Own Nothing, but Control Everything – A Concept That Can Change Your Life

[KDX]

But what if you Know the Known but are actually⁤ unaware that it is an Unknown? But what if the Unknown Unknown if something that⁣ you just aren't yet aware is actually an Unknown Known? Or maybe an Known Unknown?⁢ What if an Unknown Unknown were to actually be a Known Unknown because we cannot︀ define an Unknown Unknown? How can we understand something that we aren't aware of? Wouldn't︁ an Unknown Known be the same as an Unknown Unknown? Unknown?

- Unknown

 

[GPT]

Actually… hundreds of years ago it was easier. There is too much case law︀ now that complicates it and can cost a small fortune to be compliant with all︁ jurisdictions applicable to your personal situation.

If you say that it’s easier and more accessible︂ now, then I have to agree. In some occasions I even dare say that limits︃ are too low.

 

[fanban]

I knew the first but not the‍ second family. So, these are the one belonging to the 1% everyone is talking about,⁠ interesting.

 

[Golden Fleece]

"The time to buy is when there’s blood in the streets." Baron Rothschild (spoken after the‌ Battle of Waterloo).

 

[sonato]

I like this article, it actually finally explains what is going on in this damn‌ world. It has probably been like this since money was invented but I'm glad to‍ get confirmed in what I always thought the financial world was

 

[bubbledouble]

what a read I got there... thanks for all the information.

 

[burden]

I would love if someone in a few sentences could explain how to achieve the‌ "own nothing but control everything model in 2022 ?

 

[KDX]

All of your assets owned by an offshore trust and its corporate vehicles/foundations. You'll still be‍ taxed but it's the best you can do.

 

[Golden Fleece]

It is not that simple, unless you are setting aside wealth for future generations. Maximum protection‍ in an offshore trust comes from your making an irrevocable transfer to the trust and⁠ giving up control of the assets.

People do not like giving up control over their⁤ hard-earned wealth, which is why trusts are not more popular. Of course, it also depends⁣ on the laws of your country. Some of this information in this article is dated,⁢ but it provides a good overview of a foundation versus a trust:
https://www.escapeartist.com/blog/offshore-trust-panama-foundation/

 

[zzzzzz]

Can irrevocable trust lend money to settlor? Are there any tax consequences? What if settlor‌ doesn't repay that loan?

 

[CyprusLawyer101]

All your questions are dependable to‍ facts and circumstances. If lending is within the framework assigned to trustees then yes, however⁠ this should mean the settlor is also within the list of beneficiaries of the trust.⁤ Tax implications are dependent on the tax residency of the trustees and the settlor as⁣ well as the tax rules governing the particular trust. Non-repayment would be governed by normal⁢ rules of lending, but it may affect trustee duties negatively especially if other beneficiaries exists︀ . Tax wise it might raise a benefit of a recievable which may carry a︁ tqx implication for the settlor - of course again depends on the jurisdixtions involved and︂ their tax rules.
In general your quiestions points towards exploitation of the trust rules, which︃ in essense weakens the viability/robustness of the trust.

 

[Golden Fleece]

That is the problem with‍ trusts. People want all the benefits, but none of the responsibilities and duties.

Trusts are⁠ great for legacy planning for future generations, not so great as a legal tax dodge⁤ or for anyone who wishes to retain full and complete control over their (trust) property.⁣

 

[bountymounty]

amazing story, I really had pleasure of reading this, so starting researching to find more‌ about this great topic.

 

[boomy]

True but sad, what will you do for the future⁤ planning ?!?

 

[clemens]

It's an inetersting read I agree.

 

[Golden Fleece]

What I was saying was that you can proactively plan for anything in life, except for the unknown unknowns. So, do not worry about those few things that‌ you cannot control -- and avoid planning paralysis (based on the fact that you cannot‍ plan for absolutely everything).

 

[boomy]

beside tax it is a fantastic way to protect assets I believe?

 

[KDX]

I think so, yes.

 

[JohnDones]

What nobody talks about is at what NW do you even consider this? That's how‌ a guy earning 100k per year thinks it's a good move for him.

 

[GPT]

Specifically protection is in play when you have corporate entities owning all of‌ your assets. If it ends in a trust it also helps you plan your estate‍ ie who gets what after you pass away. You have a lot more control with⁠ a trust compared to your national inheritance laws.

A trust will not completely bypass any⁤ and all inheritance law but will definitely give you lots and lots more control.