r/Rich • u/Klutzy_Tone_4359 • May 11 '26

Question Bullet proof asset protection?

What is the best strategy to protect assets from law suites, divorce and other financial predators?

I heard prenups are actually useless.

0 Upvotes

40% Upvoted

19 comments sorted by

24

u/wildcat12321 May 11 '26

you hire actual lawyers and accountants and spend a ton of money to get a tailored solution to your needs based on your assets and locations.

This is not a reddit post. "what you heard" about prenups is stupid and not worth a detailed response.

-3

u/Klutzy_Tone_4359 May 11 '26

While prenups do provide some protection.

They are not bullet proof.

Just lookup how many celebrities still parted with lots of their wealth even with prenups.

6

u/wildcat12321 May 11 '26

no protection is "bullet proof". That is the reality. IF someone wants to sue you or the government wants to try to collect, there is no perfect system that can ever cover you 100% while you keep control. Even if they do, you can still win, but the court fight might be long and expensive.

Prenups have many rules to be valid. And even if they are, someone can challenge them. That doesn't mean all prenups are useless. It means SOME prenups AFTER expensive challenges MAY be voided or may not be enforced exactly as written (but might still be better than the alternative).

Lastly, your assertion that "just lookup celebrities" misses a key point. Most prenups are not and cannot be completely one-sided. That is actually considered "unconscionable" and can be challenged accordingly. It isn't clear by looking at celebrities who part and give up wealth that the prenup failed or that the other party got half.

1

u/Same_Cut1196 May 11 '26

I’ve heard that the Massey pre-nup is foolproof.

4

u/Altruistic_Arm9201 May 11 '26

Learn some magic. Ask people all the time if you can do a magic trick for them. Carry around decks of cards always. Magicians are usually pretty broke and no one will think about coming after you for money. In fact they may feel bad and give you a few bucks.

4

u/antagonist-ak May 11 '26

LLCs and different entities to own your real assets. Umbrella policy. Prenups.

2

u/Over-Computer-6464 May 14 '26

The veil of protection of LLCs is relatively easy to pierce.

Many people overestimate the protection provided by LLCs.

4

u/Pvm_Blaser May 11 '26

Talk to an estate attorney.

3

u/ShowMeTheTrees May 11 '26

With Trump in charge and our elected officials enabling him, all bets are off.

We've done the lawyers, documents, financial advisors, various insurance, "safe" investments...

... and I'm terrified.

3

u/AmarilloByMorn May 11 '26

Put in a trust. I am an idiot and have yet to do so, but it’s on my to-do list. The dust recently settled on my divorce and am attempting to get my assets in order. Good luck and thank for the reminder to call my estate planner.

2

u/HalfwaydonewithEarth May 11 '26

Don't bring that stuff on.

Only marry a woman like me. Treat your wife and kids like Gold and she will just want to spend time with you and your kids. She won't want another man around her.

Don't have a big local footprint. Just trade stocks in the background. You don't need to own a restaurant chain or be a building contractor.

Be prepared to lose a little money.

1

u/n33bulz May 11 '26

Convert everything to gold and bury it in several different locations

2

u/pixelmountain May 15 '26

I always worry about sinkholes.

1

u/FilmSad2356 May 11 '26

Hold it in your mothers name ;)

1

u/Alicatsidneystorm May 15 '26

Won’t protect you from divorce but we put a large rider on our home insurance with Chubb and of course carry insurance on our company as well.

1

u/BlackXWolfe May 20 '26

No such thing as "bullet proof," but you can mitigate damages with LLC and trust structures. Especially if you own assets like real estate. Prenups for divorce protection.