Private Retirement Trust

WHAT WE DO

Private Retirement Exemption Plan & Trust:

True Asset Protection for Californians

California is notorious for being rather unfriendly towards those that seek to protect what they have acquired from litigious attorneys and parties. But, there is light at the end of the tunnel—it is a Private Retirement Exemption Plan & Trust (or, Private Retirement Plan).

Many other Asset Protection systems rely upon hoping trusts can conceal your assets and/or sending your assets to a third world country that may or may not be in existence tomorrow. These don’t sound confident in their ability to protect your assets.

But, pursuant to section 704.115 of the California Code of Civil Procedure, a Private Retirement Plan is both a retirement plan and an asset protection plan that is entirely EXEMPT from judgments and bankruptcy. This means that your Private Retirement Plan is a nest egg that is beyond the reach of lawsuits and even bankruptcy forfeiture.

How it works:

So long as the Plan is properly structured and administrated (this is where many professionals fail to grasp the nuances and their Plans fail), there is no limit on how much assets one can contribute—so long as the necessary documentation reflects a need for sufficient retirement assets and those assets are correctly documented;

Other employees may not be offered this Plan (as is the case with many ERISA plans). Meaning, the business owner can be the only participant in the plan;

Because contributions made to the Plan are not tax-deductible, and interest earned on Plan investments are not tax-deferred, the Plan doesn’t need to comply with ERISA rules. As such, almost Any kind of asset such as account receivables, real estate (including your home), stocks, mutual funds, or even Limited Liability Company interests to name just a few;

No IRS annual filings;

The types of investments allowed by the plan are not subject to certain restrictions as is the case with other retirement plans;

The Plan allows for ‘catching up’ in funding the plan for late starters to saving for their retirement;

You can manage the investments yourself or use a financial planner;

Unlike other retirement plans, 100% of the distributions out of the Plan are protected—this is a game changing manner in which to protect your retirement;

The Plan must be ‘designed and used for retirement purposes” (CCP S 704.115), which means misuse of the plan (withdrawing funds prior to retirement) will disqualify the asset protection capabilities of the Plan. The Plan, when properly structured and administered, has been successfully protected assets from lawsuits and bankruptcy proceedings—but when not properly structured and administered those plans will fail.

Lastly, the exemption mandates that the retirement be sponsored by a business and structured like a pension with targeted benefits and a third party administration—our team provides all of that in a turn key manner.

When done properly by professionals, the Private Retirement Plan can provide the pinnacle of asset protection for retirement and while in retirement that is unmatched by any other plans.

Why use us to prepare, implement and administer your Private Retirement Plan? Our team has more than 25 years of experience in preparing Trusts. We understand both how to properly transfer assets to the Trust and how to administer the Trust so that it remains in compliance with the law and your Assets remain protected.