It is common for Massachusetts residents and those elsewhere to form attachments to their property. They may want to keep certain assets for sentimental reasons or because they are valuable. In some cases, individuals want to protect their assets for future generations. When it comes to asset protection, having an estate plan is vital.
Individuals in this situation have already taken one of the first steps of estate planning, which involves identifying a goal. Asset protection is a common goal with which planning ahead can help. Of course, another important step is to identify assets and what needs protecting. This step may include reviewing property that is owned independently and jointly. It is also important not to forget monetary accounts or assets like life insurance policies.
Another important factor of protecting assets is understanding risks to the property. In some cases, parties may eventually need long-term care, and this type of care could easily eat away at funds due to the high costs. Of course, creditors could also come calling if outstanding debts exist, and even after a person’s demise, the remaining assets may go to those creditors with the highest priority.
Fortunately, estate planning offers many tools that can help with asset protection. Trusts can remove property from the estate and typically keep those assets out of the reach of creditors or other claimants. Other protection methods could also be put in place, and interested Massachusetts residents may want to take the time to gain more information on these methods by speaking with knowledgeable attorneys.