer Your Parent’s Assets Today!

NYtimes clip Medicare Caring for Parents and how to protect assets from lawsuits
  • Are you aware of the Medicaid 5-year look back provision?
  • Avoid the Medicaid Nursing Home Spend-Down program saving you tens and thousands of dollars caring for your elderly parents.
  • Avoid the financial disaster of selling off all your parents assets just so they can be accepted in the government-subsidized Medicaid Nursing Home program.
  • Reduce the stress and anxiety giving up everything your parents have worked all their entire life for by easily and simply re-allocating the assets.
“Dear Rocco, if it wasn’t for you, I still would be in the middle of a most unpleasant event. Your persistence of repositioning my assets with three separate Ultra Trusts® definitely saved me from selling pencils on the corner of Broad and 42nd Street in Time Square.”
— Bill W., New York

As your parents begin to age you and your family may have some or all of these concerns BEFORE they enter the nursing home:

  • Downsizing a large household
  • Overcoming anxiety and procrastination
  • Assessing whether to fix up a home or sell “as is”
  • Locating professionals for every step of the moving process
  • Working through family issues
  • Finding the right type of housing
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Ms. Rowe4 is among the legion of adult children of more than 15 million, according to various calculations, who take care of their aging parents, a responsibility that often includes paying for all or part of their housing, medical supplies and incidental expenses. Many costs are out of pocket and largely unnoticed: clothing, home repair, a cellular telephone.Adult children with the largest out-of-pocket expenses are those supervising care long distance, those who hire in-home help and those whose parents have too much money to qualify for government-subsidized Medicaid but not enough to pay for what could be a decade of frailty and dependence. The burden is compounded by ignorance, according to a study by AARP, released in mid-December, which found that most Americans have no idea how much long-term care costs and believe that Medicare pays for it, when it does not.
— NY Times, Jane Gross, December 30, 20062
If any of these issues concern you then you know that the last thing you want to think about is the cost of spending your own money for the vital care of your elderly parents. With all the “little” things that need to get done now you can’t simply hope that Medicaid will cover your elderly parent’s expenses. So it’s best to be prepared WAY in advance to mitigate the stresses of caring for your parents.
Now it’s becoming ever more important that as the baby boomers set to retire they need to know that caring for their elderly parents will become an eventual reality and many are not prepared for it. The financial burdens and the incredible stress of caring for your elderly parents can be overwhelming. There are simple and easy steps you should be taking to reduce this stress and ease the pain and suffering that you and your family may endure when it comes time to care for your aging parents.
The law extends Medicaid’s “lookback” period for all asset transfers to 5 years, it was originally 3 years and changes the start of the penalty period for transferred assets from the date of transfer to the date when the individual transferring the assets enters the nursing home. Or to put it another way, your elderly parents’ assets need to be sold 5 years or longer prior to entering the nursing home and to qualify from the benefits of the Medicaid Nursing Home Program. Qualification to enter the nursing home is achieved when the individual is out of funds, meaning he/she cannot afford to pay the nursing home.
The new federal law applies to all transfers made on or after the date of enactment, February 8, 2006. Any transfer made before February 8 falls under the old transfer rules. Exact enactment provisions are state by state, but it’s clear that non-compliance by 50 state legislatures puts their federal funding at risk.
Don’t become a statistic. Transfer your assets with our rock-solid Ultra Trust®. You need 5 years before your elderly parents can enter into the nursing home program with government assistance so call us now toll-free for a FREE consultation with no obligation, no risk, no sales pressure at 888-93-ULTRA (888-938-5872) to see how we can help.

If You’re a Business Owner then You Should Know Why an LLC, Sole Proprietorship or Incorporation Is NOT Enough-  Learn How to Protect Assets From Lawsuits

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Among the constant criticisms leveled at American civil juries is their record of largesse in the awarding of damages particularly against corporate defendants whose pockets are perceived to be “deeper” than average. In one study of 19,000 U.S. state jury trials in which corporations made up slightly more than a quarter of the defendants, the awards against corporations were found to be 4.4 times those in similar cases involving individual defendants and three times those against government defendants. Such “sympathy verdicts” can be especially high in products liability cases and medical malpractice suits. The median civil jury award rose seventeen percent in 1996.
— 140 H. J. Moskowitz & R.B. Wallace, “Loser-Pays: A Deterrent to Frivolous Claims?” N.Y. L.J., March 7, 1996 at p. 2, cited by Walpin, 1997 at p. 648.
If you own corporate shares, LLC membership units or general partnership units or shares then you own the LLC, Corporation or partnership. This will not avoid any of the frustrating, money-draining probate proceedings, reduce your taxes nor defer capital gains. Neither will it save on estate taxes nor protect you from any lawsuits whether they are frivolous or not. Anybody has the absolute right to sue you for your money and anybody can try and claim a part of it and there is nothing you can do it…UNLESS you have the foolproof, dependable, secure and reliable Ultra Trust® to protect you and your family.
None of these horrible life-draining events can happen if your Ultra Trust® owns your corporate shares, LLC or general partnership shares. The Ultra Trust® is the only asset protection vehicle that can hold an unlimited amount of assets with NO ceiling on the dollar transfer amounts. The Ultra Trust® is the Mercedes-Benz of the asset protection systems.
 Please call us for a FREE consultation at 888-93-ULTRA or directly at (508) 429-0011 to find out the best plan for your business. There is no risk, no obligation and no sales pressure to our calls.

How Much You Save Avoiding Probate

“Short, snappy, and to the point, timely, and directly applicable. The tax deferral strategies and techniques are head and shoulders above what I have seen so far. Please don’t spread it around, I prefer to be one of the top 1%.” — Mario B., Florida
  • Sleep like a baby tonight knowing your assets are safe, secure and protected
  • Step-by-step, Mercedes-Benz client help and support by top management in the business – bonded, licensed professionals
  • Reduce your real estate taxes and mortgage interest taxes
There are many costs involved with Probate including the fact that it is a Public Forum. Everyone will know about what is in your estate and who gets what. In addition, the hard costs are outrageous. These numbers don’t include the personal anguish, frustrations, heart-wrenching feelings you’ll get going through the legal ordeal of the probate process which can last anywhere from 4 months to 3 years or even longer! What This means to you is that the assets cannot be used for potentially years. The emotional stress and the constant never-ending battle and arguments for any legal proceedings has no price to it. But just view these numbers below to get a sense of what it may end up costing you if you don’t have the solid, dependable trusts backed by Estate Street Partners, a team of professionals.
Gross Value of Probate EstateTotal Estimated Average Probate CostsProbate Costs as Percentage of Estate
So even if you had a house worth $800,000 you’d end up paying $50,000 in probate fees – something a simple will cannot protect you from. Here are some more frightening statistics that follow…

Famous People Who Were Not Aware How to Protect Assets From Lawsuits or the Tax Man!

  • Dwight D. Eisenhower
    $2,905,850 estate reduced by $671,420 – a 23% loss!
  • Nat “King” Cole
    $1,876,640 estate reduced by $1,577,740 – an 84% loss!
  • Franklin D. Roosevelt
    $1,940,990 estate reduced by $574,860 – a 29% loss!
  • General George S. Patton
    $844,360 estate reduced by $266,820 – a 31% loss!

— Source: AARP (American Association of Retired Persons)

Do You Wish to be In Poor Astor’s Position?

A true but sad story. Stephen Astor’s mother, Sadie, died in 1999 leaving $1.8 million of assets, half for Astor and his daughter and half for his late brother’s two children. So far, he’s received all of $25,000 in cash and the payment of $90,000 in tuition bills for three of his grandchildren. Yet his remaining share, all held in a trust, is just $500,000; it was whittled away by his share of $420,000 in legal and accounting fees and $490,000 in estate taxes.
3 — Ref. //www.forbes.com/free_forbes/2004/1213/230.html
FeesDatesBilled As
Sadie Astor Estate
$90,0001999-2001Attorney fees
$52,0001999-2001Accounting fees
$25,000July 7, 2000Executor fee
Sadie Astor Trust
$31,3391995-2001Attorney fees
$38,9601995-2001Accounting fees
$112,000December 18, 2000Deferred Trustee fee
$72,399October 31, 2002Legal Defense fees
Sources: Court filings
Poor Astor has so far only received $25,000 and currently lives in a middle-class home in a middle-class neighborhood.
  • If you work with us you won’t be in Astor’s position. You get the best in the business by an award-winning financial planner backed by professional attorneys, tax specialists and accountants who look after you and your family’s best interests
  • You get a total, solid, major layer of protection and safety net against unforeseen lawsuits

We’ll Work with Your Own Lawyer to Teach You How to Protect Assets From Lawsuits

We understand that you may have a good, solid relationship with your lawyer and many years of building trust with him or her. So Estate Street Partners is willing to work with your lawyer(s) and develop a solid, successful financial roadmap for protecting your assets. We will work closely with you and your lawyer to develop a plan for you and maximize your potential for protecting your assets, reducing your capital gains tax, eliminate the hugely expensive probate process, eliminate estate and inheritance taxes and possibly eliminating your income taxes.
  • Maximize your potential to protect your assets
  • Receive more advanced strategies & countless advanced techniques and strategies not found anywhere else
  • You can significantly increase your wealth preservation
  • You receive an international & domestic network of bonded and licensed professionals who are specialists in their area
You will also receive our most advanced strategies that we can implement for you such as designing complex re-allocation of your assets and distribution of your wealth based on set criterion or offshore asset protection strategies and planning. For instance, you may specify that in order for your children to inherit a portion of your money by the time they reach a certain age and after they have completed college or they may be restricted to use the money only for their college education. Additionally, you can receive the best foreign asset protection strategies offering you extra layers of protection from frivolous lawsuits and creditors.
There are countless advanced techniques that your lawyer may or may not know. Your lawyer has acquired a certain set of skills and has become a specialist in certain areas. However, the reality is no lawyer or no one person can be a “jack of all trades” expert. You’ve hired your lawyer because he or she is an expert at one thing not because he can also devise a complete and complex asset protection system for you or understand every intricate detail including everything there is to know about every foreign accounting policies.
With Estate Street Partners you will receive an international and domestic network of bonded and licensed professionals to maximize your tax efficiencies and asset protection so you siginificantly increase your wealth preservation.
Don’t take your chances unnecessarily. You can call us for a completely FREE consultation toll-free at 888-93-ULTRA (888-938-5872). There is absolutely no risk, no obligation and no sales pressures to our call. And you benefit with total privacy and confidentiality.

Why NOT to Look for the Cheapest Attorney for Your Trust…

“Dear Mr. Beatrice: The information I learned from you is absolutely invaluable. I have listened to many “asset protection” attorneys. Their way of providing business asset protection is to buy more liability insurance and to eliminate the estate tax is to buy more life insurance. You don’t think they have a retainer contract with the insurance companies, do you? You’re underselling yourself. The topic of asset protection, probate elimination, and estate tax elimination is complicated, you have found a way to simplify with one ‘Ultra Trust®.'”
— Jeremy K., California
You’ve heard of the old adage, “You get for what you pay for”. Well, this applies so much when paying for a low-cost lawyer who only sees one perspective and cannot see the bigger picture to give you a clear roadmap for financial stability and success. The bottom line is the contract your lawyer gives is only as good as the words typed on the paper. Without the advice of a top team of professionals and an award-winning trust and estate-planning expert on board, a one-person lawyer simply cannot match.
  • Will you sleep soundly with your hundreds of thousands of dollars or even millions of dollars worth of assets on just a few pages of paper?
  • Does your lawyer completely understand all aspects of financial planning including the more advanced, complex strategies and the intricacies of offshore asset protection and liabilities specifically engineered for your needs?
  • Do you want to take your chances on your hard-earned money and assets you’ve worked your entire life for day in and day out just to save a few bucks?
  • Does your lawyer understand Foreign Asset Protection Trust or how the Medicaid nursing home spend-down affects you and your family?
  • Avoid the financial-draining, life-draining, frustrating and full-of-headache processes of the legal probate process usually lasting 4 months to 3 years
Estate Street Partners understand your needs and understand what you need for solid, surefire protection, privacy and stability during and after your life.
We are unequaled. We are unmatched.

You Get the Best in the Business with an Award-Winning Trust and Estate Planning Experts

” Mr. Beatrice, I didn’t know those tax saving concepts even existed. Thank you for taking the time to explain it to me in everyday language without the professional jargon.”
— Karl K., Florida
You will receive the “Mercedes-Benz” treatment for total and complete privacy with client/attorney privileges and a team of professionals will manage your assets. Our team is composed of an award-winning Trust and Estate Planning Expert, a Top Team of Professional Accountants, Appraisers, Attorneys and Wealth Management Personnel to Service Your Personal Needs who wish for Superior, Uncompromising and High-Yielding Financial Goals.
  • Fast, Effective, Personal Service yet Uncompromising security and privacy
  • Credible, award-winning financial planner so you receive premium security, privacy and protection
  • Complete asset protection for high-liability companies such as investment firms, mutual fund brokers or bankers

Your Personal, Exclusive, Alternative, Chartered Roadmap to Substantial Success

We pride ourselves to be the best and provide you with a fast, step-by-step optimal blueprint for whatever your needs are in asset protection and when it comes to securing your privacy you receive nothing but the best in the business. All our clients have a discerning and discriminating eye for exceptional detail which inevitably lead to an exclusive, alternative, chartered roadmap to substantial & accelerated success with our premium Ultra Trust®.
  • Do you need to expand your business overseas to Hong Kong, China, India or anywhere else in the world?
  • Have you lost your merchant account because of charge backs or some other excuse the banks gave you?
  • Do you need to learn how to protect assets from lawsuits with the best asset protection TODAY and NOW? You’ll receive FAST, Effective and Superior, Uncompromising asset protection

Why You’ll Get the Best Roadmap for Successful Privacy and Learn How to Protect Assets From Lawsuits

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They just don’t teach this stuff in college. Some of these guys walk around with business cards indicating international business but they just don’t have a clue on how to conduct business in a foreign country. They read textbooks and they try to apply textbook principles but some of them have never worked in business or left the country. They never heard of an IBC or Foreign Asset Protection Trusts or double stacking trusts or U.S. reporting requirements. Their only advice is to talk to your accountant or lawyer. Wait a minute are they not the educators?”
— Edward K. Colorado
  • Defer your taxes till it’s more convenient for you and do it legally
  • Chartered blueprint for successful transfer of your wealth with optimal tax efficiency
  • Step-by-step consultation with unlimited support
You will save thousands of dollars with our “Full-Service Premium System” of asset protection and financial management. Consider the value of everything you will receive as a Full-Service Client…
Most lawyers charge by the hour and when they issue you a contract they give it to you then basically leave everything in your hands. I’ve seen lawyers charge as low as $2,000 but it’s not worth the paper it’s typed on. It was literally only 5 pages.
Do you really want to trust your entire fortune and life on only 5 pages of legal advice and someone who only charged you $2,000? If you paid someone $2,000 could you walk away knowing that the person would protect hundreds of thousands of dollars or millions of dollars worth of your assets? Could you really sleep like a baby with this looming over your head day in and day out? I know I wouldn’t.
You alone pay your home insurance $40,000 over your lifetime (average cost of house insurance over 20 years is $2,000 per year on a $900,000 home. Multiply this number by 20 years equals $40,000). Your life insurance policy over a lifetime could be a staggering $250,000 (based on the average life insurance time table of $10,000 per year for a male after 55 years of age for a $500,000-$750,000 life insurance policy with 25 years left till death) and just for a simple thing as installing an alarm system for your home is $150 per year so over your home’s lifetime of, say, 20 years you pay approximately $3,000. And this is only for an alarm system.
The alarm system, though, important won’t save you from the probate procedure; it won’t reduce your capital gains tax nor your income tax; the alarm system can’t eliminate your estate or inheritance tax; it surely can’t devise any complex and advanced offshore asset protection strategies nor provide you with a sense of security knowing your money and assets are secure; it doesn’t have the advantages of a pool of international and domestic bonded and licensed professionals ready to help you with superior estate planning and asset protection; lastly, it doesn’t save you from the Medicaid nursing home spend-down program when you or your spouse need to be admitted to a nursing home. You think your lifetime’s worth of hard work is worth more than $2,000 or even $3,000 and 5 pieces of paper? I won’t answer this because we all know the answer to this one.
So let’s think about a low-cost lawyer who charges $2,000 to protect ALL your assets and money that you’ve worked so hard your entire life for, waking up when you didn’t want to, feeling totally drained but you needed to work to pay down that mortgage or help pay for your son’s or daughter’s college. So do you feel TOTALLY and COMPLETELY SAFE and SECURE knowing ALL your assets are a surefire bulletproof protection system when the weather starts to get rough?

Sleep Like a Baby Tonight…

“As an insurance agent/broker I’ve gone through a lot of courses looking for this information. Your knowledge and crystal clear advice helped me improve upon the advice I give my clients.”
— John S., Massachusetts
  • Save thousands of dollars by saving you and your senior parents from the nursing home spend-down program
  • Reduce your income tax by up to 20 years
  • Instantly eliminate your estate taxes
Consider who will be working with you closely to help cater to your specific needs and customize a complete, rock-solid roadmap to ensure you are protected and totally safe from civil lawsuits whether it’s frivolous or not. You will not receive just ONE PERSPECTIVE OF one attorney or one accountant or one financial planner. You literally have a team of professionals furiously working hard so YOU CAN SLEEP LIKE A BABY at night.
If we broke the individual costs down, you would pay an accountant an average of $300 for nth amount of work hours and $400 for an average financial planner (a top financial planner charges a minimum of $700 and commissions of 2% of your assets) and then an average one-person attorney would cost you $2,000. Add this up and it’ll end up costing you $2,700 and this is YOU doing ALL the work and YOU will have to ensure that ALL the pieces fit together.
So you’ve saved some money to protect ALL your assets worth hundreds of thousands of dollars or even millions. Do you feel SAFE and SECURE with a do-it-yourself approach?
Any mishap in your contract, any mistake or any missing sentence could render your entire contract COMPLETELY USELESS and VOID. If you paid for home insurance and you saved a $100 a year from a low-cost insurance agency and you lived in the Katrina disaster region but you weren’t covered for flood and water damage what good is that savings to you? Likewise, if you paid a low-cost attorney who ONLY sees ONE PERSPECTIVE and doesn’t see the ENTIRE PICTURE of your needs and there is one or two vitally important sentences missing then you could lose EVERYTHING!
Why take your chance?
Four years ago, a gentleman in Florida called me up who was on his deathbed. He had real estate holdings and businesses with a net worth of more than $12M. He decided not to pursue my recommendations and instead chose to go to his local attorney who created a 2 page revocable trust that cost him $2,000. On his death, the family was forced to liquidate the business and sell the real estate at fire-sale prices in order to pay the IRS $6.5M in estate taxes.
They ended up with only $2M after the forced sale of assets. If we view this from a purely monetary perspective, was saving a couple of thousand dollars really worth $6.5M? We have to think about ALL the stress, the frustrations, sleepless nights, the legal back and forth talks, the arguments and disagreements on the home front and the ulcers and heart-wrenching feeling they had to live through. It is a decision that the family will have to live with the rest of their life.
You don’t have to go through this ordeal! You’ll know that an award-winning financial planner and a team of professionals will customize a winning and successful financial plan suitable to your needs and build you a SUBSTANTIALLY MORE SECURE asset protection blueprint for your success. Why leave take any chances on something you’ve worked so hard for your entire life?

Our Guarantee: We Don’t Waste Your Valuable Time

“Rocco, I have known you since a little boy from Italy. Then you counted on me for education advice, now the roles are reversed. I rely on you for financial advice to protect what I have left for my family. I wanted to let you know I’ve read your material on the Ultra Trust®, word for word; I find it to be very well laid out, easy to comprehend, and compelling to action There’s absolutely no excuse for delaying the implementation of an asset protection fortress.”
— Joe P., Massachusetts
  • FREE consultation, no obligation and no pressure with total transparency in a step-by-step, clear, successful, easy-to-understand direction and time line
  • Professional, superior and uncompromising financial wealth management
If you believe that I’ve wasted your time and that you’ve learned nothing from me or my FREE seminars or my eBook then I’ll pay you! If you don’t get enough solid, practical, full of meat information from my FREE seminars, my book or from talking with me about your specific personal financial goals and wealth management strategies then I’ll pay $50 dollars to the Habitat for Humanity. Yes, I’ll pay out of my own pocket just for listening to me. That’s how confident that I can help in the finding the right plan for you. Call me today at this toll-free number 888-93-ULTRA (888-938-5872). I’ll give you no sales pressure. This call is risk-free and there’s absolutely no obligation. So why not call right now to how to protect assets from lawsuits?

Learn More on How to Protect Assets From Lawsuits the Right Way 

Option 1:

Call this toll-free number 888-93-ULTRA (888-938-5872) and talk to me directly and learn how Estate Street Partners and my entire team can help you reach your financial goals whether it’s to avoid probate, eliminate your estate taxes, reduce your capital gains, eliminate your income taxes, devise a complex asset protection system, avoid the Medicaid spend-down, protect your assets offshore or any other advanced financial strategy. You don’t get any sales person pressure from me. Just speak to me about your personalized needs. No risk. No sales pressure. No obligations. Just FREE information for you to make the right decision.


Option 2:

Click this video link play video button-tutorial how to protect assets from lawsuits to view a video anytime it’s convenient for you. (Please be patient and allow 30 seconds to download this video. Another window will open. Thank you for your patience.) You’ll learn more about which trust is most suitable for you, the tax-savings tips and deferrals you can get, how a foreign asset protection trust can help in your circumstance, what are the Medicaid restrictions and regulations and what you can do about it and much more jam-packed information.

  • Learn tax-savings tips and tax deferrals strategies
  • How the Medicaid affects you and your elderly parents
  • How Medicaid Nursing Home Spend-Down program can significantly impact your finances and your life
  • When setting up a Foreign Asset Protection Trust is ideal for you
  • Which trust is most suitable for you
  • And so much more…

Bonuses Worth Thousands of Dollars When You Learn How to Protect Assets From Lawsuits

  1. FREE Book Delivered Straight to Your Door on “How You can Save Even More Money with Property Tax-Saving Tips and Asset Re-Allocation”. This book alone can save you thousands of dollars.
  2. Bonus offer Partner Medical Rights (retail value $750).
    The Florida family Schiavo national tragedy would not have occurred as played out in the courts of Florida, the White House and Congress if they had purchased the medical directive. That is the strength of my work.
    PMR™ allows you to grant your guardian many rights:
    • Avoid frustrations by allowing your guardian first priority for visitation in hospitals
    • Make them feel at ease by receiving information about your conditions
    • Give them control by authorizing medical treatment if you are ever incapacitated
    • You authorize for them to release your remains from a hospital
    • Empower your guardian to make provisions for services and last requests
    Did you know that more than 80% of Americans die in a hospital or other care facility? In a medical emergency or crisis, Partner Medical Rights™ may save your life by allowing your guardian to make the proper medical choices immediately and ensure that you receive the appropriate care and treatment without court challenges.
    By law, doctors must consult an immediate family member to decide on medical treatment. Your family might make decisions that do not conform to what you want or have planned for. Problems arise when your spouse and family members have conflicting views about the necessary and appropriate medical treatment.
    In many scenarios these battles wind up in court with a judge, who may have limited medical knowledge and no familiarity with your medical preferences, deciding on your medical treatment. Such legal battles are expensive, time-consuming, and have great emotional repercussions. It can even be life threatening in an impending medical emergency.
    This is precisely what happened in the Shiavo tragedy in Florida in 2006.
    With the care and foresight to plan ahead with Partner Medical Rights™, these emotionally anguishing legal, lengthy battles can be avoided.
    You receive this as a FREE gift only from Estate Street Partners valued at $750 in legal fees. You save money; you regain total control of your life and leave the outcome to your loved ones as you wished it to be.
  3. Bonus offer Partner Financial Rights (retail value $750).
    Are you able to take care of these types of transactions now? Do you have financial responsibilities?
    It is critical for you to know that without the Partner Financial Rights no one will be able to manage your finances. Unless a guardianship proceeding is filed in court, your closest biological family members can have priority of appointment over your loved one.
    Plan ahead and protect yourselves. It will help you make the financial decisions of your relationship without running the risk of being challenged by relatives for misappropriation of funds. Nobody wants legal entanglements to tie up their finances for months or even years.
    It is important to carefully choose a person you trust for your PFR™ due to the enormity of financial control you will give. With that said, we remind you that limiting the power given to your agent/guardian is a feature addressed in detail within the Partner Financial Rights™ document.
You receive this valuable gift which normally sells for $750 absolutely FREE as another bonus from me.

…everything to gain!

blue arrow pointing downJack Love, a victim of probate, was lead into a 9 year long probate battle of $1 million in cash left by his deceased wife of 46 years who passed away of Alzheimer’s. He only had a short two page will which ended up costing him $800,000 of that $1 million during the 9 years of probate proceedings. In addition, during probate they held his stock which lost $179,000 and held $500,000 in cash which resulted in $4.5 million loss in real estate because he couldn’t meet the notes. The $800,000 was distributed to the bank’s attorney, the probate attorney and the probate judge. In 2003, Jack’s housekeeper of 15 years ran into the bank attorney out in town. He laughed at her boasting that everyone spoke of the Love estate as the “Love Boat” because everyone was in it for the ride. By the way, Jack Love is 92 years old and living in just a middleclass home.
— James Banks “Creating Wealth Through Probate: The Best-Kept Secret in Real Estate Investing”
Here are the many benefits you’ll enjoy and reap by getting the best in your financial planning goals, blueprint of wealth management, superior asset protection and exclusive privacy:
  • Learn time-saving tips with a clear, personal roadmap for your success
  • Save tens and thousands of dollars in legal, accounting and appraisal fees by avoiding probate, reducing and/or eliminating your estate taxes, capital gains tax, income taxes
  • Reduce your stress, headaches and frustrations by knowing what your best options are
  • Avoid the lengthy and costly court proceedings
  • Increase you and your parent’s health and happiness with the government-subsidized Medicaid program
  • How to avoid being excluded from the Medicaid assistance program
  • Enjoy more restful nights knowing that you have the knowledge you need for your future’s financial well-being and wealth
  • Feel at ease knowing you are getting FREE information from an award-winning trust and estate-planning expert
  • International team of bonded license professionals catering to your personal needs
  • Increase your income by possibly reducing your income taxes
  • Reduce your taxes and make larger contributions to your retirement
  • Save on taxes by setting up Family Partnerships so it can be passed on with less tax liabilities
  • Exceptional wealth preserving strategies, avoiding taxes and a chartered asset protection
  • Secure, Stable, long-term income and healthy cash management
  • Flexibility so you can choose your lawyer if you desire
So call us now for a discussion on how Estate Street Partners can help teach you how to protect assets from lawsuits in your long-term, secure and stable financial growth. There is absolutely no obligation, no risk and no sales pressures and the call is FREE! Don’t delay. Call right now!  (508) 429-0011

Rocco Beatrice, award-winning trust & estate-planning expert

MS – Taxation, Master of Science Taxation

MBA – Management / Taxation

BSBA – Management / Accounting

CPA – Certified Public Accountant

71 Commercial Street #150 Boston, MA 02109

tel: +1.508.429.0011 fax: +1.508.429.3034

Brilliant tax deductions and essential wealth building ideas, that’s what I learned from you. When it comes to protecting assets, minimizing tax bites, and avoiding voluntary probate, there’s just not enough accessible good information out there. Thank you for taking the time and to make hear what I was not listening.
— Robert W., Michigan
PS – Remember, you receive the Partner Medical Rights and the Partner Financial Rights both valued at $1,500 when you order any trust from Estate Street Partners.
Plus, Estate Street Partners has split the payments in to easy monthly installments so you can get top privacy and asset protection for a clear financial and successful roadmap.
You’ll have all of this backed by financial strategies of an award-winning trust and estate planning expert and a team of bonded and licensed professional attorneys, tax specialists and accountants to give you the best secure and stable long-term wealth management.
There is no obligation, no sales pressure, no risk. Simply pick up the phone right now and call (508) 429-0011.
Mr. Beatrice, Thank you for taking my call. It allowed me to really understand why the attorney who spoke at an “asset protection” seminar the other night really doesn’t seem to understand asset protection; a scary thought! If I were just sitting in the audience without ever studying this stuff I would view him as an expert and go with what he tells me!!! Thank goodness I learned the best way how to protect assets from lawsuits from you and your team.
— Bob D., Massachusetts

2 – //www.nytimes.com/2006/12/30/us/30support.html

3 – //www.forbes.com/free_forbes/2004/1213/230.html

4 – not her real name

Compare chart Irrevocable Trust, Revocable Living Trust, Non-Grantor Trust, LLC

Posted on: January 21, 2019 at 2:39 am, in

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For those of you not familiar with the 2005 Tax Reduction Act, some of the provisions address specific transfers by seniors under the new Medicaid nursing home provisions. Under the new provisions, before seniors qualify for Medicare assistance into a nursing home, they must spend-down their assets. These new restriction have a 5-year look-back. The look-back used to be 3 years.
By a vote of 216-214, the U.S. House of Representatives passed budget legislation that will impose punitive new restrictions on the ability of the elderly to transfer assets before qualifying for Medicaid coverage of nursing home care. Act of 2005, click on PDF: Deficit Reduction Act 2005. Search for “transfer of assets provision” in the pdf document.

What’s Medicaid?

What’s Medicaid? Medicaid is a government assistance program for people over the age of 65 or who are disabled. Medicaid assistance was designed for those who could not afford medical expenses (for the poor) but Medicaid has become the default for the middle class. The middle class has become the new poor.
Medicaid estate planning and Medicaid rules are complicated. The government is mandating a 5-year look-back on any transfers you may have made to disqualify you from entering the nursing home. Before the 2005 Tax Reduction Act it was 3 years. The transfer of any assets by the elderly has taken a notation of a “fraudulent conveyance” or in government parlance “deprivation of resources.” These new rules are spousal impoverishment programs designed to punish the healthy spouse. If one of the spouses gets sick, all resources have to be spent before you can qualify for government assistance. These new restrictive rules punish the healthy spouse leaving the healthy spouse at the mercy of welfare or her children. It’s very humiliating when seniors have planned their retirement based on their ability to keep their home.

Assets That You Must Spend Down Before You Can Qualify for Nursing Home Assistance:

ANYTHING YOU OWN IN YOUR NAME OR TOGETHER WITH YOUR SPOUSE. Cash, savings, checking, certificate of deposits, U.S. Savings bonds, credit union shares, Individual Retirement Accounts (IRA), nursing home trust funds, annuities, living revocable trust assets, any revocable Medicaid estate planning trust, real property occupied as a home, other real estate you hold as investment property or income producing property, cash surrender value of your life insurance policy, face value of your life insurance policy, household goods and effects, artwork, burial spaces, burial funds, prepaid burial if they can be canceled, motor vehicles, land contracts, life estate in real property, trailer, mobile home, business and business property, ANYTHING IN YOUR NAME OR YOUR POSESSION.

What is “Fraudulent Conveyance” in Medicaid Estate Planning?

What do you mean by “fraudulent conveyance” or “deprivation of resources”? If you give away your assets and you do not receive an equal amount (value) in return, the transfer is a deprivation of resources and you have committed a fraudulent transfer, (you give your house to your children for $100.00 when the fair cash value of your home is i.e. $150,000). If you gave your house to your children for $100 sixty months (5 years) before you entered the nursing home, you “deprived your resources” from the nursing home expenses. Unwittingly, you also incurred a gift tax on the difference between the $100.00 and the $150,000 and in addition you may have cheated the government out of Estate Taxes.

Federal Gift Tax Rules in Medicaid Asset Protection & Estate Planning:

The federal gift tax rules apply to the transfer by gift of any property. You make a gift if you give property (including money), or give the use of property, or give the income from property without expecting to receive something of at least equal value in return. If you sell something at less than its full value or if you make an interest-free or reduced-interest loan, you may be making a gift.
The general gift tax rules are that any gift is a taxable gift. However, there are many exceptions to this rule. Generally, the following gifts are not taxable gifts:
  • Gifts that are not more than the annual $12,000 $13,000 exclusion for the calendar year beginning in 2006 (This is called the Annual gift tax exclusion for any 12 month period, see below).
  • Tuition or medical expenses you pay directly to a medical or educational institution for someone,
  • Gifts to your spouse,
  • Gifts to a political organization for its use, and
  • Gifts to charities.
  • Annual gift tax exclusion. A separate annual gift tax exclusion applies to each person to whom you make a gift. For 2007 2010, the annual gift tax exclusion is $12,000 $13,000. Therefore, you generally can give up to $12,000 $13,000 each to any number of people in 2007 2010 and none of the gifts will be taxable. However, gifts of future interests cannot be excluded under the annual exclusion provisions. A gift of a future interest is a gift that is limited so that its use, possession, or enjoyment will begin at some point in the future. A federal Gift Tax return is filed on form 709 for taxable gifts in excess of the annual exclusion.

Filing a Gift Tax Return:

Generally, you must file a gift tax return on Form 709 if any of the following apply:
  • You gave gifts to at least one person (other than your spouse) that have a fair “cash” value of more than the annual exclusion of $12,000 $13,000 for the tax year 2007 2010.
  • You and your spouse are splitting a gift.
  • You gave your spouse an interest in property that will be ended by some future event.
  • Your entire interest in property, if no other interest has been transferred for less than adequate consideration (less than its fair “cash” value) or for other than a charitable use; or
  • A qualified conservation contribution that is a restriction (granted forever) on the use of real property.

Estate Tax & Senior Medicaid Estate Planning:

Estate tax may apply to your taxable estate at your death. Your taxable estate is your gross estate less allowable deductions. On the date of your death, everything in your name is taxable. Take inventory of what you own: Cash, Savings and checking accounts, CDs, Stocks, Mutual Funds, Bonds, Treasuries, Exempts, Jewelry, Cars, Stamps, Boats, Paintings, and other collectibles, Real Estate … main home, vacation spot, investment realty, your Business, Interests in other businesses, Limited Partnerships, Partnerships, Mortgages and notes receivable you hold, Retirement plan benefits, IRAs, or any amounts that you expect to inherit from others.
Many people prefer not to think about what will happen on their death, but none of us are immortal and failure to make proper plans can mean that we leave behind is a mess which has to be sorted out by our nearest and dearest, at great expense and inconvenience, at a time when they are emotionally bankrupt.
Your federal death (estate) tax, up to 55%, is based on the “fair cash value” of your property on the date of your death, not what you originally paid. State probate and death taxes are based on the “location” of your property. Thus, if you own property in different states, each state has to be probated and each will want their fair share.
The only real alternative to a will arrangement is to set up a trust structure during lifetime which, with careful planning, can operate to eradicate probate delays, administration costs, and taxes as well as giving a large number of additional benefits. For these reasons the use of trusts has increased dramatically.

What is Your Gross Estate?

Your gross estate includes the value of all property in which you had an interest at the time of death. Your gross estate also will include the following:
  • Life insurance proceeds payable to your estate or, if you owned the policy, to your heirs;
  • The value of certain annuities payable to your estate or your heirs; and
  • The value of certain property you transferred within 3 years before your death.

What is Taxable Estate?

The allowable deductions used in determining your taxable estate include:
  • Funeral expenses paid out of your estate,
  • Debts you owed at the time of death,
  • The marital deduction (generally, the value of the property that passes from your estate to your surviving spouse), and
  • The charitable deduction (generally, the value of the property that passes from your estate to the United States, any state, a political subdivision of a state, or to a qualifying charity for exclusively charitable purposes).

The following table applies to Gift Taxes and Estate Taxes (REPEALED in 2010):

If you die in tax yearTaxable Estate ExemptionGift Tax ExemptionEstate Tax
13 times in 32 years, congress has changed the rules. Congress is always tinkering with the “Death Transfer Tax.” For more information on what is included in your gross estate and the allowable deductions, see Form 706.

Medicaid Asset Protection 60 months Before Qualifying for Nursing Home:

You can avoid all of the above unpleasant results and filing requirements with an irrevocable trust implemented 60 months before you plan to qualify for the nursing home. By repositioning your assets (transferring your assets) from you to an irrevocable trust, you will NO longer own the assets:
  • you don’t qualify for the probate process, and
  • you do not have to file an estate tax return,
  • because on the date you qualify for the nursing home you do NOT own any assets,
  • at the time of your death you do NOT own any assets for the probate process,
  • and at the date of your death you do NOT own any assets to report on your estate tax return.
Set up a Personalized, Court-Tested Medicaid Trust now in only a few hours