Asset Protection Services in Honolulu

Understanding Asset Protection

Asset protection is the safeguarding of your valuable possessions against potential creditors, lawsuits, and unexpected events. In Honolulu, various legal strategies can help achieve this:

1. Trusts: Trusts separate legal ownership from beneficial enjoyment, making assets unreachable to creditors.
2. Business Entities: LLCs and corporations protect assets by separating personal property from business liabilities.
3. Strategic Transfers: Moving assets to family members or trusted individuals can shield them from your name, but specific conditions apply.

Importance of an Asset Protection Attorney in Honolulu

Asset protection demands expert guidance. An experienced asset protection attorney in Honolulu can:

1. Assess Assets: Conduct a thorough review of your real estate, investments, and business interests.
2. Tailor Strategies: Develop customized plans based on your individual needs and goals.
3. Handle Legal Documentation: Draft necessary documents, such as trust agreements and business formation documents, while ensuring compliance with laws.
4. Monitor and Update: Provide ongoing monitoring and updates to adapt to changing circumstances.

Types of Asset Protection Trusts in Honolulu

Various trusts offer asset protection, two common types are:

Asset Protection Trust

An irrevocable trust created to safeguard assets for the settlor’s benefit. Creditors cannot access the assets due to the settlor’s relinquished ownership.

Medicaid Asset Protection Trust (MAPT)

A specialized irrevocable trust designed to protect assets from Medicaid estate recovery. It allows for asset transfer and initiates the five-year lookback period for Medicaid eligibility.

Note: The settlor cannot act as both the trustee and beneficiary of a MAPT.