It’s one thing to work hard and build up your nest egg and another to plan properly on how to protect your assets once you’ve accumulated them.

Everyone should take the time to sit down and educate themselves on estate planning and asset protection. People work hard all their lives to build retirement accounts, their own businesses and pay off their mortgages. Everyone is going to die at some point, and all people need to plan for their own legacy.

Consult with an advisor about the benefits of trusts. The revocable living trust is something that almost everyone should consider regardless of the size of your estate.

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If you don’t have a trust, your estate will be distributed according to your will and has to go through the probate process which can be costly and time consuming. Estates have been tied up in probate court for years.

When establishing a trust, pay careful consideration to who you choose to act as trustee. Many people will use a family member because they trust them, but it can be a very daunting task, especially for people who don’t have much experience dealing with institutions like the IRS.

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Trustees will have many deadlines to deal with and can expose themselves to tremendous liability. You may want to consider using a professional trustee.

A professional trustee can help alleviate family squabbles that may develop and be well worth the fee they charge for the service they provide.

Nevada is one of the most progressive states in the country when it comes to asset protection and estate laws. There’s a reason that Microsoft, based in Redmond, Wash., has its licensing office in Reno.

The Nevada legislature has been working very hard over the last several years to make Nevada number one when it comes to trust law.

The NING, or Nevada Incomplete Guarantor Trust, can help people protect assets like concentrated equity positions from state tax even if they are not residents of Nevada. In California, trust taxable income is subject to a rate as high as 13.3 percent, which can be avoided by establishing a Nevada trust.

Nevada also has favorable laws for small business entities. The LLC or Limited Liability Company provides a form of business ownership that can offer protection of your personal assets separate from the assets of the business.

Virtually everybody needs to consult with an expert to plan on how to best protect your hard earned assets.

Kenneth Roberts is a Truckee-based Registered Investment Advisor. Information on his money management service can be found at his blog at http://www.sellacalloption.com or by calling 775-657-8065. Past performance does not guarantee future results. Consult your financial adviser before purchasing any security.