How to Evaluate Your Asset Protection Needs

Evaluating your asset protection needs requires an understanding of Ohio law and the potential threats that could put your property, investments, or business interests at risk.

At the Law Offices of DuPont and Blumenstiel, we work with individuals and business owners throughout Ohio to protect their wealth from unforeseen risks. Asset protection is more than just a strategy; it’s an essential approach to preserving what you have built. 

Asset Protection Under Ohio Law

Ohio offers a variety of legal tools to help shield assets from creditors, lawsuits, and other financial risks. The laws governing asset protection in Ohio provide options for both individuals and businesses to safeguard their wealth through proactive legal structures. 

When assessing your asset protection needs, it’s crucial to review your financial holdings, potential liabilities, and the appropriate legal safeguards available.

One of the first considerations is Ohio’s exemption laws. These statutes dictate which assets creditors cannot seize, such as certain retirement accounts, a portion of home equity, and specific personal property. 

A thorough review of these exemptions helps determine how much of your wealth is already protected under Ohio law and how much requires additional planning.

Evaluating Your Personal Asset Protection Needs

For individuals, asset protection involves shielding personal wealth from risks such as lawsuits, medical bills, or unexpected financial downturns. Ohio recognizes various forms of ownership and trust structures that can enhance protection.

One effective strategy is using trusts. An irrevocable trust, for example, can remove assets from personal ownership, making them less accessible to creditors. Ohio also allows for the creation of Domestic Asset Protection Trusts (DAPT), which provide another layer of security by legally distancing assets from potential claims.

Another factor to consider is liability exposure. If you own rental properties or engage in a profession with higher lawsuit risks, additional protection measures, such as forming an LLC or securing umbrella insurance policies, may be appropriate.

Asset Protection for Business Owners

Business owners face unique asset protection challenges. Structuring a business correctly can prevent personal assets from being at risk due to business-related debts or lawsuits. Ohio law allows for the formation of limited liability entities, such as LLCs and corporations, which can create separation between business and personal assets.

For those who own multiple properties or business ventures, setting up separate LLCs for each asset can reduce risk exposure. If one venture encounters legal or financial trouble, the others remain insulated.

Business succession planning is another key aspect of asset protection. Without a proper plan in place, the sudden loss of an owner can lead to disputes or forced liquidation. By implementing buy-sell agreements and trusts, business continuity can be preserved.

Protecting Assets Through Insurance and Legal Structures

While legal structures play a significant role in asset protection, insurance policies also serve as a safeguard. Liability insurance, malpractice insurance for professionals, and umbrella policies can provide coverage beyond standard policies. Talk with the qualified financial advisors at our sister company, Advocate Wealth Solutions, to determine how life insurance may fit in with your asset protection needs.

Addressing Estate Planning and Asset Protection Together

Estate planning and asset protection go hand in hand. By structuring an estate plan properly, individuals can prevent assets from being unnecessarily depleted through probate or long-term care costs. Medicaid planning, for instance, can protect assets from being spent on nursing home care while still allowing eligibility for benefits.

A properly structured trust can not only transfer wealth but also shield it from future risks. Certain irrevocable trusts can protect assets for beneficiaries, checking that wealth remains within the family rather than being vulnerable to future ex-spouses.

Identifying and Addressing Potential Risks

Identifying risks is the foundation of asset protection. This process includes assessing legal liabilities, understanding business risks, and considering potential future financial obligations. By regularly reviewing financial structures and ownership arrangements, weaknesses can be identified and corrected before they become issues.

For instance, if assets are jointly owned, they may be exposed to the liabilities of the co-owner. Titling assets correctly can provide an added level of security.

Asset protection is not a one-time event but an ongoing process. Changes in laws, family dynamics, and financial status can impact existing strategies. Regular evaluations help keep protections current and effective.

Taking Action to Protect Wealth

At the Law Offices of DuPont and Blumenstiel, we work with Ohio residents to craft asset protection plans that align with individual needs. Whether through the use of trusts, business structuring, or insurance, taking action today can prevent future financial hardships.

Asset protection is about being proactive. Waiting until a lawsuit or financial crisis occurs often limits available options. By assessing vulnerabilities now and implementing the right legal tools, financial security remains intact.

For those looking to strengthen asset protection strategies, consulting with legal professionals familiar with Ohio law is a valuable step. Taking the time to understand risks and legal protections helps build a solid foundation for long-term financial stability.

By reviewing ownership structures, utilizing legal safeguards, and staying informed about Ohio’s asset protection laws, individuals and business owners can take meaningful steps toward securing their wealth. 

Our attorneys at The Law Offices of DuPont and Blumenstiel are here to assist in evaluating and implementing these protective measures, helping to safeguard financial futures from unnecessary risk.

Asset Protection in Divorce Proceedings

Divorce can significantly impact asset protection strategies. Ohio follows equitable distribution laws, meaning that marital assets are divided fairly, though not necessarily equally. Planning ahead by using prenuptial or postnuptial agreements can provide financial security in case of a divorce.

Protecting personal assets during a divorce may involve structuring property ownership in a way that limits exposure. Trusts and legal entities can help keep certain assets separate from marital property.

Charitable Giving as an Asset Protection Strategy

Charitable contributions can serve both philanthropic and asset protection purposes. Establishing a charitable trust allows individuals to allocate assets for charitable causes while also reducing estate taxes and protecting wealth from creditors.

Ohio law supports the use of charitable remainder trusts, which allow donors to retain income benefits while setting aside principal for future donations. This strategy provides financial benefits while fulfilling charitable intentions.

Utilizing Annuities for Asset Protection

Annuities provide another avenue for shielding assets. Under Ohio law, certain annuity contracts may receive protection from creditors. Annuities can serve as a stable income source while offering security against potential financial threats.

Structured properly, annuities can safeguard wealth and provide long-term financial stability while limiting exposure to lawsuits or claims.

Safeguarding Digital Assets

As digital assets become more valuable, protecting them is an important part of asset protection planning. Cryptocurrency, intellectual property, and online accounts should be structured within legal frameworks to prevent unauthorized access or financial loss.

Creating an estate plan that accounts for digital assets confirms that they remain protected and accessible to intended beneficiaries.

Reviewing and Updating Your Asset Protection Plan

Asset protection strategies should be reviewed regularly. Changes in Ohio law, personal circumstances, and financial structures may require adjustments. A periodic review confirms that protection measures remain effective and up to date.

By evaluating asset protection strategies on an ongoing basis, individuals and businesses can remain prepared for future challenges while maintaining financial security.

Protecting Inherited Wealth

Those who inherit assets must consider asset protection strategies to maintain financial security. Structuring inheritances through trusts can shield them from lawsuits, divorce settlements, or creditor claims. Ohio law supports spendthrift trusts, which restrict beneficiaries from mismanaging inherited funds while keeping them safe from outside claims.

Reach Out to the Asset Protection Attorneys at DuPont and Blumenstiel

When you need to protect your assets, having the help of an attorney is essential. At our practice, we’re dedicated to helping you protect your assets however you need.

We’re proud to serve clients throughout Central Ohio, including Columbus, Dublin, and Franklin County, London and Madison County, Marysville and Union County, Delaware and Delaware County, and Newark and Licking County. Call the Law Offices of DuPont and Blumenstiel today at 614-389-9711.

Estate Planning and Asset Protection Attorney, Gregory S. DuPont, JD, CFP

After I graduated from law school in 1992, I focused on estate planning and probate. As a former accounting major, the detailed financial component was a perfect fit. Beyond that, I was able to counsel my clients, help solve their problems, and serve their needs — everything I originally set out to do. It wasn’t until years later that I realized I could do more, provide more, and be more for my clients.

Back in my early years, I was working on a case that involved a trust dispute. While representing the family in a deposition it struck me that the family was ultimately burning through at least $1,500 an hour paying for all of the counsel in the room. I realized that the entire situation could’ve been prevented with proper planning, if the family just had an advisor they trusted. Although my team and I were meeting a need by helping them settle their conflict, we weren’t addressing the real issue, which was how the problem arose in the first place. I didn’t want to simply capitalize on unfortunate situations — I wanted to safeguard them from happening in the first place. So, I made a change. 

I took a few years off from growing my law practice to become a Certified Financial Planner (CFP). My hope was that a broader understanding of the financial services industry and the tools of financial planning would allow me to better guide the clients at my own law firm. Thus, after gaining what I considered to be sufficient experience in the world of finance, I ultimately began to merge my financial planning, tax planning and legal practices together. Sometime later, after over 30 years in the legal industry, I decided to open a coaching business, Wealth Solutions Network, and bring my multidisciplinary knowledge to attorneys across the country. Through this network, my ultimate goal is to save a million families from excess taxation and risk before I turn 65.

I've had the pleasure of educating consumers, attorneys and financial advisors alike through regular speaking engagements and authoring multiple books.

I center my multiple businesses around education, guidance, and relationship-building. This comprehensive combination gives me the opportunity to more effectively serve both individuals and their families.

Today, my clients can give me a call and ask questions without worrying about the hourly billable factor. I describe myself as “a friend in the law". I find that this friendly approach benefits myself and my clients alike.

Outside of the office, you’ll hardly ever see me without my wife or daughter, and that’s perfectly okay with me. My clients and my family are all I need.