Self-Directed IRA or Solo 401K – What is the Better Retirement Strategy for Me?

April 25th, 2013

At one point in everybody’s life they have or will contemplate the dilemma of what retirement plan is best suited for them. There are over 45 million IRA today. However, that does not necessarily mean the Self-Directed IRA is the right retirement strategy. A Self-Directed IRA, which is governed by the rules pursuant to IRC [...]

April 25th, 2013

Converted IRA funds withdrawn before age 59 ½ are never subject to income tax. However, they will be subject to the 10% penalty for early distributions (unless another exception applies) if they have been in a Roth IRA for less than five years. Each conversion starts its own 5-year clock and the converted amounts are [...]

March 6th, 2013

The IRS has always permitted an IRA to purchase or hold real estate or raw land. Making a real estate IRA investment is as simple as writing a check. The Internal Revenue Code does not describe what an IRA can invest in, only what it cannot invest in. Internal Revenue Code Sections 408 & 4975 [...]

March 1st, 2013

When it comes to making investments with a self-directed IRA LLC, the IRS generally does not tell you what you can invest in, only what you cannot invest in. The types of investments that are not permitted to be made using retirement funds is outlined in Internal Revenue Code Section 408 and 4975. These rules [...]

February 28th, 2013

In general, the Internal Revenue Code does not describe what a Self Directed IRA can invest in, only what it cannot invest in. Internal Revenue Code Sections 408 & 4975 prohibits Disqualified Persons from engaging in certain type of transactions. The purpose of these rules is to encourage the use of IRAs for accumulation of [...]

February 26th, 2013

In general, when it comes to making self-directed IRA real estate investments, all expenses associated with the IRA owned real estate must be paid using IRA funds. In other words, payment of any expenses associated with the self-directed IRA real estate investment must be made using IRA funds and not by the IRA owner. The [...]

February 26th, 2013

In general, the IRS does not tell you what type of investment you can make using retirement funds, only the type of investments that are prohibited. These types of transactions are referred to as the “Prohibited Transaction” rules. Internal Revenue Code Section 408(m) lists the type of precious metals and coins that are permitted investments [...]

February 21st, 2013

The IRS has always permitted real estate to be held inside IRA retirement accounts. Investments with a Real Estate IRA are fully permissible under the Employee Retirement Income Security Act of 1974 (ERISA). IRS rules permit you to engage in almost any type of real estate investment, aside generally from any investment involving a disqualified [...]