Menu Close

Self-Directed IRA


from $1250
one-time establishment fee

IRA custodian fee

For those who want to make alternative investments.

A Self-Directed IRA allows investors to use retirement funds to buy alternative assets and diversify their retirement portfolio. You won’t find the term “Self-Directed IRA” in the Internal Revenue Code. A self-directed retirement plan simply refers to an IRA account that is permitted to be invested in traditional assets like stocks, but also alternative assets, like real estate and cryptocurrencies.  In the last several years, the number of self-directed IRA accounts has grown significantly.

The Internal Revenue Code does not describe what a self-directed IRA can invest in, only what it cannot invest in. As long as the retirement plan does not purchase life insurance, collectibles, or engage in a prohibited transaction outlined in Code Section 4975, then the investment can be made.

IRA Financial has partnered with Capital One Bank to simplify how you establish your Self-Directed IRA LLC. Your assigned specialist will open the plan bank account and complete all necessary documentation. All you have to do is invest your retirement funds in assets you know and trust.

Learn more about the Self-Directed IRA from the IRA Financial blog, videos, podcast and Forbes articles.

What our Self-Directed IRA offers

Self-Directed IRA with Checkbook Control

The IRA Financial checkbook control plan, also known as the Self-Directed IRA LLC, allows you make IRA investments without custodian consent. Every decision is truly yours and may be carried out by simply writing a check or executing a wire transfer from your Self-Directed IRA LLC bank account.

Tax Advantages

The Self-Directed IRA gives you all the tax advantages of a traditional IRA, as well as tax deferral or tax-free gains in the case of a Roth IRA. All income and gains generated by your IRA investment will flow back to your IRA tax free. 

Invest In What You Know

The Self-Directed IRA with checkbook control gives you the flexibility to make almost any type of investment, including real estate, private business entities, tax liens, precious metals, cryptocurrencies, private businesses, and more tax-free. 

Strong Creditor Protection

A Self-Directed IRA will generally be protected for up to $1 million in the case of personal bankruptcy. In addition, most states will shield an IRA from creditors’ attack against the IRA holder outside of bankruptcy. 

Speed & Lower Fees

When you find an investment that you want to make with your IRA funds, simply write a check or wire the funds straight from your Self-Directed IRA LLC bank account. This allows you to eliminate the delays associated with a custodian controlled IRA.

Limited Liability

An LLC will provide your IRA with limited liability protection. All of your IRA assets held outside the LLC will be shielded from attack.


Call us or fill out the form to speak to a tax professional.

What you get when you open an account

  • Checkbook Control Self-Directed IRA with an IRS-approved custodian, and an LLC tax ID number
  • A special-purpose Operating Agreement and Subscription Agreement
  • Help with transferring your funds to an FDIC-insured IRA custodian and your LLC, as well as with establishing a business bank account
  • Memo regarding the Self-Directed IRA LLC Structure
  • Tax consultation on the UBTI and UDFI rules
  • Tax consultation with CPA regarding tax reporting guidelines
  • Consultation with in-house tax professional regarding your Self-Directed IRA LLC structure and the prohibited transaction rules
  • Guaranteed IRS audit protection for your Self-Directed IRA structure

Terms you may have heard

We know there’s a lot of information out there; these terms will help you sort through the different types of plans.

Limited Liability Company

Limited Liability Company (LLC) has rapidly become one of the most popular business entity types for all types of businesses. This is largely because an LLC is considered to be simpler and more flexible than a corporation. The LLC business structure combines the pass-through taxation of a partnership or sole proprietorship with the limited liability of a corporation. 

Limited Liability Companies, like corporations, are recognized as separate legal entities. This means that the members of an LLC are protected from company debts, obligations, and liabilities. In the self-directed IRA LLC context, the IRA owns the LLC and the manager  of the LLC is the IRA holder (you).

Checkbook Control

A Self-Directed IRA with Checkbook Control means that an IRA holder has complete control over his or her retirement plan and investment opportunities. This includes discovering traditional and alternative opportunities, selecting assets for investment and much more. With this structure, you eliminate the need of custodian approval, thus eliminating custodian delays and fees. 

In order to obtain checkbook control, first establish a Limited Liability Company. Your IRA will own the LLC. However, you as the IRA holder, are manager. You must set up a checking account in the name of the LLC.

Prohibited Transactions

All retirement accounts have rules and regulations set by the IRS (Internal Revenue Service). This is the same for all types of Self-Directed IRA retirement plans. In the case of a Self-Directed IRA, not following the prohibited transaction rules can lead to high taxes and even disqualification of your IRA. 

According to the IRS, prohibited transaction are “…Certain transactions between a retirement plan and a disqualified person.” The Internal Revenue Service goes on to say that a prohibited transaction in an IRA is “…Any improper use of an IRA account or annuity by the IRA owner, his or her beneficiary or any disqualified person.”

The IRS doesn’t state what a Self-Directed IRA can invest in, but investments the IRA cannot make.

Disqualified Persons

Most prohibited transactions in a Self-Directed IRA involve dealing with a disqualified person. The IRS prohibits certain transactions involving the individual retirement account and the disqualified transaction. To remain compliant while self-directing your investments, you must avoid any transaction with disqualified persons. If you don’t, you can incur high penalties.

The primary reason IRA holders are not allowed to make certain transactions with disqualified persons is due to the self-dealing laws. This is when the IRA holder (or trustee) places his or her interests above the interests of the IRA. The purpose of an IRA is to save for retirement, not to benefit you personally prior to retirement age.

You can find the list of disqualified persons on the IRS website.

Please review the IRA Financial Glossary of Terms for more information on important Self-Directed IRA terms to help you direct your retirement account.

Get a Free Consultation with a Tax Specialist!

Take control of your retirement investments. Contact IRA Financial at 1-800-472-0646 or fill out the form to learn more about opening a Self-Directed IRA.

We don’t share your personal information with anyone. Check out our Privacy Policy for more information.


Free Consultation