Roth checkbook LLC NJ/NY

[Gayatri Martin]

HI, I have read many questions and replies that have been helpful.

I live in NYC and BroadFinancial opened the business in NJ. "open a checking account at the bank of your  choice." Is not true. They want to know what I am using it for, where is my business, I am I the owner etc...

To open in NYC does it depend on the, bank Popular (not fees, not min balance) need a authority for doing business in NYC $260 ( I could have just set the LLC up in NYC.I think the annual fees are still cheaper for NJ $50 year? Cap One ( no fees with $2k bal) sounds like they will open the biz checking with the NJ Certificate of formation but they need a higher min balance to avoid fees.

IRA Financial can set up the checking with CapOne with no fees, wires or maintenance?!

Broad will do it through an online bank United but they charge $15 month for the wire feature and $12 month if bal goes below $1500..

I am just trying to avoid unnecessary fees that will eat away at what I have.

I am thinking to NOT invest any more in my ROTH and just use that $ to buy Gold. What are the advantages as self employed, to start saving in a SD 401k?

I also heard about a Maximum funded tax advantage Insurance Contract on 'Money revealed' by Doug Andrew. LASER? Seems a good option for real Estate or was before covid anyway.
Time is ticking.

Do I need to pay $900 to open the LLC or can I do that in NYC or NJ for less safely?

I am getting tired but also know it is my responsibility to do my due diligence.

Thank you

Gaya

[George Blower]

@Gayatri Martin

Here are some issues to consider in choosing an Self-directed IRA provider:

1. In order to have checkbook control, the IRA account will need to be at a trust company that will allow the IRA to invest in an LLC (where you will be the manager and your IRA will be member - an as manager you will have checkbook access to the LLC bank account). Therefore, you will want to confirm that the trust company allows for investing in an LLC and the associated fees and minimum balance that applies to the IRA account.

2. Confirm that the IRA LLC provider will prepare all of the documents needed to not only form the LLC (articles of organization, SS-4 to obtain an EIN) but also the documents needed by the trust company to process the investment of IRA funds in the LLC.

3. Confirm that the provider has experience with the particular investments in which you intend to invest your retirement funds as you very likely will have questions in terms of the mechanics (e.g. how do you invest in real estate, etc.).

4. Confirm that the provider has a pristine reputation (e.g. Better Business Bureau reviews, etc.).

5. In addition, if you are self-employed with no full-time employees you may wish to consider opening a Solo 401k instead of a self-directed IRA as it has several advantages over an IRA LLC such as much higher contribution limits, direct checkbook control (i.e. no need to have the account at a specialty trust company), ability to take a 401k loan, exclusion from unrelated debt finance income tax with respect to investment in real estate acquired with non-recourse financing, etc.

In addition, please note if you purchase debt-financed real estate with your IRA, unrelated debt finance income tax should apply to the income attributable to debt-financed real estate held by your IRA. Of course, you will want to review your specific situation with your tax advisor.