#3 Self-Directing your IRA, What are the Rules?

#3 Self-Directing your IRA, What are the Rules? | Directed IRA Podcast |

Рет қаралды 9,310

Mat Sorensen - Wealth Lawyer & Entrepreneur

Күн бұрын

Join us as Mat and Mark go through the 10 ten rules when it comes to Self-Directing your IRA. There are multiple Prohibited Transactions that could get you into trouble. Learn about these rules to stay out of hot water!
The Directed IRA podcast is an educational resource provided by Directed IRA & Directed Trust Company directedira.com/.
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Пікірлер: 29

@jasoncerrotalks2655 10 ай бұрын

Guys, thank you for the info and disregard the complaints about the banter. You’re both awesome. It amazes me that people feel entitled to negative feedback when they’re getting a college education for free. Thanks again guys for the amazing work you do

@ampthegamergod2223 2 ай бұрын

Can i use my funds in the ira/llc to help with a startup that my gf will own? And what happens if we get married, will it end up causing a prohibited transaction?

@kariheidl9767 9 ай бұрын

If you do pay an insurance bill through your personal account by mistake and it should’ve been paid through the IRA how do you fix that?

@donireland6218 3 жыл бұрын

Regarding rule #6, you said the IRA can't invest in a business that any prohibited person owns 50% more. What if the business is 100% owned by a group of people in which everyone owns 25%. No individual meets that 50% threshold. Or is it more about being 50% owned (in the aggregate) by prohibited persons?

@MatSorensen 3 жыл бұрын

That can work as long as two of the 25% people aren't disqualified to the IRA investing (e.g. spouses, etc.). There can also be self-dealing prohibited transaction concerns so I'd always suggest a consult when there are disqualified people over 10% . I also have a chapter in my book on self-dealing prohibited transactions that has cases of people at 30% where their retirement account later invests.

@organicelliottwave2938 2 жыл бұрын

Gentlemen, I haven't seen this addressed directly; can I trade futures in my SDIRA?

@MatSorensen Жыл бұрын

Yes, you can trade futures with an SDIRA.

@andreawisner7358 2 жыл бұрын

If a group of people, through IRAs and individually, invest in creating a retirement home ("Independent Living Facility"), can those same people then rent apartments at that Facility? What about if they sit on the Board of Directors of the Facility?

@MatSorensen Жыл бұрын

Those who use IRAs can't also then rent apartements from the facility. It is possible if they had a very low ownership (below 10%) and it wasn't planning from the beginning and they pay rent the same as all other tenants but I'd recommend a consult with an attorney.

@jerrysweany278 2 жыл бұрын

Rule #1. What if your IRA cannot pay for the entire investment? Does the retirement account get a percentage of the investment?

@MatSorensen 2 жыл бұрын

You can get a non-recourse loan to pay for the rest of the investment.

@roberttomsiii3728 3 жыл бұрын

You mentioned parents & grandparents, then went on to clarify ancestors are prohibited. lineal descendants? Children were mentioned and I am currently looking for clarity using google. Ctrl F just doesn't seem to cut it in tax code. ( 19 * 3 = 57 )

@roberttomsiii3728 3 жыл бұрын

What about aunt's and uncles, are they prohibited? Just how far off the the central trunk of the family tree do you have to get before it's longer prohibited?

@themandownthehall 3 жыл бұрын

@@roberttomsiii3728 aunts and uncles are OK. Lineal relations. Parents, grand parents great grandparents, kids, grandkids, etc are not alllowed. Ex spouse, aunts, uncles, cousins, etc are ok

@MatSorensen Жыл бұрын

Pg 30 of "The Self Directed IRA Handbook" has a great table laying out, Who is a disqualified person?

@MatSorensen Жыл бұрын

Aunts and uncles aren't prohibited.

@MatSorensen Жыл бұрын

Thanks for adding value!

@themandownthehall 3 жыл бұрын

So here's a corner case question.. When I first heard of a self directed IRA, I had already agreed to purchase a property. I had to put the earnest money down before the IRA/LLC was created and thus it had to be personal funds. Isn't there the first transaction exception to that? I guess I could ask the lawyer to let me give them an LLC check for the money and have them refund back to personal? The asset is already purchased

@renewhite2199 Жыл бұрын

Good question

@themandownthehall Жыл бұрын

@@renewhite2199 I found out that there is a transaction exception to that. Also, you can pay for your IRA fees out of your own personal pocket and not the checkbook of the IRA if you want to

@iandrummond7608 2 жыл бұрын

Can I buy a property from myself that I own free and clear?

@MatSorensen 2 жыл бұрын

No you can't that would be a prohibited transaction.

@jacynjames Жыл бұрын

Haha That shirt definitely looks like BIF.

@MatSorensen Жыл бұрын

Haha, All I could see was Biff. The good news is he's never word that shirt again. :)

@robphillipswvu 2 жыл бұрын

I tried but couldn't get through the banter.

@MatSorensen Жыл бұрын

Thanks for your feedback!

@anthonyj.4756 5 ай бұрын

I use to feel that way about many KZfaq channels, but decided to use it as training to improve my listening skills. Focusing on hearing at least one thing, I can take away, despite the banter. The info is going through my mind and getting sorted..... ignore that trash, discard this junk, keep that gem. I credit Brandon Turner and Josh Dorkin of BiggerPockets, because they really use to grind my nerves with their banter and failed attempts to be humorous. I see it is true, that if we change the way we look at things the things we look at change.