April 26, 2022

Asset Protection in Florida: Protecting Your Hard Earned Assets

Posted by Bishop L. Toups | In Asset Protection

What Does it Mean to Take Asset Protection Measures?

Asset protection planning is when you structure your assets and your wealth in a way that safeguards it against future creditors and litigants who could have claims against it. Unfortunately, we live in a Country where individuals will sue each other at the slightest provocation—creating months (or years) of extreme stress, incredibly high legal fees, and with the end potential of depriving you of your hard earned wealth.

Asset protection planning should be intertwined with good estate planning here in Florida. Good asset protection planning not only helps protect your assets against future lawsuits, but it also protects your assets from going through the probate court system here in Florida.

Probate in Florida is another trap that many residents fall into because they don’t do the proper estate planning.

An experienced asset protection attorney will be able to review your assets, examine all potential future creditors, and create an asset protection plan that helps safeguard your wealth. Business professionals and non-business professionals face a minefield of potential creditors here in Florida:

  1. You could be sued by a past or current business partner or associate
  2. You could face liability and obligations for student loans, business loans, traditional consumer debt, and other guarantees
  3. You could be sued after getting into a car accident that may or may not have been your fault
  4. You could be sued when someone else who is driving your vehicle gets into a car accident
  5. You could be sued by Medicaid for nursing home costs
  6. If you’re a business owner, you could be sued by a past, current, or future client
  7. You could face liability for taxes, such as income taxes, withholding taxes, FICA taxes, etc.
  8. You could be sued by a former spouse

The best time to think about asset protection planning is now. Many people only think about asset protection planning when they are being sued. Unfortunately, it is often too late at that point to do any sort of asset protection.

Asset protection planning done well in advance will allow you to properly safeguard your wealth against the multitude of potential lawsuits we face on a daily basis.

If you’re looking to safeguard your assets against future lawsuits, the skilled asset protections attorneys at at Daily, Montfort & Toups can create an effective plan through proper estate planning to protect your assets.

We are a Veteran owned law firm and have offices in Sarasota, Venice, St. Petersburg, Osprey, and Clearwater, Fliroda. You can schedule your free consultation today.

How to Protect Yourself From Creditors in Florida

Thankfully, Florida has some of the best asset protection laws in the country. We use a number of different techniques to protect your assets from creditors here in Florida. These techniques include:

  1. Protected Florida Homestead
  2. Owning Assets as Tenants by the Entireties as a Married Couple
  3. Use of Florida Multi Member LLCs
  4. Offshore Trusts
  5. Establishing Retirement Accounts and Purchasing Insurance/Annuities
  6. Special Needs Trusts for Disabled Beneficiaries
  7. Irrevocable Trusts
  8. Third-party Spend Thrift Trusts (Trusts for Beneficiaries)
  9. Medicaid Planning to Protect Assets from the Nursing Home
  10. Adequate Insurance as a First Layer of Defense
  11. Making Sure Vehicles, Boats, and RVs are Titled Properly to Minimize Liability
  12. Structuring Assets to Avoid Probate in Florida

Using all of these techniques properly can make the difference between losing your hard earned assets to lawsuits. By planning ahead and doing the proper asset protection planning, you won’t put yourself in a situation where it’s too late to protect your assets when you’re served with a lawsuit.

We highly recommend that you consult with a skilled asset protection attorney to review your current planning.

If you’re looking to safeguard your assets against future lawsuits, the skilled asset protections attorneys at at Daily, Montfort & Toups can create an effective plan through proper estate planning to protect your assets.

We are a Veteran owned law firm and have offices in Sarasota, Venice, St. Petersburg, Osprey, and Clearwater, Fliroda. You can schedule your free consultation today.


Common Questions Around Asset Protection Planning


Is Asset Protection Really Important if I Don’t Have Millions?

We believe that asset protection is important for anyone living in Florida since we live in such a litigious country. One bad lawsuit stemming from a car accident—caused by you, your spouse, or your child—that exceeds your insurance coverage could wipe out all of your hard earned assets.

Thankfully, Florida has some of the best asset protection laws in the country. Asset protection often involves just taking advantage of some of these laws here in Florida and learning how to properly structure your assets through homestead, retirement accounts, tenants by the entireties, etc.

Is Asset Protection Legal?

Yes, asset protection here in Florida is completely legal. Good asset protection just involves taking advantage of laws that are already on the book and structuring assets properly so that you can deter future lawsuits.

Is Asset Protection a Substitute for Insurance?

No. We believe that insurance should always be the first line of defense due to the low cost of insurance. Having both adequate insurance and proper asset protection provides you with the most amount of protection.

Will I Avoid Lawsuit Threats if I Engage in Asset Protection?

Proper asset protection will strongly deter potential creditors once they realize that your assets are structured in such a way that they would be unable to collect your assets after receiving a judgment.

Does My Revocable Trust Protect My Assets?

No. Revocable trusts do not provide you with any asset protection since you have full control over your revocable trust.

Revocable trusts are often used in combination with good asset protection so that your assets do not go through the probate process if you pass away.

Bishop L. Toups

Bishop L. Toups is an estate planning, elder law, and tax attorney in Southwest Florida.

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