Most Business Owners think their Money is Protected
Lawsuits happen, Creditors show up, The IRS audits.
When things go wrong, most assets are exposed.
But there is a little-known IRS-approved retirement structure that—when designed correctly—can provide one of the strongest levels of asset protection allowed under U.S. law.
It’s called a 412(e)(3) Defined Benefit Plan. This is not a 401(k).
This is not something your average CPA or financial advisor understands.
A properly structured 412(e)(3) plan is:
- Backed by guaranteed insurance contracts
- Governed under ERISA protections
- Designed for high-income business owners
- Structured to be creditor-resistant in ways most plans are not
In fact, this is why retirement plans governed by ERISA have historically remained protected even in extreme legal cases.
Take the O.J. Simpson case. Despite massive civil judgments against him, qualified retirement assets remained protected under federal law.
That outcome shocked the public—but it was completely legal.
The takeaway isn’t the person.
The takeaway is the structure.
And here’s what most people don’t realize:
Not all retirement plans are created equal.
A 412(e)(3) plan can allow:
- Very large tax-deductible contributions
- Stronger insulation from creditors compared to taxable assets
- Long-term, contractually guaranteed accumulation
- A level of legal structure most professionals never work with
That’s why very few advisors can even explain this plan correctly, let alone design one. This is why this strategy is typically reserved for:
- Business owners
- Medical professionals
- Attorneys
- High-income entrepreneurs
This is not a mass-market strategy.
It requires precise design, strict compliance, and specialized knowledge.
Which is exactly why most people never hear about it.
If you’re a business owner with consistent income and you want to understand:
- Whether a 412(e)(3) plan is even possible for you
- How asset protection actually works under federal retirement law
- And why this strategy is rarely discussed
Reach out to me directly.
I’ll walk you through:
- How it works
- Who it’s for (and who it’s not)
- And whether this strategy makes sense for your situation