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Protection Cost Tracking & ROI

Track every dollar you spend on asset protection. Lawsuits will happen — proper structure ensures one bad lawsuit doesn't take down your entire financial house.

Protection Cost Calculator

Drag the slider to see the annual cost of keeping your assets properly structured and compartmentalized — so one lawsuit can't reach everything you own.

$3,000
$0 $10,000
Annual Cost
$3,000
per year
Cost Per Property
$250
across 12 properties
Years to Equal One Lawsuit
25
at $75,000 lawsuit cost
Your annual cost Lawsuit defense: $75,000

Your $3,000/year in protection costs equals one lawsuit every 25 years. Most investors face a lawsuit within 15 years of owning rentals.

Sample Cost Breakdown

Track every protection-related expense by type, entity, and recurrence.

Protection Costs
Type Description Entity Amount Recurring
Formation Wyoming LLC filing Midwest Holdings $100
Registered Agent Annual agent fee Midwest Holdings $149 Annually
Annual Report State filing fee Midwest Holdings $52 Annually
Attorney Annual review General $500 Annually
Insurance Umbrella policy General $1,200 Annually
Annual Projection
$3,450
Recurring / Year
$2,800
Cost Records
12
Cost / Property
$287

Asset Protection Doesn't Prevent Lawsuits — It Contains Them

If you own rental properties long enough, you will face a lawsuit. A tenant slip-and-fall, a contractor dispute, a property damage claim — it's a matter of when, not if. Asset protection doesn't stop these lawsuits from happening. What it does is contain the damage.

Without Entity Structure

When you own properties in your personal name, a lawsuit related to any one property could potentially expose your other assets. There's no structural separation between your rental business and your personal finances.

With Entity Structure

Properly maintained entities create a layer of separation between each property and your personal assets. The degree of protection depends on entity type, state law, how the claim arises, and whether you've maintained proper formalities — but the structural barrier exists.

At $3,450/year ($287 per property), you're paying for structural separation — creating barriers between your properties and your personal finances. Entity protection is not absolute (courts can pierce the veil, and personal actions can create direct liability), but proper structure and ongoing compliance significantly improve your position. That's what this app helps you track.

This is general educational information, not legal advice. Consult a qualified asset protection attorney for guidance specific to your situation and state.

Know the Cost of Compartmentalization

Track what you spend on entity formation, compliance, and insurance — and know that every dollar buys containment, not just paperwork.