Asset Protection Planning

Protection planning usually incorporates setting up trusts, off-shore entities, and or other partnerships to hold (legal) entitlement of one's assets.  Protecting one's assets is crucial in cases of bankruptcy when creditors present themselves to make false claims or try to take hold of one's assets.  With proper protection planning, one's assets can be protected against such attempts and a much lower sum of money may be paid out to creditors (and may discourage future creditors from similar attempts).  (It is important to know though, that it does help evade paying taxes.)