This was something new to me that I learned of a few years back — https://www.harborlifesettlements.com/4-ways-filial-responsibility-laws-can-affect-you/
I tried posting in a few other subreddits at the time, but never ended up with any meaningful discussion on the topic.
In a nutshell, if your parents ran themselves flat broke because they were irresponsible – and yet you were very responsible and FIRE’d, your state may be able to come after your hard-earned finances too. Your parents credit card debts may not be able to be transferred to you, but depending on your state their medical costs potentially could.
Has anyone consulted with a lawyer or trust attorney in order to build strategies to protect assets from these types of cases? I wonder whether certain asset classes are beyond reach – such as retirement accounts, and a home.
I know a lot of people here are working hard to reach FIRE, and have some very smart ideas on how to get their and how to live on a safe withdrawal rate. But a $200,000 nursing home bill would probably blow a giant crater in most people’s plans … so I’m curious to know if anyone had devised strategies to protect their financial futures as much as possible?