Checkbook Control

IRS Form 5500-EZ and 401(k) Reporting Requirements

Folks, I can’t leave this alone, so pardon me for the fact that I am referencing it again. As a refresher and generally speaking, there are no annual IRS or DOL reporting requirements  a tax payer has for an individual 401(k) plan…with the following exceptions: 1)  Assets Greater than $250,000 — If the Fair Market Valuation (FMV) of your Solo 401(k)…read more →

IRS Rules for Reporting IRA and 401(k) Rollovers

You have created a self-directed IRA or Solo 401(k) plan and you rolled over funds from other retirement plans (e.g., IRA, 401(k), 457, 403(b)) into your new plan.  You are now happy and content that you have a self-directed plan, and are on your way to making investments into non-traditional assets (e.g., real estate).  You also know that as manager…read more →

2015 New IRA Rollover Rules — Married Couples

As many of you may be familiar, there is a new IRS rule effective no later than the 2015 year which is going to close the loophole on people executing a rollover for each of multiple IRAs they may own.  In short,  the soon-to-be old rule permitted an IRA account owner to execute one IRA rollover, per IRA, per 12 month period.  As…read more →

Required Minimum Distributions from a Self-Directed IRA

I don’t know why, but there is a segment of the self-directed IRA (non-Roth) population that has an incorrect belief on self-directed IRAs and Required Minimum Distributions (RMDs).  What is this incorrect belief or assumption? Almost like a Ripley’s “Believe it or Not” show, the IRA account owner’s belief they do not need to take out an RMD if their IRA is illiquid….does…read more →

Setting Up a Self-Directed IRA with an IRA Custodian

The question that most people are interested in asking, but they rarely ask.  What steps are typically followed with the IRA custodian when establishing your self-directed IRA LLC?  Why? Probably because they place significant trust in the self-directed company assisting with the establishment of the self-directed IRA LLC.  But, since a portion of that process involves the IRA account owner’s involvement, you…read more →

Common Sense to a New IRS Rule for Single Distributions

Well, finally, the application of common sense to a new IRS rule for single distributions from a retirement plan.  In fact, the common person would probably not understand why this rule wasn’t already in place, because it just makes sense.  And considering more and more retirement plans have options for participants to make pre-tax, Roth and “after-tax” contributions, this ruling, well, makes sense. In a nutshell,…read more →

Application of One-Per-Year Limit on IRA Rollovers

Well, you didn’t necessarily ask for it, but I am going to give it to you anyways.  If you are an IRA account owner who, let’s say, likes to execute IRA rollovers, you want to pay particular attention to this. Now, mind you, I always encourage folks to execute direct transfers between IRS-approved custodians.  I understand why a certain element…read more →

IRA Transfers and Rollovers

At this time of year, many people may consider executing IRA transfers and rollovers.  It is always good to provide a brief review of this process…and we will keep it brief. There are two primary means by which people move IRA funds to another IRA, whether it is a self-directed IRA or not.  That is either through a direct Trustee-to-Trustee…read more →

IRS Increases 401(k) Contribution Limits for 2015

Today the IRS announced cost-of-living adjustments to various retirement plans, including 401(k), 403(b), 457, federal government Thrift Saving and IRA plans.  While the intent of this post is not to regurgitate the news, it should be noted that IRA limitations were unchanged.  However, for those of you who participate in a 401(k) plan or self-directed Solo 401(k) plan, you should…read more →

IRA and 401(k) Rollovers

Reminders on IRA and 401(k) rollovers are always good to review and hearing directly from the IRS on this process is never a bad thing either.  You see, while rollovers are not difficult to administer and process, it is always amazing how many people inadvertently make mistakes in this process…and, believe it or not, so do financial service companies executing rollovers on your behalf. IRA…read more →