Asset Protection

Asset Protection & Tax Reduction Strategies

EPIC Wealth Strategies teaches the importance of learning how to accumulate wealth, but just as important, you need to spend some time learning how to protect that wealth through asset protection and tax savings.

I’m not going to lie to you and tell you there are no risks in owning real estate or operating your own business, especially in today’s litigious society. But you can be in so much fear about the “what ifs” that it’s easy to think of all the excuses why you shouldn’t get into any meaningful wealth-building rather than focusing on the positive reasons why you should.

However, the Scriptures say in II Timothy 1:7,

“…God has not given us a spirit of fear, but of power and of love and of a sound mind.”

If you set up appropriate entities and structures such as corporations, limited liability companies (LLC’s), family limited partnerships, land trusts, etc., you establish a shield between you and your liabilities. So while I don’t want to be responsible for putting a spirit of fear on you, you should indeed use wisdom in protecting yourself.

Take advantage of the legal systems that have been put in place by the laws of the land.

Cities Of Refuge

God himself even gave measures of protection to the Israelites through the six “cities of refuge” mentioned in at least five chapters in the Old Testament

- Exodus 21:12-14

- Numbers 35

- Deuteronomy 4:41-43

- Deuteronomy 19

- Joshua 20

Without getting into a deep study of Scripture, these cities of refuge were basically used as a means of escape and protection by someone who had brought harm to someone else unintentionally or ignorantly. Under these circumstances, it was considered an honest mistake and provisions were made for their protection.

It’s okay to take advantage of the law and take precautions even in cases of our negligence, as long as there is no malice in your heart. The Bible is extremely clear on the distinction between causing something to happen unintentionally and carrying out a malicious act with premeditated evil intent.

Building On A Solid Foundation

If you don’t protect yourself and your family, you are not being wise, and you know what the opposite of “wise” is, don’t you? Remember the wise man built his house on the rock, but the foolish man built his house on the sand (Matthew 8:24-27). You should build your businesses on a solid foundation that can’t be shaken when the winds blow.

Don’t put this aspect of the business on the back burner and get to it “when you have time.” Don’t have the mindset that you will wait until you have more assets or income before you begin laying the solid foundation and implementing the strategies you can learn through the materials provided at EPIC Wealth Strategies.

Not everything has to be completed and done perfectly before you start, but at least begin the process, the foundation. You need to plan ahead. Take the necessary steps to protect and preserve your assets now, so that as they grow, you and your family’s financial future will be secure.

Believe for the best and prepare for the worst. Just as a police officer wouldn’t go into a situation without a bullet-proof vest, you shouldn’t enter business without appropriate protection. It is wise to take preventative measures. Sure, that police officer could say, “God will protect me.” Well, God does protect us, but He expects us to use wisdom and the tools He has given to us. Maybe none of us should carry insurance of any kind, if we feel that God will protect us anyway. Yet, most of us do have insurance because we feel it is the wise thing to do. Paying for insurance and taking steps to protect your wealth doesn’t mean we don’t trust God.

Timing Is Everything

Again, my intention is not to cause you fear, but at the same time I want you to understand the importance of asset protection. If there is a lawsuit related to one of your businesses, all of your personal assets, including your home, your cars, and your bank accounts, could then be tied to the suit and you could lose it all. Likewise, if you are sued personally, that suit could then be tied to your business. The liability shield you need to put up works in both directions.

You can’t wait until you are sued to start placing your properties and your businesses in legal entity structures. That’s like the police officer putting on his bullet-proof vest after he has been shot!

I pray that none of you reading this will ever have a lawsuit against you, but if you do, you’ll be glad you have taken the time to get your asset protection strategies in order. I sure can sleep better at night knowing I have the appropriate structures in place in case something ever does arise.

Attorney And Accountant Viewpoints

Understand that attorneys and accountants are coming from two different viewpoints – from a legal viewpoint and a tax viewpoint. It’s like your right hand and your left hand. You need to understand both sides, or better yet, find an expert who knows both sides of the coin.

Most attorneys and accountants are good at what they do, but their views are strongly influenced by their area of expertise. An accountant may tell you it isn’t necessary to set up a business a certain way because there are no tax savings in doing so, but perhaps it’s a great idea for asset protection. Also, an attorney usually doesn’t care if you have a C-corporation or an S-corporation, because the asset protection aspects of these two entity types are the same, but there are huge tax differences between the two.

Real Estate – Control Everything, Own Nothing

If someone is contemplating suing you, he/she will usually hire an attorney who will perform an asset check to find out everything you own. You don’t even have to be an attorney to discover someone’s real estate holdings. Anyone can go to the county courthouse and look up what properties you own, and some counties offer this service online. The person can tally up roughly what you are worth and determine whether suing you is worthwhile, and if so, how much the suit should be.

What would happen in the same scenario if you didn’t own the properties in your personal name?

- A name search wouldn’t produce anything because you own nothing as far as the public records are concerned.

- If you have no real estate in your name, then finding out your ownership interest will not be an easy task.

- Attorneys focus on cases they can win and collect, so if they don’t find any assets in your name, they probably won’t take the case, because there is nothing guaranteed to collect. This alone will stop most lawsuits before they are even filed.

Remember, it is never too soon to start protecting your assets and saving on taxes! Please take advantage of the programs provided through EPIC Wealth Strategies to help you do just that.

This is where Drew Miles comes in. Drew is known as the “Tax Savings Attorney.” Drew has a phenomenal coaching and mentoring program for beginning and advanced strategies alike, based on your current and future needs. He has the most cutting edge strategies of asset protection and tax reduction I have ever seen in the industry. The money you save in taxes alone will make his program worth the investment many times over, plus the peace of knowing without a doubt that you are protected with your business and/or real estate being set up properly.

Please call our office at (641) 715-3900, ext. 21332# and we will send you a free report from Drew Miles called “How To Cut Your Taxes To 10% or Less.”

What entity is best for my type of business or real estate – a C-corporation, an S-corporation, an LLC, or limited partnership? How do I split income to maximize my tax savings? How do I maximize my allowable deductions? How do I convert personal expenses paid with after-tax dollars into legitimate business expenses? Drew’s program can teach you these things, plus much more!

I trust Drew’s information will be as helpful and enlightening to you as it has been for me.