by Ann Zuraw | Featured Contributor
You spent years working hard to build your business and have acquired a substantial amount of assets. Your wedding day is approaching, and you’re excited about your future, but have you thought about protecting your assets in the event you become a statistic. Currently, 50% of marriages fail.
Should you keep assets separate and will you disclose the total value of your personal assets? What if you become a statistic of a failed marriage, will you be protected? Or are you leaving yourself vulnerable to losing half of your property?
Many individuals concerned about protecting assets consider a prenuptial agreement, but not many follow through due to its unromantic connotation. Did you know a prenuptial agreement discloses the value of both of your assets and it’s not easy to enforce or sign?
In a second marriage, a prenuptial agreement would not protect you from having to pay for your spouse’s medical expenses. Alzheimer’s care can cost upwards of $9000 a month at a 24-hour care facility and can quickly drain your assets.
NOW THERE IS A BETTER OPTION, consider using a “Domestic Asset Protection Trust.” It will protect and control your assets using a situs (the place to which, for purposes of legal jurisdiction or taxation, a property belongs) of South Dakota, and you do not have to be a resident of South Dakota.
Below are some of the Advantages of South Dakota Trust:
- Privacy – trust documents are not required to be filed as a public record.
- Flexible and Amendable – can be revised as life and goals change.
- No state income taxes – when income is not distributed.
- Keep control of assets – maximum flexibility and control regarding the trust’s asset allocation, diversification, investment management, and distributions.
- Asset protection – from creditors, lawsuits, and ex-spouses. Assets include securities, insurance, art, Family limited partnerships, LLCs, real estate.
- Lower cost structure – allows for the Trustee duties to be bifurcated.