Protecting your personal and business assets requires knowing how to navigate complex laws. There are many tools and techniques you can use to make sure your assets are protected from lawsuits, market fluctuations, and other potential disasters that are waiting to happen.
Here are just some of the services The Kirwan Companies provides our clients:
Evaluation of Ownership of Assets
We carefully scrutinize your business and personal assets to determine if you or your practice, spouse, children or a Trust(s) would be a more appropriate owner/beneficiary to further insulate your hard earned assets from the ravages of potential litigation and/or achieving the elimination or substantial reduction of current and/or future taxation. Family Limited Partnerships are an excellent consideration for appreciating assets.
Leveraging Accounts Receivables
Businesses can insulate their receivables from creditors by assigning collectible receivables to a financial institution in exchange for a low cost interest loan, and then reinvesting these monies in a properly created Trust or LLC. Interest on these loans is tax deductible, and can be more than offset by the investments made with the account.
Irrevocable Life Insurance Trusts
Ownership of Life Insurance can be a recipe for unnecessary taxation, ranging from 35% to 50% upon your death. By creating an Irrevocable Life Insurance Trust (ILIT), this unintentional invitation to have Uncle Sam become your beneficiary can be completely eliminated!
Spousal 401k’s permit an additional tax deductible contribution of $18,000 to $24,000. If you own a business that also employs your spouse, they are eligible to have as much as 100% of their salary deposited into a completely sheltered account where it is tax-deferred and insulated from creditors, and contributions are tax deductible!
Health Savings Accounts & Tax–Deductible HSA/IRA Accounts
An excellent vehicle for Health Protection, these accounts can also reduce insurance premiums by as much as 50%. By Federal Law (1997), an HSA is structured as a PPO Plan, with In and Out of Network Benefits. When coupled with the HSA/IRA, you can legally insulate an additional $6,750-$8,750 per year, take a 100% tax deduction, and withdraw these funds for medical, dental, optical, orthodontia and a list in excess of 500 health-related items without having to pay income tax.
Tax Deductible Group Long Term Disability
Supplemental Disability is tax deductible and substantially discounted compared to Individual Plans.
Tax Deductible Long Term Care
Coverage for long term care can be crucial in preserving your capital by providing the equivalent of Disability Income when you are impaired or unable to physically or mentally be responsible for your own care. Unlike Disability Insurance, your payments will be received income tax free, and cover an extended need for service either at home or in a care facility, which could otherwise wipe out your savings and debilitate your family and personal relationships.