Robert Pickles
Feedback on MidAtlantic IRA
22 September 2018 | 15 replies
@Kim BlattYou may want to look into a self-directed solo 401k plan if you are looking for ultimate control over your retirement funds.Following are the similarities and differences between the solo 401k and the self-directed IRA.The Self-Directed IRA and Solo 401k Similarities Both were created by congress for individuals to save for retirement;Both may be invested in alternative investments such as real estate, precious metals tax liens, promissory notes, private company shares, and stocks and mutual funds, to name a few;Both allow for Roth contributions;Both are subject to prohibited transaction rules;Both are subject to federal taxes at time of distribution;Both allow for checkbook control for placing alternative investments;Both may be invested in annuities;Both are protected from creditors;Both allow for nondeductible contributions;Both are prohibited from investing in assets listed under I.R.C. 408(m).The Self-Directed IRA and Solo 401k DifferencesIn order to open a solo 401k, self-employment, whether on a part-time or full-time basis, is required;To open a self-directed IRA, self-employment income is not required;In order to gain IRA checkbook control over the self-directed IRA funds, a limited liability company (IRA LLC) must be utilized;The solo 401k allows for checkbook control from the onset;The solo 401k allows for personal loan known as a solo 401k loan;It is prohibited to borrow from your IRA;The Solo 401k may be invested in life insurance;The self-directed IRA may not be invested in life insurance;The solo 401k allow for high contribution amounts (for 2016, the solo 401k contribution limit is $53,000, whereas the self-directed IRA contribution limit is $5,500);The solo 401k business owner can serve as trustee of the solo 401k;The self-directed IRA participant/owner may not serve as trustee or custodian of her IRA; instead, a trust company or bank institution is required;When distributions commence from the solo 401k a mandatory 20% of federal taxes must be withheld from each distribution and submitted electronically to the IRS by the 15th of the month following the date of each distribution;Rollovers and/or transfers from IRAs or qualified plans (e.g., former employer 401k) to a solo 401k are not reported on Form 5498, but rather on Form 5500-EZ, but only if the air market value of the solo 401k exceeds $250K as of the end of the plan year (generally 12/31);When funds are rolled over or transferred from an IRA or 401k to a self-directed IRA, the amount deposited into the self-directed IRA is reported on Form 5498 by the receiving self-directed IRA custodian by May of the year following the rollover/transfer.Rollovers (provided the 60 day rollover window is satisfied) from an IRA to a Solo 401k or self-directed IRA are reported on lines 15a and 15b of Form 1040;Pre-tax IRA contributions on reported on line 32 of Form 1040;Pre-tax solo 401k contributions are reported on line 28 of Form 1040;Roth solo 401k funds are subject to RMDs;A Roth 401k may be transferred to a Roth IRA (Note that from a planning perspective, it may be advantageous to transfer Roth Solo 401k funds to a Roth IRA before turning age 70 ½ in order to escape the Roth RMD requirement applicable to Roth 401k contributions including Roth Solo 401k contributions and earnings.)
Rich Weese
Just accept it – we're going broke!
23 September 2012 | 7 replies
Seriously, the big three have cut their manufacturing and distribution capacity by half, and while that makes them profitable for now, they'll never be able to build the volume of cars they did in the past.
Chad White
Investmenting funds from retirement account in flipping
27 September 2012 | 8 replies
The IRA will be considered to be immediately distributed in full and your father will owe all taxes and penalties associated with the transaction.There is no way around this.Even if he were to make this investment with a non-disqualified person the IRA would still owe taxes if this was an active business like fix and flipping or wholesaling.
Account Closed
Where to began when learning about your market?
25 September 2012 | 10 replies
Create your own survey to distribute in the area of interest.
Victor Bellino
Evicting a nightmare tenant in Nevada?
8 October 2012 | 14 replies
When the court renders a decision on the landlord’s claim for possession, it shall distribute any rent paid into court under subsection 1 upon a determination of the amount due to each party. 4.
Jason T.
Invest in Debt...great read, I want more
27 April 2015 | 47 replies
One of the drivers of the mortgage crisis was the US model of origination with intent to distribute the risk.
Ann Bellamy
We had a HUGE success with our first Networking After Hours, inspired by Josh Dorkin and Kevin Amolsch of BiggerPockets
28 September 2012 | 15 replies
Flyers can either be distributed, or placed near the entrances.3.
John Ferrara
Need advice on proper way to disburse from LLC
29 September 2012 | 8 replies
The other 50% of the rental income take as a distribution from LLCs.
Scott L.
1st Chicago Property - How _____ did I do?
3 October 2012 | 42 replies
The last thing needed is misinformation being distributed to noobies like myself, only to turn us off to RE investment.
Jose Ramos
401k or refinance
14 October 2012 | 11 replies
When he retires, he can make payments from 401K distributions, and can pay it off right away if he wants, though I might spread it out over a few years to minimize the tax impact from the distributions (keep him in the lowest possible tax bracket).I see no reason to borrow from the 401K (which is typically limited to $50K and would necessitate monthly payments around $900 to pay it off in the max-allowed 5 years).