Why Entertainers Need Advanced Planning

There is a myth out there that only the wealthiest of entertainers are in need of advanced estate planning strategies. This is not true, because every entertainer could benefit from putting these plans in place before they hit “the big time”. Being skyrocketed into the spotlight highlights the paramount importance of planning, because spending habits and income potential could make these same individuals a target for frivolous lawsuits. 

One of the other issues faced by any entertainer or artist is that there are unique assets. This could include residuals, deferments, or royalties. One tool that is especially helpful for individuals in the entertainment world is the captive insurance company. An estate planning attorney can help you create custom coverage to maximize wealth and minimize taxes.

For entertainers, handing off to heirs can be made more complex by the unique nature of assets like copyrights and trademarks. Life insurance may be another planning opportunity in these situations.