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17 August 2016 | 11 replies
@Dan KrupaFollowing 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); andThe 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.)
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13 July 2020 | 3 replies
The few I've found who offer this charge rates SFR investors can't afford because they are built for MFR institutional investors.
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17 August 2016 | 12 replies
When a Federally insured lending institution does not want to lend in a certain area they can not come out and say that they won't lend in that area, because that's redlining.
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7 September 2016 | 11 replies
Please remember that each institution conducts their process slightly different.
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19 August 2016 | 0 replies
We're currently holding 24 million in escrow for institution please reach out to me
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12 December 2017 | 62 replies
I asked them what happened and they said they sold a bunch of deals in bulk to an institution investor and my deal was in that package.
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29 August 2016 | 6 replies
Happy to network, I help accredited investors buy into institutional grade $50-125M projects with as little as $100,000 and diversify.
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25 August 2016 | 5 replies
They are afforded time by law before an eviction comes down the pike but you can institute your fees on them in the meantime.
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10 September 2016 | 89 replies
We're still growing in Cbus, have hot companies and educational institutions, and we're not oversaturated with MFH housing yet.
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24 August 2016 | 6 replies
Go to your bank, or a number of lending institution and tell them you'd like to get prequalified for an FHA loan.