momopi_IHB
New member
^^;; Can anyone suggest a paid professional that I can talk to?
Self-directed IRA
- Thread starter momopi_IHB
- Start date
usctrojanman29_IHB
New member
[quote author="momopi" date=1254804315]^^;; Can anyone suggest a paid professional that I can talk to?</blockquote>
PM McDonna.
PM McDonna.
Mcdonna1980_IHB
New member
[quote author="USCTrojanCPA" date=1254814140][quote author="momopi" date=1254804315]^^;; Can anyone suggest a paid professional that I can talk to?</blockquote>
PM McDonna.</blockquote>
My knowledge in this area is pretty limited. I was looking forward to learning along with Momopi. If I wasn't swamped at work I'd go to the conference in Santa Ana this week.
PM McDonna.</blockquote>
My knowledge in this area is pretty limited. I was looking forward to learning along with Momopi. If I wasn't swamped at work I'd go to the conference in Santa Ana this week.
stepping_up_IHB
New member
[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>
As I understood it, all income must be deposited to the IRA and all expenses have to come out of it. Imagine if you had a stock or mutual fund that paid a huge dividend, you wouldn't be able to withdraw those before you turn 59 without paying tax and penalty. Rental income from a self directed IRA in RE would be the same.
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>
As I understood it, all income must be deposited to the IRA and all expenses have to come out of it. Imagine if you had a stock or mutual fund that paid a huge dividend, you wouldn't be able to withdraw those before you turn 59 without paying tax and penalty. Rental income from a self directed IRA in RE would be the same.
momopi_IHB
New member
Thank you to McDonna for the Entrust recommendation. I attended their seminar and it was well worth the $100 fee.
What I learned: self-directed IRA requires professional advice and lots of planning. Do not attempt to do on your own.
What I learned: self-directed IRA requires professional advice and lots of planning. Do not attempt to do on your own.
Mcdonna1980_IHB
New member
[quote author="momopi" date=1255516058]Thank you to McDonna for the Entrust recommendation. I attended their seminar and it was well worth the $100 fee.
What I learned: self-directed IRA requires professional advice and lots of planning. Do not attempt to do on your own.</blockquote>
Oh good, I'll have to attend next time they have one. At least you now have a broad understanding of how they work. I would never blindly trust a professional with my money. Now if you seek out some advice you'll know the right questions to ask.
What I learned: self-directed IRA requires professional advice and lots of planning. Do not attempt to do on your own.</blockquote>
Oh good, I'll have to attend next time they have one. At least you now have a broad understanding of how they work. I would never blindly trust a professional with my money. Now if you seek out some advice you'll know the right questions to ask.
momopi_IHB
New member
I have returned from my real estate research trip to North CA.
This is my conclusion:
* You can only make cash flow in bay area if you want to be a slum lord.
* Avoid Sacramento, the place is 10x worse than the slums of Oakland.
This is my conclusion:
* You can only make cash flow in bay area if you want to be a slum lord.
* Avoid Sacramento, the place is 10x worse than the slums of Oakland.