Many people prefer the Roth IRA to other retirement savings plans. The income grows tax free, and distributions in retirement from a Roth IRA are tax free, as well. Distributions from the plan are not included in your income, which can greatly reduce your income tax liability … Read More
Real estate IRAs are a favored strategy investors use to build tax-sheltered retirement income. Individuals who aren’t familiar with self-directed retirement plans are often excited to learn an IRA can own real estate. And, depending on what type of plan you use, you can earn tax-deferred income … Read More
The housing market is presenting a few challenges to consumers right now. The inventory is there (for the most part), but consumers are challenged with higher-than-average home costs combined with historically high inflation and interest rate hikes. At the same time, rent rates have also skyrocketed. So, … Read More
It’s that time of year again. 2022 fair market valuations (FMVs) are required by the IRS for the assets in your retirement plan, as they are every year. These valuations must be assessed by the end of the income tax reporting year. You may be allowed to … Read More
While most of us start preparing our income taxes at the beginning of the year, there are moves you can take now to help relieve your tax burden before the year ends. When it comes to retirement planning there are strategies that can maximize your savings benefits, … Read More
Prohibited transactions are dealings your self-directed IRA must avoid to comply with IRS regulations that govern them. If you self-direct an IRA or solo 401(k), it is your responsibility to understand what these transactions entail and to avoid them at all costs. Failure to avoid prohibited transactions … Read More
Investors who follow IRA rules set and enforced by the IRS have one thing in common: They rarely get in trouble with the IRS regarding their retirement accounts. One rule that's important for self-directed IRA owners is to avoid dealings with disqualified persons. Why? Because compliance with the IRS … Read More
The IRS goes to great lengths to explain the prohibited transaction of your IRA dealing with disqualified persons. Prohibited transactions in your IRA can incur penalty, taxation, and even the loss of the tax-sheltered status of your account. However, there’s one tactic IRS regulations do allow that … Read More
Partnering funds to invest is not a new practice. Savvy investors pool funds for a few reasons. Doing so decreases an investor’s liability should the venture run amok. Partnerships also help individuals invest in lucrative assets they’re unable to acquire alone. This strategy also works if you … Read More
Solo 401(k) plans allow corporations, partnerships, and sole proprietorships with no employees (aside from you, your spouse, and/or business partner) to make contributions toward retirement. Self-directed solo 401(k) plans give small business owners the freedom and control to choose their own assets and use alternative investments to … Read More
