John’s Blog — Tidbits on a Lot of Things

What is an IRA (video)

Can IRAs be Co-Jointly Owned? (Remember the “I”)

The simple answer is…..NO! Why? Remember, the “I” in IRA stands for Individual, and not anyone else. While you can certainly make other individuals to beneficiary of your IRA, it is still YOUR IRA. So, with regard to a self-directed IRA, a typical question will be, “Is there any way my IRA and my wife’s IRA can be brought together…read more →

Prohibited Transaction — You Can’t Buy Property You Already Own!!

No. This would be considered a prohibited transaction (see IRC 4975). You may not purchase property which is currently owned by you or any other disqualified person. You would need to find another piece of Real Estate that you don’t already own to purchase.

Did the IRS Actually Make Something Easier to Understand (please say it is so!)

Probably for anyone who has ever participated in a “traditional” 401K plan at their company OR are participating in a self-directed 401K, they know that 401K plan documents typically provide participants the ability to take out loan provisions from the plan. As a quick overview, typically such loans must be paid back based on the following IRS regulations (Loans from a…read more →

Retirement Investment Options — A Different Version of Goldilocks and the 3 Bears

Unfortunately, many people are unaware that they can invest their retirement funds in assets other than “traditional” assets such as stocks, bonds and mutual funds. Unfortunately, this prohibits them from investing in “non-traditional” assets (e.g., real estate) when they may want to make these investments. But, since brokerage firms and banks will only permit you to invest in their financial products,…read more →

What is an IRA?

“An individual retirement account (Page 7) is a trust or custodial account set up in the United States for the exclusive benefit of you or your beneficiaries. The account is created by a written document. The document must show that the account meets all of the following requirements. The trustee or custodian must be a bank, a federally insured credit…read more →

What Does the IRS Think of Investing in Real Estate?!

What DOES the IRS really think about people investing in real estate with their IRAs and 401Ks?

Self-Directed IRAs and 401Ks — Ever Fall Over That Crack?!

We’ve all done it…..that crack in the sidewalk that most people would have to intentionally attempt to trip over and still maybe not fall….but, we are the ones who do that trip and are always embarassed over it. When we trip on the crack, we look at the crack as if it jumped up and knocked us over when no…read more →

Self-Directed IRAs & 401Ks – Who the Heck are Disqualified Individuals?!

Wanna self-direct? Make sure you follow this IRS Prohibited Transaction and your life will be easier!