Alternative investments such as real estate have always been permitted in IRAs; it even says so right on the IRS website. But few people seemed to know about this option until the last several years. A Self-Directed IRA is essentially an IRA that allows for alternative asset investments, such as real estate or even cryptocurrency.  Traditional financial institutions do not allow IRAs to invest in IRS-approved alternative assets, such as real estate, because their focus is on earning fees through traditional investments. When it comes to making investments with a Self-Directed IRA, the IR ..read more

Thanks to the Secure Act 2.0, which became law in December 2022, Solo 401(k) employer profit-sharing contributions can now be made in pre-tax or Roth.  This article will explore the tax ramifications for the employee and employee in the case of employer profit-sharing contributions made in Roth. However, before we get into the Solo 401(k) employer profit-sharing contribution Roth rules, it is important to understand what a Solo 401(k) plan is and how the 2024 Solo 401(k) contribution rules work. What is a Solo 401(k)? A Solo 401(k) plan” is an IRS-approved retirement plan, which is desig ..read more

There is a well-known saying among crypto enthusiasts – “no keys, no cheese.”  The idea behind this phrase is that without having total control over your Crypto IRA private keys you don’t have complete ownership of the cryptos.  Unfortunately, when it comes to a Crypto IRA, holding your IRA private keys is not so simple. Why Are Crypto Private Keys So Important? A crypto private key is only used to sign transactions and prove you own the related public key. A private key is a large, arbitrarily generated string of alphanumeric characters with hundreds of digits. This secret num ..read more

Precious metals have always held up well in times of economic upheaval. Obviously, there’s a finite amount of metals on this planet. Unlike dollar bills, you can’t just create more of it. It’s the biggest reason metals tend to hold their value. Investor and financial commentator, Jim Rogers, recently stated how this is the “worst bear market in his lifetime,” and how investing in silver may be your safest bet right now. Gold has always been the first metal people turn to, however, silver may be as important in today’s world. Not only is silver used in jewelry and eating utensils, but it’s also ..read more

With over 65 million IRAs and approximately $13 trillion of IRA funds, most American’s savings are in IRAs.   The reason that saving through an IRA is so popular is because the IRA regime is based on two very important tax principles: (i) tax deductions and (ii) tax deferral.  With a pre-tax IRA, one will receive an income tax deduction for making an IRA contribution (a Roth IRA is an after-tax IRA).  Additionally, all income and gains earned in an IRA will generally flow back to the IRA without tax. Types of IRAS The most common types of IRAs are Traditional IRAs, Roth IR ..read more

Using a Solo 401k to buy real estate may be more advantageous than a Self-Directed IRA if you meet the eligibility requirements for the plan and wish to use a nonrecourse loan. In this article, we’ll take a look at real estate investments with the Solo 401k. The Solo 401k A Solo 401k is a qualified retirement plan that is similar to a traditional 401(k), except this retirement plan covers one person. There are two eligibility requirements for establishing a Solo 401k plan, but if you meet them, the individual retirement plan can’t be beat. (1) You must generate a form of self-employment income ..read more

One of the primary reasons the Self-Directed IRA has grown in popularity over the last fifteen years is the investment freedom it offers retirement account investors. With a Self-Directed IRA, one can use an IRA or 401(k) plan to invest in almost any type of asset, such as real estate, private businesses, investment funds, cryptos, gold, CBD, and much more.  This article will explore how one can use a Self-Directed IRA to invest In CBD companies and the tax benefits associated with such an investment. What is CBD? The cannabis plant is one of the oldest cultivated plants on earth. Hemp a ..read more

We provide popular investments for Millennials, as not every investment class is ideal for every generation. Millennials who are looking to use retirement funds to make popular investments can Contrary to popular belief, Millennials are good at saving their money. Unlike other generations, Millennials spend less on entertainment, clothes, and even dining out. Although Millennials can be better at saving for retirement, according to a recent Forbes article, one important factor preventing them from saving for retirement is a lack of access to employer-sponsored retirement plans. More than two o ..read more

Not all Self-Directed IRAs are the same.  The reason for this is that most Self-Directed IRA companies are only offering one type of Self-Directed IRA and do not have the experience and expertise to offer the ultimate Self-Directed IRA solution – the IRA LLC.  Adam Bergman, Esq, the founder of IRA Financial, has written 8 books on Self-Directed retirement accounts and was one of the first tax attorneys to design the IRA LLC solution.  This article will explore the history of the Self-Directed IRA LLC and illustrate why it is the greatest Self-Directed IRA solution for most Self ..read more

Swanson v. Commissioner, 106 T.C. 76 (1996) Swanson v. Commissioner, 106 T.C. 76 (1996) is a landmark case confirming the ability of IRAs to create and invest in entities. Let’s delve into the details: Background: Mr. Swanson, the central figure in this case, orchestrated a strategic move involving his IRAs. He set up two corporations, with the IRAs acting as their owners. Importantly, Mr. Swanson held the position of director in both corporations but did not personally own any stock. Key Legal Points: Initial Formation and Stock Purchase: The Tax Court ruled that the initial formation of ..read more