A World of Investment Opportunities
With IRA Financial Group Self-Directed IRA LLC or Solo 401(k) Plan, you will gain the opportunity to make almost any type of investment using your retirement funds, including real estate, precious metals, tax liens, tax liens, private business, third-party loan, and much more tax-free and without custodian consent!
You're only limit is your imagination. The IRS only describes a small number of transactions that are not permitted. With a Self Directed IRA LLC or Solo 401K Plan, you as the LLC manager of Solo 401k Plan trustee have the “checkbook control” to make the investments you want when you want tax-free and without custodian! Of course, you can still make traditional investments, such as stock and mutual fund investments, as you did with a regular IRA, however, you will now have the ability to diversify your retirement portfolio by using your retirement funds to make real estate and other types of investments not typically permitted by a traditional IRA custodian.
By using retirement funds to make an investment, in general, all income and gains from your IRA or 401K Plan investments will flow back into your IRA or Plan tax-free!
By using a Self Directed IRA or Solo 401K Plan to make investments, the IRA holder or Solo 401K Plan participant is able to defer taxes on any investment returns, thus, allowing the IRA holder or Solo 401K Plan participant to benefit in three ways. The first benefit is tax-free growth: instead of paying tax on the Self Directed IRA or Solo 401(k) Plan returns of an investment, tax is paid only at a later date when a distribution is taken, leaving the investment to grow tax-free without interruption. The second benefit of tax deferral is that a Self Directed IRA or Solo 401(k) Plan investment is usually made when the IRA holder or Solo 401K Plan participant is in his or her highest income earning years and is thus subject to tax at a higher tax rate. The third benefit is the ability to defer taxes on investments in the face of increased federal income tax rates. With tax rates at a historical low (the highest income tax bracket in 1986 was 50% and in 2000 was 39.6%), the likelihood of higher federal income tax rates in the near future are significant, especially with the financial strain the baby boomer generation is expected to have on the federal budget. Thus, the ability to defer tax on investments until the IRA holder or Solo 401(k) Plan Participant is 701/2 and likely in a low income tax bracket makes a Self Directed IRA LLC or Solo 401(k) Plan a highly attractive investment vehicle.