Tax Free Real Estate Investing With Self-Directed Retirement Accounts: SDIRA, QRP & 401k
Did you know that you can use a Traditional IRA and Roth IRA to invest in real estate tax free? Do you know the difference between a Traditional IRA and Roth IRA? In this post you’ll get an overview of these accounts and how you can use a self-directed IRA with checkbook control for real estate investing. Continue reading “How To Invest In Real Estate With SDIRAs and Checkbook Control”
Every Checkbook Solo 401k investor is impacted by the tax innovation introduced by The Tax Cuts and Jobs Act. The key provision of Tax Reform for Solo 401k adopters to focus on is the new IRC 199A 20% Qualified Business Income – QBI – tax deduction. By definition Solo 401k and QBI go hand-in-hand – and a Solo 401k can help you maximize the value of this impactful tax deduction. Continue reading “Solo 401k & 199A QBI Tax Deduction”
contributions to a Checkbook-Control Qualified Retirement Plan – a Checkbook QRP – have multiple tax benefits: (1)
They are tax-deductible, reducing your taxable income & tax liability to the IRS and (2)
they grow tax-deferred, with no annual taxes on earnings and profits within the Solo 401k.
Tax-deductible Solo 401(k) contributions consist of 2 components: (1) Employee Elective Deferrals and (2) Employer Non-Elective Contributions (profit sharing). However, you may have heard various other terms used to describe 401(k) Plan contribution types. Following is a comprehensive guide to Solo 401k contributions, terms, and calculations. Continue reading “Solo 401k Contributions: Understanding & Optimizing”
A comprehensive 2018 Tax Filing Calendar for self-directed retirement plans
, businesses, exempt organizations, trusts and estates, and individuals. Continue reading “Self-Directed IRA & 401K Investor 2018 Tax Filing Calendar”
, Checkbook-Control IRAs
, and IRA-LLCs
are powerful alternative investment
vehicles with great tax benefits. However, for those that qualify, Checkbook Solo 401K Plans are far better vehicles for retirement-account real estate investing
. In this post will introduce the fundamentals of Checkbook Solo 401k Plans
and their benefits. Continue reading “Checkbook Solo 401k: Is It Better Than A Self-Directed IRA?”
Checkbook Self-Directed Solo 401k Plans
, also known as a Checkbook QRP
, provide a great feature that can be leveraged in so many ways: A Checkbook Solo 401k Loan
. The loan proceeds can be used to finance anything you’d like
and the interest payments are made to yourself
In fact, Checkbook 401k Loan Interest Payments can be viewed as a way to make backdoor contributions – beyond the Solo 401k contribution limits – to your Checkbook Solo 401k tax advantaged retirement accounts. Once those interest payments are paid to your Solo 401(k) plan or QRP, those funds become additional plan assets that can be invested tax-free.
Do you have debt to pay off? Do you want to purchase a new vehicle? Pay for education? Or, would you like to make an investment outside your Solo 401k using Solo 401k funds? The Checkbook Control 401k loan feature is your best option. In this post will cover all that you need to know to legally take advantage of this Checkbook QRP feature. Continue reading “Solo 401k Loan FAQ & Answers”
What type of funds can be contributed to a Solo 401k Roth account?
There are many sources of funds for Self-Directed Solo 401k plans and most – but not all – can be contributed to the Roth Solo 401k subaccount. Following are eligible sources of funds for a 401(k) Roth account: Continue reading “Roth Solo 401k Contribution Guide”
What is a Roth Solo 401k Plan? What is a Solo 401k Plan?
Understanding Roth Solo 401(k)s requires that we first understand the basics of traditional Solo 401k plans.
401K Plans, creatively named after Section 401(K) of the Tax Code, are Defined Contribution qualified retirement plans that allow employees to choose (“elective deferral”) to contribute all or part of their compensation to a tax-advantaged account and exclude the amounts contributed from current taxable income. The tax code calls this a “cash or deferred arrangement,” or CODA. A 401k Plan can be combined with other types of plans, such as Defined Benefit and Cash Balance Plans, to maximize tax deductions and allow for multiple forms of plan contributions. The typical 401(k) Plan provides for employer profit sharing contributions, in addition to employee contributions. Self-Directed Solo 401(k) Plans are 401(k) plans for businesses that don’t have full-time employees other than business owners and their spouses, which can be designed to include very attractive features such as Roth 401k Contributions and After-Tax Employee Contributions.
What is a Roth Solo 401k Plan?
Continue reading “Solo 401K Roth Contribution Q&A”