Custodians, Administrators & Facilitators — Welcome to the World of Self-Directed

Self-Directed 401K Plans (with PGI you will have…are you ready?!)

Total Checkbook Control of your 401K plan.  You control the checkbook with NO custodian.

No Custodian Fees or on-going custodian paperwork requirements.

No Annual Fees (in most cases)

If so, then a self-administered 401K may be the plan for you. 

[Learn More About the 401K Plans!]

 

General Rules Related to IRAs

Any IRA must be held by a custodian….self-directed or not.  Regardless of whether you choose self-directed custodian, administrator or facilitator model, your IRA a will be held by an IRS-approved Custodian.   However, individuals have options of how their self-directed IRA can still be held by a custodian and still have [checkbook control of their funds].  You see, some of you will want checkbook control of your IRA assets and some of you will not.  The key is to understand your options with self-directing your IRA so that you can make the decision that is best for you.    To make the best decision for you, there is the need to understand the differences between Custodians, Administrators and Facilitators.

Custodians

Approval from IRS as a Custodian;

Holds IRA and processes all requests on behalf of IRA;

Charges Annual, Account Balance, Maintenance and Transaction Fees for the IRA;

Not responsible for the IRA’s compliance with IRS Prohibited Transaction regulations; and,

Typically, does NOT offer IRA account holder checkbook control of their IRA Funds.

[Learn more about the Custodian structure and fees]!

 

Administrators

May be Locally or Regionally-Owned Franchise;

Through a Custodian, manages the requirements related to your IRA;

Charges Annual, Account Balance, Maintenance and Transaction Fees for the IRA;

Not Responsible for the IRA’s compliance with IRS Prohibited Transaction Regulations; and,

May Offer IRA Account Holder Checkbook Control of their IRA Funds (but with on-going fees).

[Learn more about the Administrator structure and fees]!

Facilitators

May be Locally or Regionally-Owned Enterprise;

Through a Custodian, establishes a checkbook-control IRA that the account holder manages;

Typically charges a one-time professional fee for the establishment of the checkbook-controlled IRA LLC;

Not responsible for the IRA’s compliance with IRS Prohibited Transaction Regulations; and,

Will provide IRA account holder checkbook control of their IRA funds (typically with no on-going fees other than a modest annual fee charged by the IRA Custodian).

[Learn more about the Facilitator structure and fees]!