All Forum Posts by: Brian Bradley

Under California state statute (law) CCP 704.115, assets held in a Private Retirement Trust plan are exempt from creditor lawsuits and bankruptcy judgments, as long as designated specifically for retirement.

No Annual IRS Filings: Yet another advantage of a taking up a PRP is that there is no need for annual Internal Revenue Service filings (IRS).

Contributions are only made after they are taxed which results in a great degree of freedom for the types of funds that can be allocated in addition to very few restrictions on funding amounts. Funds and contributions to your PRT are primarily going to be in the form of private assets that are taxed as they are earned; the only difference between private assets and funds contained in a PRT is that those funds are allocated specifically for use in retirement. contributions are not tax deductible because the assets being allocated for retirement have already been taxed. Though they are not tax deductible, contributions retain their full character once contributed to your PRT so the inherent tax benefits in each asset are preserved for your benefit during retirement.

Funding a PRT is unrestricted as long as assets can be justified and proven as needed for retirement, and can include private business interests, stock, and notes, if properly administrated. There is no restriction on the type of investments that you can cover in the plan. Thus, a large variety of assets particularly rental properties for retirement purposes. Additionally, you can put these investments into any financial institution of your desire as well. Obviously any system involves a detailed analysis of your situation and assets so a consult would be necessary. But overall, the PRT is a very good wealth generator and asset protection system exclusively for CA residents. 

@Christopher Smith Funding a PRT is unrestricted as long as assets can be justified and proven as needed for retirement, and can include private business interests, stock, and notes, if properly administrated. There is no restriction on the type of investments that you can cover in the plan. Thus, a large variety of assets particularly rental properties for retirement purposes. Additionally, you can put these investments into any financial institution of your desire as well. Obviously any system involves a detailed analysis of your situation and assets so a consult would be necessary. But overall, the PRT is a very good wealth generator and asset protection system exclusively for CA residents. 

@Christopher Smith good question. 

Under California state statute (law) CCP 704.115, assets held in a Private Retirement Trust plan are exempt from creditor lawsuits and bankruptcy judgments, as long as designated specifically for retirement.

No Annual IRS Filings: Yet another advantage of a taking up a PRP is that there is no need for annual Internal Revenue Service filings (IRS).

Contributions are only made after they are taxed which results in a great degree of freedom for the types of funds that can be allocated in addition to very few restrictions on funding amounts. Funds and contributions to your PRT are primarily going to be in the form of private assets that are taxed as they are earned; the only difference between private assets and funds contained in a PRT is that those funds are allocated specifically for use in retirement. contributions are not tax deductible because the assets being allocated for retirement have already been taxed. Though they are not tax deductible, contributions retain their full character once contributed to your PRT so the inherent tax benefits in each asset are preserved for your benefit during retirement.

If you are a CA resident on searching about Asset Protection you might have read some of my other forum post on DST and its benefits for CA Investors. Another option for CA investors is the Private Retirement Plan/Trust (PRT) which provides one of the highest levels of protection for your assets. With our litigious and predatory society there are few purely domestic asset protection planning strategies that offer California residents true asset protection. The great thing is that being a California resident, you have an additional option that is not well known but exclusive for CA Residents; the Private Retirement Trust (PRT).

A PRT is a retirement plan that FULLY EXEMPTS ALL trust assets from any creditor attached so long as it’s designated for future use in retirement. In 1970 California instituted its’ state exemption law that assets owned in a private retirement trust are fully exempt under statute. PRTs are specifically designed to enforce your legal exemption right to protect assets from lawsuits and attacks.

Aretax-oriented plans like IRAs seek tax deductions for contributions. PRT instead prioritize and protect private assets that already have inherent tax benefits. Instead of seeking sources of income or assets that can be used for tax deductions like IRAs, you can contribute to your PRT as they are earned with little to no restrictions on the amount. Since funds and assets are only allocated to a PRT after they have been taxed, contributions are not deductible, therefore any private or appreciating asset can be put into a PRT without limits.  If you can’t save up enough money for a traditional retirement plan or if you would like to maintain control of your assets and save for retirement on your own terms, a PRT might be for you.
Tomorrow we will get into how a PRT is different from other retirement plans and how to fund it. I plan to break the PRT down into 3 or 4 posts since their is a lot of information. If I don't get to many of the questions, it is because I want to get all the post out first, which might address the question. 

If you are a CA resident and following this forum then you have read above about the DST and its benefits for CA Investors. Another option for CA investors is the Private Retirement Plan/Trust (PRT) which provides one of the highest levels of protection for your assets. With our litigious and predatory society there are few purely domestic asset protection planning strategies that offer California residents true asset protection. The great thing is that being a California resident, you have an additional option that is not well known but exclusive for CA Residents; the Private Retirement Trust (PRT).

A PRT is a retirement plan that FULLY EXEMPTS ALL trust assets from any creditor attached so long as it’s designated for future use in retirement. In 1970 California instituted its’ state exemption law that assets owned in a private retirement trust are fully exempt under statute. PRTs are specifically designed to enforce your legal exemption right to protect assets from lawsuits and attacks.
Aretax-oriented plans like IRAs seek tax deductions for contributions. PRT instead prioritize and protect private assets that already have inherent tax benefits. Instead of seeking sources of income or assets that can be used for tax deductions like IRAs, you can contribute to your PRT as they are earned with little to no restrictions on the amount. Since funds and assets are only allocated to a PRT after they have been taxed, contributions are not deductible, therefore any private or appreciating asset can be put into a PRT without limits. If you can’t save up enough money for a traditional retirement plan or if you would like to maintain control of your assets and save for retirement on your own terms, a PRT might be for you.   Tomorrow we will get into how a PRT is different from other retirement plans and how to fund it. I plan to break the PRT down into 3 or 4 posts since their is a lot of information. If I don't get to many of the questions, it is because I want to get all the post out first, which might address the question. 

Most if not all the conversations on these forums are about Domestic protection systems. (LP, S-Corps, LLCs, Series LLC, Trusts etc). But most don't realize other options also exists and should be considered. Especially once you reach the $1.5 MM net worth or more level.

Domestic VS Offshore Asset Protection: Whats the differences and why should you care? 

Domestic AP is any protection that relies on the laws of the U.S. for its security. You will read plenty about new domestic asset protection system, designed to imitate stronger and more effective offshore jurisdictions. As far as that goes, a good onshore asset protection plan is better than nothing at all. They are simple to set up, easy to implement and sometimes less expensive than international plans. BUT, that simplicity comes with a downside. The simple fact is that a purely domestic asset protection plan is less effective than a offshore plan. For complete asset protection, its best that your domestic asset protection plan be accompanied by a foreign component set up in a jurisdiction out of the U.S.

Any asset protection system based fully within the U.S. will always run the risk that a U.S. judge or court determines that the plan should be pierced or invalidated. This is an unavoidable inherent risk of all domestic plans. Contrast this with a Cook Island Asset Protection Trust where it is statutorily prohibited from recognizing any court order from any outside jurisdiction, including the U.S. This is the major differences and sums up the reason why an Offshore system is proven stronger.

The best system is to utilize both a domestic asset protection component together with a carefully crafted Cook Island Foreign Trust to help build a legal fortress, keeping them safe and out of the grasp of predatory creditors and the U.S. proactive judges. You do this by creating legal separation from you and your assets with a domestic (Asset Management Limited Partnership, or Series LLC, or Traditional LLC) and then ‘internationalizing' those assets into a "Bridge Trust" where if you are threatened by an unanticipated lawsuit or legal action, those assets cross the Bridge to the protection of the Cook islands.

By being proactive, and using BOTH U.S. tools and carefully crafted trust which can be moved fully offshore with pre-established triggers, you get the benefit of both jurisdictions. 

Domestic VS Offshore Asset Protection: Whats the difference and why should you care? 

Domestic AP is any protection that relies on the laws of the U.S. for its security. You will read plenty about new domestic asset protection system, designed to imitate stronger and more effective offshore jurisdictions. As far as that goes, a good onshore asset protection plan is better than nothing at all. They are simple to set up, easy to implement and sometimes less expensive than international plans. BUT, that simplicity comes with a downside. The simple fact is that a purely domestic asset protection plan is less effective than a offshore plan. For complete asset protection, its best that your domestic asset protection plan be accompanied by a foreign component set up in a jurisdiction out of the U.S.

Any asset protection system based fully within the U.S. will always run the risk that a U.S. judge or court determines that the plan should be pierced or invalidated. This is an unavoidable inherent risk of all domestic plans. Contrast this with a Cook Island Asset Protection Trust where it is statutorily prohibited from recognizing any court order from any outside jurisdiction, including the U.S. This is the major differences and sums up the reason why an Offshore system is proven stronger.

The best system is to utilize both a domestic asset protection component together with a carefully crafted Cook Island Foreign Trust to help build a legal fortress, keeping them safe and out of the grasp of predatory creditors and the U.S. proactive judges. You do this by creating legal separation from you and your assets with a domestic (Asset Management Limited Partnership, or Series LLC, or Traditional LLC) and then ‘internationalizing' those assets into a "Bridge Trust" where if you are threatened by an unanticipated lawsuit or legal action, those assets cross the Bridge to the protection of the Cook islands.

By being proactive, and using both U.S. tools and a trust which can be moved fully offshore, you get the benefit of both jurisdictions. 

Domestic VS Offshore Asset Protection: Domestic AP is any protection that relies on the laws of the U.S. for its security. You will read plenty about new domestic asset protection system, designed to imitate stronger and more effective offshore jurisdictions. As far as that goes, a good onshore asset protection plan is better than nothing at all. They are simple to set up, easy to implement and sometimes less expensive than international plans. BUT, that simplicity comes with a downside. The simple fact is that a purely domestic asset protection plan is less effective than a offshore plan. For complete asset protection, its best that your domestic asset protection plan be accompanied by a foreign component set up in a jurisdiction out of the U.S.

Any asset protection system based fully within the U.S. will always run the risk that a U.S. judge or court determines that the plan should be pierced or invalidated. This is an unavoidable inherent risk of all domestic plans. Contrast this with a Cook Island Asset Protection Trust where it is statutorily prohibited from recognizing any court order from any outside jurisdiction, including the U.S. This is the major differences and sums up the reason why an Offshore system is proven stronger.

The best system is to utilize both a domestic asset protection component together with a carefully crafted Cook Island Foreign Trust to help build a legal fortress, keeping them safe and out of the grasp of predatory creditors and the U.S. proactive judges. You do this by creating legal separation from you and your assets with a domestic (Asset Management Limited Partnership, or Series LLC, or Traditional LLC) and then ‘internationalizing' those assets into a "Bridge Trust" where if you are threatened by an unanticipated lawsuit or legal action, those assets cross the Bridge to the protection of the Cook islands.

By being proactive, and using both U.S. tools and a trust which can be moved fully offshore, you get the benefit of both jurisdictions. 

Occupying a valuable corner lot close to Salem Central is an excellent 4-Plex Multifamily Investment offering. It is currently 100% occupied and conveniently located near Salem Hospital, McCulloch Stadium, Willamette University and the heart of Salem's culture, food, and entertainment. Full Reno 2001 and additionally updated carpets and applied fresh paint where needed. Room mix is Four 1-Bed 1-Bath. 

Occupying a valuable corner lot close in to Salem Central is an excellent 4-Plex Multifamily Investment offering. It is currently 100% occupied and conveniently located near Salem Hospital, McCulloch Stadium, Willamette University and the heart of Salem's culture, food, and entertainment. Full Reno in the 90's. Updated carpets and fresh paint where needed. Room mix is Four 1-Bed 1-Bath. Showing instructions contact Listing Broker and please do not disturb tenants. Contact for more information