Against All Odds -Tips On How To Protect Your Assets

It is said that the wealthiest 1 percent owns 40% of the world’s assets. This statistic should raise your concern if you are among them and a major concern if you are not. Knowing how to protect your assets is more important now than ever before and has never been as necessary.

The IMF estimates that global wealth inequality will be even further pronounced by 2025, with 69 percent of all non-financial assets owned by a mere 0.5 percent of the planet’s population in 2016. This means that the wealthy will be getting richer.

What should you do to avoid being a statistic? Here is some advice to protect your assets.

1. Control Your Assets Early

Your wealth starts with your mind and your education, that is why it is important to start early if you want to become a billionaire. Your business skills will be worth more than what you actually have by learning how to make sound investments in the future. You need to start preparing for the future even when your income is small, because it will allow you to build financial security so as not rely on an employer for for future income when you retire or lose your job.

2. Control Your Kids

It is always debatable and can be controversial to apply the same rules for your kids as for yourself and that includes their inheritance. Kids are usually not mature enough to handle large sums of money but there is also the possibility that they might squander it away by being reckless with it. If you choose to give your kids a financial allowance, make sure they know how to use it properly or at least teach them how you would want them to use it in case you will pass away soon. You can teach them by letting them handle your assets so that they will see where the money comes from. They will also know the value of taking care of your assets, that is why they need to respect them and use them wisely.

3. Protect Your Intellectual Property

Intellectual property includes patents and copyrights, trademarks and trade secrets that have intangible value. If you have something in mind or build something new, it is important that you protect it by filing intellectual property licenses before someone else does and claim your ownership to it. This can give you a competitive edge in any industry because this property has value regardless of the amount of money invested in it. It can also inspire other people to create more things like what you have done so expect some competition from other major players.

4. Keep Your Records

It is important that you have a paper trail of your investments, so that you take care of them or at least pay attention to need to make sure that they are not lost. You can also use your records to see where they have gone and make sure you can retrieve it later if needed. As long as you have a good record keeping system and keep your records in a safe location, it will be hard for someone to steal all those details about your investments. Also you should review these records regularly so that the information is accurate.

5. Invest in your Future

When you have reached a point where you have more than enough money to take care of your needs and wants, then maybe it is time to start investing in projects that will bring you some more money. These projects may include lending money to startups or developing new products that are related to the industry you are in. If done right, these investments can bring forward new opportunities for growth and the chance of getting a huge profit. But it is important that these investments be reviewed regularly because there is no guarantee that these investments will work out as expected, so this requires patience and lots of hard work.

6. Get a Will

A will will help you control the distribution of your assets upon your death so that they cannot be taken by anyone you do not want to. Having a will can also protect them during your lifetime so that they are protected in case of accidents or illnesses. Also it is important that you keep track of your wills because document maintenance is one of the best ways to secure a solid record for all the transactions and transactions that have happened. Once again, it is important to follow up on this regularly because in case something happens, it may be hard to piece together how all these things were done if you did not save notes about it.

7. Study Taxes

Taxes can be a big burden on your finances especially if you are doing something that is not considered legal. This is the case with tax evasion. It can also be very costly if you do not take advantage of all its benefits because it can raise your own taxes. So it is important that you know how to make use of the advantages of doing things legally and follow up on anything regarding this to avoid problems later on.

8. Open a Bank Account

Opening an account in one of the major banks will take care of most of your financial needs as long as you have a good relationship with them.. You can deposit and withdraw money for free, you can use their ATM, you can pay for your bills and have multiple accounts with their services. These accounts will be safe if kept in the right place, but it is also important to regularly review your account or at least keep records of how much money is in it so that you know how much to spend on each month.

9. Set Aside Money for Your Employees

If you want your business to grow, then it is important that you take care of your employees by paying them fairly so they will do the best they can to keep their jobs. If you are not sure what fair pay is, then ask an expert or use online tools like payscale.com to get an idea of what is fair. Then make sure you are paying them enough so that they do not have to leave the company and take another job which is more lucrative. If this happens, it will be hard for your business to thrive and grow, so it is better to pay them enough and live with their performance rating if something does not work out for whatever reason.

10. Invest in your Post-Employment Life

Once you reach retirement, or at least want to advance far enough in your career to retire early, then it is important that you invest wisely in yourself so you will be able to live comfortably without depending on others for money once you are past your working years.

Conclusion

These are some things that you can do to make sure that your investments are protected and grow while you are at it. There is no guarantee that these will work out with everything in place, so there will be hard work involved. But if done right and every precaution is taken, you can use these to protect your future and enjoy the fruits of your investments as long as you do not overspend too much.

Featured Image via Fotolia | Zygisme | Wavebreak Media – Titov Andrii & Evgeniy BOIKO / Shutterstock.com & Tatiana Shepeleva / Shutterstock.com

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