The personal wealth one acquires can be exposed to the claims of creditors for any number of reasons, even when one is doing business through a corporate entity. There are, however, ethical and legal means to protect one’s assets from potential future creditors. Whether addressing your personal needs or those of a client, asset protection is a fundamental part of making certain that one’s financial house is in order. This webinar touches on all these things. To view the accompanying webinar, go to: https://www.financialpoise.com/financialpoisewebinars/on_demand_webinars/estate-planning-asset-protection-101/

2. Practical and entertaining education for
attorneys, accountants, business owners and
executives, and investors.
2

3. The material in this webinar is for informational purposes only. It should not be considered legal,
financial or other professional advice. You should consult with an attorney or other appropriate
professional to determine what may be best for your individual needs. While Financial Poise™
takes reasonable steps to ensure that information it publishes is accurate, Financial Poise™
makes no guaranty in this regard.
While Financial Poise is happy to make this PowerPoint freely available to all, the reader is
cautioned that it was created for use as part of a webinar that featured an extensive verbal
discussion of the topics addressed in the PowerPoint. It was not designed to be read by
itself. Financial Poise webinars can be purchased at www.financialpoise.com. You may also
receive offers for free webinars by subscribing to Financial Poise's DACyak, a free weekly
newsletter.
DISCLAIMER
3

4. MEET THE FACULTY
MODERATOR:
Michael Brandess Sugar Felsenthal Grais & Helsinger
PANELISTS:
Andrew Katzenberg Kleinberg Kaplan
Var Lordahl Dickinson Wright
Jeffrey D. Shelley Sugar Felsenthal Grais & Helsinger
4

5. ABOUT THIS WEBINAR
The personal wealth one acquires can be exposed to the claims of creditors for any number
of reasons, even when one is doing business through a corporate entity. There are, however,
ethical and legal means to protect one’s assets from potential future creditors. Whether
addressing your personal needs or those of a client, asset protection is a fundamental part of
making certain that one’s financial house is in order. This webinar touches on all these things.
This webinar is delivered in Plain English, understandable to you even if you do not have a
background in the subject. It brings you into an engaging, even sometimes humorous,
conversation designed to entertain as it teaches. And, it is specifically designed to be viewed as
a stand-alone webinar, meaning that you do not have to view the other webinars in the series
to get a lot out of it.
5

6. ABOUT THIS SERIES
Looking for a bird’s eye understanding of the rudimentary principles of a complex area of
law? Interested in a much needed refresher on an issue that has rapidly evolved in recent
years? Short on time? This series explores the essential building blocks of important legal
concepts facing business people.
As with every Financial Poise Webinar, each episode is delivered in Plain English
understandable to investors, business owners, and executives without much background in
these areas, yet is also valuable to attorneys, accountants, and other seasoned professionals.
And, as with every Financial Poise Webinar, each episode brings you into engaging,
sometimes humorous, conversations designed to entertain as it teaches. Each episode in the
series is designed to be viewed independently of the other episodes so that participants will
enhance their knowledge of this area whether they attend one, some, or all episodes.
6

7. Dates shown are premiere dates; all episodes will be available on demand after
their premiere date.
EPISODES IN THIS SERIES
EPISODE #1 Forming a Company: How to Start a 3/13/2018
Business
EPISODE #2 Commercial Real Estate – Acquisition and 4/24/2018
Development
EPISODE #3 Employment Law-101 5/22/2018
EPISODE #4 Estate Planning & Asset Protection-101 6/19/2018
7

8. Episode #4 Estate Planning & Asset Protection-101

9. PURPOSE OF MAKING AN ESTATE PLAN?
AVOID INTESTACY
When a person dies without a will, they die intestate
9© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™
Situation Result
A person dies with a will Beneficiaries set forth in will receive
property
A person dies intestate 1) Heirs receive property pursuant to
state statutes; or
2) If no heirs, property reverts to state
(depends on relevant statute)

10. PURPOSE OF MAKING AN ESTATE PLAN?
WHAT IS PROBATE?
Probate is the formal legal process that gives recognition to a will and appoints
the executor or personal representative who will administer the estate and
distribute assets to the intended beneficiaries. The laws of each state vary, so it
is a good idea to consult an attorney to determine whether a probate
proceeding is necessary, whether the fiduciary must be bonded (a requirement
that is often waived in the will) and what reports must be prepared.
10© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™
Probate is held in county
where decedent resided
No set time frame in
which will must be
probated / administered
Executor oversees
administration
http://www.americanbar.org/groups/real_property_trust_estate/resources/estate_planning/the_probate_process.html

11. WHAT HAPPENS TO YOUR PROPERTY
WHEN YOU DIE?
NON-PROBATE V. PROBATE
11© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™
Non-probate
•Life insurance
•Bank accounts
•JTWROS
•Etc.
Probate
•Need a Court to tell us
what to do

12. WHAT IS AN ESTATE PLAN?
WILL
a. Will – legal document which provides for an individual’s final wishes
b. A will generally includes:
a. Guardian for minor children
b. Beneficiaries
c. Disbursement of assets
d. Designation of executor
c. No will = dying intestate
a. No say on settlement of estate
12© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™

13. WHAT IS THE PURPOSE OF A WILL?
TAX REASONS
13© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™
State and Federal
Estate Tax Rates
Federal Exemption
and Annual Exclusion
Gifts
Marital Deduction
(avoid tax at first
spouse’s death)

14. WHAT IS THE PURPOSE OF A WILL?
NON-TAX REASONS
14© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™
Avoid Intestacy
Choose Fiduciaries
Create trusts to lessen risks to
beneficiaries
Avoid Probate
Assets in Multiple States

15. WHAT IS AN ESTATE PLAN?
LIVING TRUST
a. Living trust allows you to put your assets in a trust while you’re still alive
b. Transfer title of property to trust but retain right to use property
c. Numerous benefits, including:
15© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™
Helps manage
your affairs
Greater control
of assets
Good for dispersed
family assets
Easy to create
and change
Protects your
privacy
Avoids
probate!

16. WHAT IS AN ESTATE PLAN?
POWERS OF ATTORNEY FOR HEALTHCARE
AND PROPERTY
a. Living will/Health Care Proxy
a. Names an health care agent who can make health care decisions for you during
your life when you cannot communicate those decisions to doctors.
b. Gives guidance to the health care agent regarding your desired medical
treatment (e.g. DNR, end of life scenarios, organ donation etc.)
b. Power of attorney for Property
c. Names an agent who can manage your affairs during your life when you
mental or physical cannot.
d. Examples of tasks – signing a tax return or paying a medical bill.
16© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™

17. PURPOSE OF MAKING AN ESTATE PLAN?
AVOID GUARDIANSHIPS FOR MINORS AND
INCAPACITATED
If a will has not been written at the time of the parents’ death, the court will decide who becomes the
child’s legal guardian. All friends and family members can step forward and nominate themselves for
the position, despite your feelings for them. A judge will determine who is best suited for the job based
on evidence as to what is in the best interest of the child given during a hearing. A judge might have
different
values or priorities than you do, so he might not
choose the same person you would have considered
while you were alive. The child does not immediately
go to a grandparent or sibling if the judge determines
that relative is not fit for guardianship.
http://www.livestrong.com/article/248389-who-gets-custody-of-children-if-both-parents-die/
17© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™

18. PURPOSE OF MAKING AN ESTATE PLAN?
USE TRUSTS TO LESSEN RISKS TO
BENEFICIARIES
18© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™
Control your wealth
•You can specify the terms of a trust precisely, controlling when and to whom
distributions may be made.
Protect your legacy
•A properly constructed trust can help protect your estate from your heirs’ creditors
or from beneficiaries who may not be adept at money management.
Privacy and probate savings
•Probate is a matter of public record; a trust may allow assets to pass outside of
probate and remain private, in addition to possibly reducing the amount lost to
court fees and taxes in the process.

19. PURPOSE OF MAKING AN ESTATE PLAN?
TRANSMUTATION AGREEMENTS
19© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™

20. ASSET PROTECTION PLANNING
20© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™
Retirement
Plans

21. ASSETS PROTECTION PLANNING TRUSTS
a. What is a trust?
b. A trust is a written agreement between three parties:
a. (1) settlor (grantor) - puts assets in trust;
b. (2) trustee – manages trust assets; and
c. (3) beneficiary – benefits from trust
21© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™

22. ASSETS PROTECTION PLANNING TRUSTS
(cont’d)
Asset Protection Trust
a. Settlor and beneficiary can be same person
b. Trustee often licensed/bonded party with obligation to protect assets from
creditors.
c. Benefits:
a. Protect against business creditors;
b. Effective in divorce proceedings;
c. Avoid estate taxes; and
d. Avoid probate expenses
22© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™

23. ASSET PROTECTION PLANNING
DOMESTIC ASSET PROTECTION TRUSTS
23© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™
Domestic asset protection trusts (DAPTs) are trusts that protect assets
from creditors, which include by definition a future spouse. Additionally,
a DAPT allows the settlor to name him or herself as a potential
beneficiary—hence the name “self-settled” trusts. Beyond its utility as an
estate planning device, asset protection trusts are effective against a
settlor’s future spouse and other creditors provided the trust settlement
does not violate applicable fraudulent transfer law. Furthermore, in
establishing a domestic asset protection trust, there is no requirement that
the settlor of the trust disclose his or her plans to create a DAPT or the
assets with which he or she will fund the trust. As such, a soon to be
married individual can establish a DAPT in a state permitting such trusts
and, upon the dissolution of the marriage, shield those assets from any
equitable distribution.

24. ASSET PROTECTION PLANNING
RETIREMENT PLANS
a. “In general, all assets inside a 401(k) plan are out of reach of creditors,
both inside or outside of bankruptcy. That’s often true of 401(k) assets
rolled into an IRA, as well—though you may be required to prove that
those assets came from a 401(k). For that reason, never co-mingle rolled
over assets with those from a self-funded IRA.”
http://time.com/money/3922169/can-creditors-take-my-ira/
a. 2 Exceptions -
a. federal tax liens imposed by the IRS
b. judgments against individuals who had administered an employer-
sponsored plan for embezzlement of the plan or a fiduciary breach
against it. 24© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™
401(k)

25. ASSET PROTECTION PLANNING
RETIREMENT PLANS (cont’d)
IRAs, including Roth IRAs, don't have precisely the same shields as 401(k)s --
but under a 2005 law, the Bankruptcy Abuse Prevention and Consumer
Protection Act, up to $1 million in IRA assets are protected in the event of
bankruptcy. In other types of lawsuits, IRA protections from creditors vary
from state to state and may be different for traditional IRAs and Roth IRAs.
25© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™
IRA

26. ASSET PROTECTION PLANNING LIFE
INSURANCE AND EXEMPT ASSETS
• Life insurance or its proceeds can be exempted from creditors
• Protections differ widely by jurisdiction
• For instance:
• Nevada: beneficiary’s interest in proceeds and avails is wholly protected from all creditors;
• New York: beneficiary’s interest in proceeds and avails wholly protected from all creditors
provided beneficiary is not owner or insured. Owner’s interest in proceeds and avails of
policy insuring another is exempt as against creditors of insured (and owner’s own creditors
if insured is owner’s spouse)
• Annuities sometimes protected – but also depends on jurisdiction
26© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™

27. ASSET PROTECTION PLANNING
TENANCY BY THE ENTIRETY
Tenancy by the Entirety is a type of
ownership where each spouse owns an
undivided interest in the property. Another
trait is Right of Survivorship, meaning that
when one spouse dies, the other is entitled
to receive the share of the one who died.
Only certain states offer this type of
property protection.
27© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™
https://www.assetprotectionplanners.com/articles/the-controversial-truth-about-asset-
protection-planning/tenancy-by-the-entirety-states-and-community-property-states/

28. ESTATE PLANNING AND ASSET
PROTECTION WHAT LIES AHEAD?
28© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™

29. ABOUT THE FACULTY
MICHAEL BRANDESS
mbrandess@sfgh.com
Michael A. Brandess, a partner at Sugar Felsenthal Grais & Helsinger LLP in the firm’s Business
Transactions and Bankruptcy, Reorganization & Creditors’ Rights practice groups, is consistently
recognized for his dedicated and zealous representation for his clients, finding the most efficient and
creative solutions, securing his clientele the most value for their claims. Michael’s practice focuses on
representing creditors, debtors and creditors’ committees in complex corporate restructurings.
Michael Brandess has a wealth of experience representing both healthy and distressed companies
involved in complex transactions across the country, in industries ranging from energy, real estate,
construction, agriculture, retail, financial services, telecommunications and restaurant franchises.
Michael represents lenders both before and during insolvency proceedings, protecting his clients’
collateral from diminution of value, so they may realize a higher return. Michael also has represented
asset purchasers in complex sales, creditors in difficult reorganizations and trustees and plan
administrators during the wind-down of multi-million dollar estates.
29© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™

30. ABOUT THE FACULTY
JEFFREY D. SHELLEY
JShelley@sfgh.com
Jeffrey D. Shelley focuses his practice on estate planning, estate and trust administration, charitable planning, tax matters,
business transactions, and intellectual property. Jeff’s prior scientific, tax, and business background gives him unique insights
when providing individuals, entrepreneurs, business owners, and family offices with personal and business solutions.
Jeff assists clients with various estate planning and tax services, which range from preparation of basic estate plans to creation and
implementation of comprehensive wealth transfer and business succession plans for high net worth individuals to minimize the
impact of gift, estate, and generation-skipping taxes. Jeff represents trustees and personal representatives through administration
of trusts and estates, including representing clients in probate court and counseling clients on federal and state estate tax returns
and gift tax returns.
Jeff works with owner managed businesses helping them with transactions, tax planning, succession planning, and intellectual
property protection. Jeff transaction experience includes the sale of a major stake of an executive in a large, publicly traded
company. Jeff works with clients to enforce their intellectual property rights through litigation in state and federal courts and
through other dispute resolution forums.
Before joining SFGH, Jeff had a multi-disciplinary practice at another Chicago law firm. Jeff worked as a Big Four professional
services firm consultant, where he advocated for clients in complex business tax credit matters. Jeff prepared patent applications
before the U.S. Patent and Trademark Office.
Prior to practicing law, Jeff gained extensive business experience as a research scientist for a Fortune 500 company that
manufactures and markets consumer and health care products worldwide. During his career there, he developed and launched
next-generation products and manufacturing processes and was granted several product and process patents.
30© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™

31. ABOUT THE FACULTY
ANDREW KATZENBERG
akatzenberg@kkwc.com
Andrew S. Katzenberg is an attorney at the New York law firm Kleinberg, Kaplan,
Wolff & Cohen, P.C. in the Trusts and Estates group, where his practice focuses on
wealth preservation, estate and trust administration, nonprofit and tax-exempt
organizations and charitable giving. Andrew has been published in numerous law
journals and is a member of the New York State Bar Association Trusts and Estates
Law Section Tax Committee. He received his undergraduate degree at Tufts
University, his JD from the University of Maryland and his LLM in tax from NYU.
31© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™

32. ABOUT THE FACULTY
VAR LORDAHL
vlordahl@dickinson-wright.com
Val Lordahl is a member at Dickinson Wright, Las Vegas.
He represents individuals, families, and businesses in a wide range of areas including
estate planning, trusts, asset protection, probate, elder law, business formation, tax
structuring, and tax disputes. He is a Board Member and Secretary of the
Foundation for an Independent Tomorrow, a Member of Southern Nevada Estate
Planning Counsel, and a Member of The State Bar of Nevada.
32© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™

33. The material in this presentation is for general educational purposes only. It has been prepared
primarily for attorneys and accountants for use in the pursuit of their continuing legal education and
continuing professional education.
While Financial Poise is happy to make this PowerPoint freely available to all, the reader is
cautioned that it was created for use as part of a webinar that featured an extensive verbal discussion
of the topics addressed in the PowerPoint. It was not designed to be read by itself. Financial Poise
webinars can be purchased at www.financialpoise.com You may also receive offers for free webinars
by subscribing to Financial Poise's DACyak, a free weekly newsletter.
IMPORTANT NOTES
33© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™

34. If you have any questions about this webinar that you did
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Please include the name of the webinar in your email,
and we will provide a response to your question.
QUESTIONS OR COMMENTS?
34© 2018 by DailyDAC, LLC d/b/a Financial Poise Webinars™

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36. About Financial Poise™
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DailyDAC LLC, d/b/a Financial Poise™ provides continuing education to
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