Checkbook Control

Deadlines for Making Contributions to a Solo-K (Part 2)

In the previous post, we discussed deadlines for making contributions to a Solo-K for a sole proprietorship, an S-Corp and C-Corp.  In Deadlines for Making Contributions to a Solo-K (Part 2), we will examine the deadlines for making contributions to a Solo-K for both a single-member LLC and a multi-member LLC. Single-Member LLC Keep in mind that with a single-member…read more →

UBIT and UDFI and the Implications for Your IRA or 401(k)

UBIT — Unrelated Business Income Taxable UDFI — Unrelated Debt Financed Income Two acronyms for taxes that will probably never affect you, BUT this post is to address UBIT and UDFI and the implications for your IRA or 401(k) if you trigger these events.  Both are important for you to know…and, if applicable, discuss with your tax or legal professional before you…read more →

IRA LLCs and 401(k) Plans — Where to Hold Precious Metals?

Over the years, this has been a much-discussed and frequently debated topic for those individuals who wish to hold precious metals in their IRA LLC or 401(k) plan.  Must you only use a depository?  Can you use a bank?  Can I have them at my home? Historically, it depends on who you ask?  Here’s the typical lines: Coin Depository — You…read more →

IRS — Protecting and Validating Your Identifty

I know this is nothing related to self-directed IRA or self-administered 401(k) plans. These plans assist an investor in investing their retirement assets into assets permitted by IRS rules, but not offered by your typical brokerage firm. However, sometimes you come across nuggets of information that are useful and is valuable (hopefully) to “throw out” there. For those of us…read more →

IRA LLC vs. IRA Trust

A new concept is available to IRA account owners who are interested in self-directing their IRA accounts. Self-direction gives one the ability to invest into both traditional (e.g., mutual funds) and non-traditional (e.g., real estate) all from one account.  It is the IRA Trust. Is the IRA Trust substantially different that the IRA LLC to the consumer (you)?  Not really….read more →

“Life Cycle” of a Solo 401(k) Plan

Similar to our lives, there is an actual life cycle of a Solo 401(k) plan as well.  And, that is how you want to think about your Solo-K plan.  If you do, it will certainly help cement in your mind how you are to operate your plan moving forward.  It is important that you fully understand this analogy to fully…read more →

Identity Theft — How the IRS is Trying to Help

Let’s face it, identity theft is not going away and it certainly has gotten worse.  There are many things that we can do to try to protect ourselves….and, the IRS and states know there is more they can do to try to protect citizens from tax-related identity theft issues. A large concern that we are all worried about…..fraudulent tax returns…read more →

IRS Form 5500-EZ — One Participant Plans

For those of you with self-directed 401(k) plans, the IRS Form 5500-EZ may or may not apply to you.  Whether or not you have to file the 5500-EZ for your Solo-K plan is based on whether the value of the plan’s assets exceed $250,000.    It is important to note that while many people believe the 5500-EZ is only for…read more →

Employees and Solo(K) Plans — Like Water and Oil

Yes, employees and Solo(K) plans don’t mix.  As much as it is preaching to the choir, one can never talk about this topic enough. Okay, you are self-employed and you have had success with your business.  You believe you have the need to add an employee to assist you with the business, and you give no thought to how this…read more →

Rollovers to a Solo 401(k)

There is never a bad time to give reminders on rollovers into a 401(k) plan.  There are many different retirement plans (e.g., IRAs, ex-employer’s 401(k) plans) that one can rollover into their Individual 401(k) plan.  And, when you keep in mind that a PGI SelfDirected one-participant 401(k) plan provides you the option of having a plan that can invest in traditional assets and non-traditional…read more →