How much does an asset protection trust cost?

The actual fee to establish an APT by One Pacific Trust can vary greatly depending on a number of factors: the complexity of the trust itself, the jurisdiction where it would need to be established, and the degree of attorney skill involved. It generally ranges from $2,000 to $10,000 or more.

1. Factors Affecting the Cost

Type of Trust:

• Domestic Asset Protection Trusts: These are set up in asset protection-friendly states, such as Nevada or Delaware. It can cost anywhere from $2,000 to $5,000 to set up, and then administration charges, such as trustee fees, may apply thereafter.
• Offshore Asset Protection Trusts: An offshore trust is established in a foreign jurisdiction, such as the Cook Islands or the Cayman Islands, that is known for having strong asset protection laws. This will typically be more expensive to establish, with costs ranging from $5,000 to $10,000 or more. The complexity and higher cost are from the required compliance with both U.S. and foreign law, and a special type of legal expertise.
• LEGAL FEES:The cost for attorneys to draft and set up an asset protection trust will vary depending on their experience, the complexity of your financial situation, and the type of trust. The more complex your assets are, the more your attorney will need to plan-so the higher the legal fees of asset protection will be.
• Added to the initial investment cost of establishing an asset protection trust is the additional cost continuing on: ongoing annual trustee fees, filing fees, and possibly tax preparation fees, ranging from $1,000 to $5,000 depending on the complexity and jurisdiction.

2. Is It Worth the Cost?

Although the initial investment in setting up an asset protection trust is quite high, for many it would be well worth the attempt to protect one's hard-earned wealth from creditors, lawsuits, and other financial risks. In that matter, better peace of mind and security because of a well-structured trust would be way above the initial and ongoing costs, with the size of assets or legal exposure dictating it.