Self Directed IRA, LLCs - Keston Law - Wilmington, NC
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Self Directed IRA, LLCs

Posted Apr 2, 2019 by Joan Keston

Many people have IRA accounts that are substantial. Those accounts are held by a custodian, usually a bank or brokerage firm. Investments are controlled by the custodian and are in stocks or mutual funds.

Few people know that IRA accounts can become Self Directed IRA accounts enabling you to invest in real estate, promissory notes, stocks, oil, gas, tax certificates, small businesses, farms, gold, silver….almost anything except personal collectibles, life insurance and S corporation stock. Even further, you can create a Self Directed IRA, LLC and thus have “check book” control over your investments. (An LLC is a limited liability company.)

Basically your IRA money is transferred from your current custodian to a custodian that works with Self Directed IRA accounts. Then, you work with your attorney to create a Self Directed IRA, LLC. It is important that this is done with legal counsel since there are many important regulations involving your IRA even when it is in a Self Directed IRA, LLC. Money is then transferred from the custodian of the Self Directed IRA account to the bank account in the name of the Self Directed IRA, LLC. You can then write checks from this account into your chosen investment.

The process is critical to avoid entering into a “Prohibited Transaction.” These are transactions defined by the IRS that would place your entire IRA in jeopardy.

These transactions are not appropriate for everyone. But if you want other investment options, have special knowledge in an area, are not happy with your current investment return, want more control over your investments……a Self Directed IRA, LLC might be an option for you.

To learn more about Self Directed IRA LLCs call our office and schedule an appointment. You can also attend our free seminars….visit our website at, or call us at (910) 509-7121.