Self-directed IRA

[quote author="momopi" date=1254101043]Can anyone recommend a service to set up self-directed IRA?</blockquote>


Have you look at Vanguards? Fees are relative low and there are thousands of funds to choose from.
 
[quote author="irvinebullhousing" date=1254189084][quote author="momopi" date=1254101043]Can anyone recommend a service to set up self-directed IRA?</blockquote>


Have you look at Vanguards? Fees are relative low and there are thousands of funds to choose from.</blockquote>


I'm looking for the type of self-directed IRA service provider that could assist me in allocating some of the money in real estate investments. I don't think Vanguard does that.
 
<em>*shakes head*</em>



People, people... A self-directed IRA is not run by a company like Fidelity or Vanguard. Hence why it is called <strong>SELF</strong>-directed, you... yourself... control what assets go into it. As momo said, like real estate investments. Is Vanguard or Fidelity going to let me put my five unit investment property into my IRA?



Sorry momo, I don't know anyone who can help you out. I know that IR knows more about them than I do. Maybe if you PM him he can point you in a better direction than I can.
 
Entrust is having a self directed IRA workshop Oct 9th in Santa Ana. It's $99 to attend, $149 if you wait until the 3rd to register. Details <a href="http://www.theentrustgroup.com/news_events/app-events/1/2295/">here</a> I don't know much about Entrust other than they are one of the largest nationwide custodians that allow self directed IRAs.
 
Pensco is also a custodian that does what you are looking for. They do free webinars on their <a href="http://www.penscotrust.com/education/events/webinars.aspx">website</a>.
 
Momo, Are you trying to roll-over your 401k into a Roll-Over IRA? I have all of my IRAs rolled over to Schwab and process was quite easy. You can also go from 401k > Roll Over IRA > Conversion Roth IRA, assuming you have left your previous employer. PM me if you any specific questions regarding the process.
 
[quote author="PANDA" date=1254212920]Momo, Are you trying to roll-over your 401k into a Roll-Over IRA? I have all of my IRAs rolled over to Schwab and process was quite easy. You can also go from 401k > Roll Over IRA > Conversion Roth IRA, assuming you have left your previous employer. PM me if you any specific questions regarding the process.</blockquote>


Panda, go back and read my comments and his. He wants a <strong>SELF</strong>-directed IRA. This has nothing to do with mutual funds or roll overs.



<em>*continues to shake head*</em>
 
<a href="http://www.northerntrust.com/pws/jsp/display2.jsp?XML=pages/nt/0407/58046945_3576.xml">Northern Trust does self-directed IRAs</a>. You would have to call them to find out if you can put RE holdings into it, because there isn't enough info on their site. However IMO, they are one of a few places that I would trust my money with, and with doing the IRA right and for the right price.
 
[quote author="momopi" date=1254101043]Can anyone recommend a service to set up self-directed IRA?</blockquote>


I used to work with one of the foremost experts in the country for using self-directed IRAs to invest.



<a href="http://www.theentrustgroup.com/">Entrust Administration</a> has a <a href="http://www.theentrustgroup.com/elc/">Learning Center</a> with all the information you could want. In particular, you will want to read the <a href="http://www.theentrustgroup.com/elc/knowledge/article/9/76/">Swanson decision</a>. You can find a link to the PDF of the entire decision <a href="http://checkbookira.net/legal.html">here</a>.



Check out the sites: <a href="http://www.checkbookira.com/">Checkbook IRA</a> and <a href="https://www.iraservices.com/">IRA Services</a>. IRA Services is the custodian I use.



From there, you can do a Google search that will turn up other resources.



Basically, (1) you open and fund a Roth IRA with a Custodian (fancy term for an an IRA administrator). (2) You form an LLC. (3) You tell your custodian to take the money you put into the IRA and buy all the shares of the LLC. (4) the Custodian will send you a check written out to the LLC. (5) You open a bank account for the LLC and deposit the check. (6) You send the custodian an confirmation that the LLC got the money and that the IRA is now the owner of an LLC. (7) At that point, you are in complete control of the money in your Roth IRA that you can use to invest in whatever you want. There are rules you have to follow, but you have tremendous freedom.
 
[quote author="IrvineRenter" date=1254222799][quote author="momopi" date=1254101043]Can anyone recommend a service to set up self-directed IRA?</blockquote>


I used to work with one of the foremost experts in the country for using self-directed IRAs to invest.



<a href="http://www.theentrustgroup.com/">Entrust Administration</a> has a <a href="http://www.theentrustgroup.com/elc/">Learning Center</a> with all the information you could want. In particular, you will want to read the <a href="http://www.theentrustgroup.com/elc/knowledge/article/9/76/">Swanson decision</a>. You can find a link to the PDF of the entire decision <a href="http://checkbookira.net/legal.html">here</a>.



Check out the sites: <a href="http://www.checkbookira.com/">Checkbook IRA</a> and <a href="https://www.iraservices.com/">IRA Services</a>. IRA Services is the custodian I use.



From there, you can do a Google search that will turn up other resources.



Basically, (1) you open and fund a Roth IRA with a Custodian (fancy term for an an IRA administrator). (2) You form an LLC. (3) You tell your custodian to take the money you put into the IRA and buy all the shares of the LLC. (4) the Custodian will send you a check written out to the LLC. (5) You open a bank account for the LLC and deposit the check. (6) You send the custodian an confirmation that the LLC got the money and that the IRA is now the owner of an LLC. (7) At that point, you are in complete control of the money in your Roth IRA that you can use to invest in whatever you want. There are rules you have to follow, but you have tremendous freedom.</blockquote>


I clicked the thanks button, but I need to thank you in a post. Thank you... thank you sooooooo much. Hopefully no one else will recommend transferring anything to anyone other than the LLC they set up. But, we will see.
 
[quote author="Nude" date=1254234010]Dude, just call Fidelity.



*ducks and runs*</blockquote>


LOL! I tried to point out this is not what momo wants or what the suggested companies could provide. Especially after momo pointed out this is exactly what he is <strong>NOT</strong> looking for.



I <em>*shook my head*</em> on OPs lack of reading comprehension, and maybe lack of knowledge that such things exist. But after 3 posts, along with OP suggesting what momo is looking for that it comes up again... is disappointing. Of course, I will be perceived as the big meanie for <em>*shaking my head*</em> when really those who neglected to read what momo really wanted was never understood. I'm the mean one... I get it... this is what I have become... no one will ever perceive me as anything else. I wish I had the knowledge to link things like IR, but I didn't. That is why I asked for momo to PM him. Thankfully he posted his knowledge. I'm still the big meanie who hates Irvine... right? Was I really being mean, or was I just bluntly speaking the truth? Reading what momo really wanted and Google search would have saved a lot of people from wasting their time on their posts. Hopefully in the long run they will learn something because of it.



Hat tip Mc80 for her posts!
 
Go buy obama coins and archie comics and stuff them under your mattress. They will appreciate and grow tax free, like an IRA.
 
Momopi-



If you care to share, I would love to see what sorts of properties you are consiering doing this with? I researched it about a year and a half ago. One of the intriguing things to me was a piece of land and then building our retirement home on it. An article I read indicated that this could be a good strategy. If I recall correctly, you sell it as a 1031 exchange. We'd have to wait a number of years before there would be enough to build a house on the land, so it wouldn't work for us. Plus, it would have really put too many eggs in RE with our other houses. However, I've been thinking about this again lately.



I found this as an interesting possibility.Thoughts anyone?







<a href="http://www.redfin.com/search#lat=34.08978297834802&long;=-117.29071500068683&market=socal&max_price=100000&region_id=38321&region_type=2&sold_within_months=1200&status=1&v=5&zoomLevel=12">SB house</a>
 
Hi all,



Since I have zero experience right now, it'd be pretentious for me to give any kind of advice. I'm going to give the self-directed IRA a try and post my experience here afterwards.



Thank you to everyone who posted information! I'll definitely look into it!
 
I read through some of the rules, and it looks like the rental income must be rolled back into the IRA account or else the IRS may cancel the whole tax-deferred status and demand immediate tax payment?



Is there a way that you could use self-directed IRA to buy cash flow properties, and cash out just the rental income and pay taxes on the rental income itself, without endangering the self directed IRA status?
 
[quote author="momopi" date=1254564939]I read through some of the rules, and it looks like the rental income must be rolled back into the IRA account or else the IRS may cancel the whole tax-deferred status and demand immediate tax payment?



Is there a way that you could use self-directed IRA to buy cash flow properties, and cash out just the rental income and pay taxes on the rental income itself, without endangering the self directed IRA status?</blockquote>


Things I won't do:



1. Leave my dog alone with my supper.

2. Bikini wax.

3. Overpay for milk.

4. Trust an anonymous band of people on the internet to provide me with the best tax advice, based upon an incomplete knowledge of my personal financial circumstances, for free.



-IrvineRealtor
 
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