Register For Your Free One-on-One Consultation
Stop trading time for money. Discover how to create a passive income stream and achieve true financial independence with a self-directed IRA.
Self-directed strategies will be right for you if you:
- attended seminars or boot camps and don’t feel like it’s clicking yet
- have money in a retirement account and don’t know what to do with it
- want to stop working but are not sure how to get there
- lost money in a retirement account and don’t know how to make it back
- feel like you lack direction or are missing some of the pieces to the puzzle
- aren’t following a plan
- are realizing that there’s a gap, a chasm, between what you learn in books and courses and what real life is
- are realizing things are going slower than they need to be
- are not attracting the opportunities and people that you want
- are feeling worn out and tired and just not motivated
In your free consultation, you will:
1. Gain a sense of clarity
about the ideal investing strategies for you, your situation, and your aspirations
2. Learn about the essential building blocks
for building your own personal wealth, retirement and financial security
3. Discover the challenges
stopping you from having a steady flow of opportunities that perfectly fit your investment criteria
4. Identify the most powerful actions
and how to build that into a process that can guide you through your lifetime
5. Complete the sessions
with the excitement of knowing exactly what to do next
Potential Discussion Points
Our consultations are personalized; therefore, the points below may not be addressed during your call if deemed irrelevant to your circumstances.
Self-Directed IRA:
- Consultant’s Focus: Explaining the core concept of control and investment flexibility.
- Consultation Discussion:
- A Self-Directed IRA gives you the power to choose investments beyond traditional stocks and bonds. This means you can consider alternative assets like real estate, private equity, precious metals, and even tax liens, all within a tax-advantaged retirement account.
- We’d discuss the IRS rules regarding permissible investments to ensure compliance. Not all assets are allowed, and it’s crucial to understand these guidelines to avoid penalties. It’s important to note that some of these same alternative investments can be held in a Solo 401(k) as well, which might be a more suitable option for certain self-employed individuals and small business owners.
- We’d also cover the role of a custodian like Specialized Trust Company. We handle the administrative tasks, like record-keeping and reporting to the IRS, while you maintain investment control. This is similar in some ways to how a plan administrator might function with a Solo 401(k), although the structures are different.
- A key point is that Self-Directed IRAs require more due diligence from the investor. Because you’re choosing non-traditional assets, you’re responsible for researching and managing those investments. This same level of due diligence applies when choosing alternative investments within a Solo 401(k).
- We would address common misconceptions, such as believing that self-directed means you can personally hold the assets. This is not the case; a custodian is always required. This is also true for Solo 401(k) plans, which have specific rules about holding plan assets.
- Consultant’s Focus: Emphasizing long-term financial security and diverse investment options.
- Consultation Discussion:
- We’d start by discussing your retirement goals: When do you plan to retire? What kind of lifestyle do you envision? This helps us determine the appropriate type of retirement account and investment strategy. For self-employed individuals and small business owners, we would also explore the Solo 401(k) as a potential option.
- We’d explain the different types of retirement accounts we offer, such as Traditional IRAs, Roth IRAs, SEP IRAs, and SIMPLE IRAs, highlighting the tax advantages of each. We’d also discuss the Solo 401(k), which offers unique advantages for those who qualify, including higher contribution limits.
- For example, with a Traditional IRA, your contributions may be tax-deductible now, but withdrawals in retirement are taxed. With a Roth IRA, contributions are made with after-tax dollars, but qualified withdrawals in retirement are tax-free. These same tax treatments can often be mirrored in a Solo 401(k), with both Traditional and Roth options typically available.
- We’d explore various investment options within these accounts, aligning them with your risk tolerance and time horizon. This might include stocks, bonds, mutual funds, and potentially alternative assets within a Self-Directed IRA structure, or within a Solo 401(k) that allows for such investments.
- We’d stress the importance of diversification to manage risk and the benefits of long-term, tax-advantaged growth. This principle applies to all retirement accounts, including the Solo 401(k).
- Consultant’s Focus: Explaining how an IRA or Solo 401(k) can be used for business funding, focusing on compliance and control.
- Consultation Discussion:
- We’d clarify that while you can’t directly use IRA funds to start a business in your own name, there are specific strategies, such as investing in a separate entity or using the funds for real estate that the business leases, that can provide capital. These same strategies can sometimes be employed within a Solo 401(k) plan, depending on the plan’s specific provisions.
- This is a complex area, so we’d thoroughly explain the prohibited transaction rules to avoid penalties. For instance, you generally can’t personally benefit from IRA or Solo 401(k) investments while they’re held in the plan.
- We’d discuss the importance of proper structuring and documentation to ensure compliance with IRS regulations, whether you’re using an IRA or a Solo 401(k).
- We’d highlight the benefits of using IRA or Solo 401(k) funds for business purposes, such as accessing capital without taking on debt or giving up equity. The Solo 401(k) can be particularly advantageous due to its higher contribution limits, potentially allowing for more substantial capital investment.
- We’d emphasize the importance of seeking professional legal and tax advice in conjunction with our services when pursuing these strategies, regardless of whether you choose an IRA or a Solo 401(k).
- Consultant’s Focus: Highlighting tax benefits and long-term income planning.
- Consultation Discussion:
- We’d explain the tax advantages of IRAs in detail, such as tax-deductible contributions (Traditional IRA) or tax-free withdrawals in retirement (Roth IRA). For self-employed individuals, we would also discuss the potential advantages of a Solo 401(k) in terms of higher contribution limits and flexibility.
- We’d discuss how these tax benefits can significantly impact your long-term wealth accumulation, whether you’re using an IRA or a Solo 401(k).
- Regarding pension planning, we’d explain how consistent contributions to an IRA or Solo 401(k) can create a reliable income stream in retirement.
- We’d also discuss strategies for managing withdrawals in retirement to maximize income and minimize taxes, considering the specific rules for both IRAs and Solo 401(k)s.
- We would use illustrative examples to show how tax-deferred or tax-free growth can significantly increase retirement savings over time, comparing potential outcomes with both IRAs and Solo 401(k)s.
- Consultant’s Focus: Emphasizing the intergenerational benefits of IRA or Solo 401(k) investing.
- Consultation Discussion:
- We’d discuss how IRA or Solo 401(k) funds can be used to cover qualified medical expenses in retirement, potentially reducing the financial burden of healthcare.
- We’d explain how certain IRA distributions can be used for qualified education expenses without penalty, helping families fund their children’s education. While the same penalty exception doesn’t exist for 401(k) plans, including Solo 401(k)s, the larger balances often achievable through higher contribution limits can still provide substantial resources for education planning.
- We’d highlight the potential for IRAs and Solo 401(k)s to be passed on to beneficiaries, creating a financial legacy for future generations.
- We’d discuss the rules regarding inherited IRAs and inherited 401(k)s (including Solo 401(k)s) and how beneficiaries can manage and withdraw funds.
- We’d emphasize the importance of planning for the future and how an IRA or Solo 401(k) can play a crucial role in securing your family’s financial well-being.
- Consultant’s Focus: Providing alternative funding options without debt or outside investors.
- Consultation Discussion:
- We’d reiterate the strategies for using IRA or Solo 401(k) funds to support business activities, such as investing in real estate leased to the business or investing in a separate entity.
- We’d emphasize the benefits of maintaining full control of the business without the need for bank loans or outside investors, whether you’re using an IRA or a Solo 401(k).
- We’d discuss the importance of proper structuring to avoid prohibited transactions and maintain compliance with IRS regulations for both IRAs and Solo 401(k)s.
- We’d highlight the potential for increased profitability by avoiding interest payments on loans, a benefit applicable to both IRAs and Solo 401(k)s used strategically.
- We would advise consulting with legal and tax professionals to ensure all transactions are structured correctly, regardless of whether you choose an IRA or a Solo 401(k).
Reserve a session by completing the short form below
The information you provide will allow us to personalize your consultation beforehand, as your location can influence our recommendations.
We will respond to you via email within 2 business days to arrange a date & time to schedule your session. If you do not receive an email from us, please check your spam or junk folder or call us at 800-529-3951.
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Specialized Trust Company
Toll-Free: (800) 529-3951
Fax: (505) 792-6096
6100 Indian School Rd. NE Suite 215
Albuquerque NM, 87110
Email: help@IRASTC.com
Monday-Friday,
8:00AM – 5:00PM MST
