Self-Directed 401k Fidelity

Learn how to open self-directed 401k with checkbook control at Fidelity by reading this blog posting.

When you with checkbook control from a Solo 401k provider whose plan document allow for investing in alternative investments such as real estate, you will have option to open brokerage account at Fidelity in addition to opening bank account at your local bank. By opening brokerage account at Fidelity for your Self-Directed 401k you gain access to investing in both equities and alternative investments as well as .

Here is how a Self-Directed 401k with checkbook control works at Fidelity

Step 1: Find Solo 401k provider whose allow for investing in alternative investments such as real estate.

Step 2: Submit your new signed Solo 401k Adoption Agreement with Fidelity's special brokerage account forms which will be provided by your new self-directed 401k provider. 

Step 3: You will receive check book from Fidelity for placing your Solo 401k real estate investment purchases. 

Step 4: Your new fidelity brokerage account for self-directed 401k is administered by you as the Solo 401k trustee and administrator. Fidelity is only offering brokerage account. Therefore, the documents in connection with real estate purchase (e.g., recorded deed) is held by you as the trustee instead of Fidelity. Further, when you receive your quarterly Fidelity account statement, the real estate asset(s) will not be reflected because Fidelity is not the custodian of the .

Step 5: Process Solo 401k loan after your Solo 401k provider prepares Solo 401k loan documents. You as trustee of the Solo 401k will administer the Solo 401k loan, not Fidelity. Therefore, you are responsible for timely making the Solo 401k loan payments and following the Solo 401k loan rules.

To learn more about the personal 401k plan, including how to invest in real estate, visit: 

800-489-7571