Self direct your retirement funds - Ahwatukee Foothills News: Money

default avatar
Welcome to the site! Login or Signup below.
|
||
Logout|My Dashboard

Self direct your retirement funds

Print
Font Size:
Default font size
Larger font size

Related Stories

Posted: Thursday, September 26, 2013 4:45 am

Did you know that you could take charge of your own retirement funds and invest them in virtually anything that you believe can make you money, and where they are more secure from market fluctuations?

Yes, the tax law permits you to convert your retirement funds into self-directed IRAs or 401(k) plans where you control them. Many individuals have purchased real estate and other assets as alternative investments for their retirement plans. If you invest with IRA funds, you still need an outside custodian that will permit you to invest in alternative investments. Whereas, if you set up a self-directed 401(k) plan, you will not need to pay outside parties an annual fee.

The conversion of retirement funds can be done at any time and will permit you to have checkbook control over your retirement assets. This flexibility allows you to seek out alternative investments that can increase in value either tax-deferred or tax-free until you retire. The self-directed plans permit you to acquire investments, i.e. real estate, with debt financing by either a bank loan or where a seller would carry financing on the property. This allows you to increase your retirement investment assets in a way that cannot be done with most conventional retirement accounts.

There is no limit on the amount of retirement assets that you can convert into a self-directed account. The IRS and the Department of Labor both have various stringent rules that must be followed so as not to cause taxation of retirement assets. Generally, professional help should be sought to make sure that no tax laws are broken. If you have retirement funds that you want to diversify and control yourself while earning tax-free or deferred income until retirement, then establishment of a Roth IRA or 401(k) is an option to consider.

• Ken Lindow, CPA, CGMA, MBA, lives and works in Ahwatukee Foothills. Contact him with tax questions or column topic ideas at (480) 940-8351 or Ken@LindowCPA.com.

More about

More about

More about

  • Discuss

China has lodged a diplomatic protest following Trump's call with Taiwan's president

China's Foreign Ministry lodged a diplomatic complaint on Saturday following US President-elect Donald Trump's 10-minute telephone call with T…

Published: December 4, 2016 - 1:00 pm @ http://www.businessinsider.com/china-lodges-diplom…

Trump Threatens 35% Import Tax Which Would Be A Total Disaster

I know the new populist wing of the GOP likes the idea of threatening companies with an import tax, but Donald Trump’s threat to do it is one …

Published: December 4, 2016 - 12:36 pm @ http://www.redstate.com/jaycaruso/2016/12/04/trump…

Senators aim to protect undocumented immigrants before Trump takes office

Since Donald Trump’s victory in the US presidential election, undocumented immigrants who came to the country as children have feared they mig…

Published: December 4, 2016 - 12:30 pm @ https://www.theguardian.com/us-news/2016/dec/03/un…

Churches Prepare to Shelter Immigrants from Trump

Evangelical and Catholic churches across the U.S. are worried their pews will be emptied out by Donald Trump’s deportation plans—and some say …

Published: December 4, 2016 - 12:05 pm @ http://www.thedailybeast.com/articles/2016/12/04/w…

Roger Pielke Jr.: My unhappy life as a climate heretic

My research was attacked by thought police in journalism, activist groups funded by billionaires and even the White House. By Dr. Roger Pielke…

Published: December 4, 2016 - 12:04 pm @ https://wattsupwiththat.com/2016/12/04/roger-pielk…

Democrats aim to rebuild the blue political wall in Midwest

DES MOINES, Iowa (AP) — With the dust now settled from the election, Democrats are looking to rebuild the political "blue wall" of traditional…

Published: December 4, 2016 - 12:02 pm @ http://bigstory.ap.org/92dd939c339b46aab9da84c558e21a80

NOW HIRING: Several Valley companies hiring, career fair Dec. 6

Looking for a new career? Valley employers are hiring and need quality workers. See if any of the positions fit your skill set. Sprouts On Tue…

Published: December 4, 2016 - 11:59 am @ http://www.abc15.com/money/now-hiring-several-vall…

How Should AZ Add More Renewables? Utilities, Solar Advocates Disagree

Published: Friday, December 2, 2016 - 5:41pmUpdated: Friday, December 2, 2016 - 5:59pm downloadArizona’s top utility regulator wants to up the…

Published: December 4, 2016 - 12:00 pm @ http://kjzz.org/content/403246/how-should-az-add-m…

Making Citizen Science Tools Accessible and Discoverable

At SciStarter, we aim to make it easy to find and join meaningful citizen science projects. Choose a location, activity, or topic to find appr…

Published: December 4, 2016 - 10:04 am @ http://blogs.discovermagazine.com/citizen-science-…

China Protests to U.S. Over Trump’s Call With Taiwan President

China has protested to the U.S. over a Friday phone call between President-elect Donald Trump and Taiwan President Tsai Ing-Wen and described …

Published: December 4, 2016 - 9:58 am @ http://www.bloomberg.com/politics/articles/2016-12…

Facebook

ahwatukee.com on Facebook

Twitter

ahwatukee.com on Twitter

RSS

Subscribe to ahwatukee.com via RSS

RSS Feeds

Spacer4px

Most Popular

Online poll

Loading…