Comparison
Wyoming vs. Nevada asset protection.
Two of the strongest domestic regimes. Nevada wins on seasoning and exception creditors; Wyoming wins on LLCs and on cost.
Short answer: Nevada has the shortest seasoning period in the country and, uniquely, no statutory exception creditors, which is why it produced the leading case in which a domestic trust actually held. Wyoming has the strongest LLC statute in the country, lower cost, and a notice-triggered 120-day bar. Many plans use both.
Side by side
| Wyoming | Nevada | |
|---|---|---|
| DAPT authorized | Yes, Qualified Spendthrift Trust (2007) and Discretionary APT (2013) | Yes, NRS ch. 166 (1999) |
| Seasoning | 120 days after notice; absent notice, later of 2 years or 6 months after discovery | 2 years, or 6 months after discovery, whichever is later |
| Exception creditors | Yes, includes support claims | None |
| Burden on creditor | Clear and convincing | Clear and convincing |
| State income tax | None | None |
| Dynasty duration | 1,000 years | 365 years |
| Single-member LLC protected | Yes, express statutory protection | Yes, express statutory protection |
| Charging order | Exclusive; foreclosure barred; uniquely extends to the LLC’s own assets | Exclusive; foreclosure barred |
| Relative cost | Lower | Higher |
Where Nevada is genuinely ahead
The absence of exception creditors is not a technicality. In Klabacka v. Nelson the Nevada Supreme Court held that self-settled trust assets could not be reached for spousal and child support obligations unknown when the trusts were created, expressly because Nevada, unlike South Dakota, Wyoming and Florida, has no statutory support exception. That is the strongest published domestic result in the country, and it is a direct product of that legislative choice.
Where Wyoming is genuinely ahead
Wyoming’s LLC statute is the best in the United States. Charging-order exclusivity applies to single-member LLCs by express statute, foreclosure is barred, and the protection uniquely extends to the LLC’s own assets. Wyoming is also meaningfully cheaper to establish and maintain, has no state income tax, and permits 1,000-year dynasty trusts.
Disclosure: we operate Tresp Corporate Services, a Wyoming registered agent and corporate compliance company, and we maintain an office in Kemmerer, Wyoming. We think Wyoming’s LLC statute is the best in the country on the merits, but you should know we have a business there.
Why many plans use both
A common structure pairs a Nevada trust, for the short seasoning period and absence of exception creditors, with Wyoming LLCs holding the underlying assets. See Wyoming asset protection and Nevada asset protection.
Which is right for you
If support claims are a realistic concern, Nevada’s lack of exception creditors is decisive. If the plan is entity-heavy or cost-sensitive, Wyoming is. Combining them is often better than choosing. We work across all of these jurisdictions and have since 1992, which means we can tell you candidly when the cheaper option is the right one, or when neither is. To talk it through, call (858) 755-6672.
Before you choose on price
Jurisdiction is the last decision, not the first. Timing, funding, and control determine whether any of these structures holds, see our fraudulent conveyance page and the case-law library. A cheaper jurisdiction that fits your facts beats an expensive one that does not. This page is informational and is not legal advice.
Related resources
Keep going
Common questions
Frequently asked
Which is better for asset protection, Wyoming or Nevada?
Nevada has the shortest seasoning period and no statutory exception creditors, which produced the leading case in which a domestic trust held against a support claim. Wyoming has the strongest LLC statute in the country, lower cost, and 1,000-year dynasty trusts. Many plans use a Nevada trust holding Wyoming LLCs.
Does Wyoming protect single-member LLCs?
Yes. Wyoming provides express statutory charging-order protection for single-member LLCs, bars foreclosure, and uniquely extends protection to the LLC's own assets. That places it ahead of most states, many of which either exclude single-member LLCs or are silent.
What are exception creditors?
Categories of claimant a DAPT statute carves out from spendthrift protection, most commonly spousal and child support, and sometimes pre-existing tort claimants. Nevada has none, which is unusual. Wyoming, South Dakota and Florida all have support exceptions.
This website is for general informational purposes and does not constitute legal advice or create an attorney-client relationship. Every situation is different; please consult a qualified attorney about your specific circumstances.
Here to protect what is yours
Speak with our skilled attorneys.
Request a consultation to create a customized protection plan for your family and business.
Contact us today