Tag Archives: prohibited transactions

Solo 401k for Patent Investment

Investing a solo 401k in patents does not appear to be a disallowed investment as referenced below; however, it is prohibited to invest your solo 401k in a patent that you (the solo 401k account holder/participant) is developing because you are considered a disqualified party. See below for more on disqualified parties. However, if the […]

IRA LLC Owned Real Estate In-Kind Distribution Rules

Just like the IRA LLC rules allow for the distribution of cash, the same is true for the distribution of alternative investments owned by the IRA LLC. Alternative investments allowed in an IRA LLC include promissory notes, metals, tax liens, cryptocurrency, private placements and physical real estate, for example. For this post, we will address […]

A Primer on Self-Directed Solo 401k Prohibited Transactions

A Primer on Self-Directed Solo 401k Prohibited Transactions Investors like to open self-directed solo 401k plans because they want to diversify away from traditional investments (e.g., mutual funds, bonds, and stocks) and start investing in alternative investments such as real estate, private equity, promissory notes, tax liens and metals. Investors invest their solo 401k funds […]

Individual 401k Compensation Question: Can a Solo 401k Trustee receive compensation from the Solo 401k plan?

Question: My wife and I have a Solo 401k that is invested in a rental property.  The house that is in the trust has a positive cash flow of $550.00 per month. Each month we put aside $100.00 for future maintenance and repair costs, along with payments to our property manager.  Could you please tell me […]

Self-Directed 401k Checkbook Control Do’s and Don’ts

While a Self-Directed 401k with checkbook control is not required in order to gain access to investing in alternative investments such as real estate, precious metals, trust deeds, tax liens, private company shares (passively only) and even foreign real estate in places such as China, Italy, Greece, Mexico, Costa Rica, Canada, India, etc., if you […]