Miami, FL · Member since 2019 · 14 posts · 5 votes
Hi, I am thinking about rolling over my last job's 401K into a Solo, so I can do real estate investing with it. Does anyone recommend a provider? there are so many and trying to vet them and it is a challenge. thank you!
New to Real Estate · Boca Raton, FL · Member since 2019 · 27 posts · 37 votes
7y
Karina I also recently looked into this and did my fare share of vetting. IRA financial group came out on top. Funny enough they are based out of Miami.
New to Real Estate · Boca Raton, FL · Member since 2019 · 27 posts · 37 votes
7y
Karina I also recently looked into this and did my fare share of vetting. IRA financial group came out on top. Funny enough they are based out of Miami.
IRA Financial Group is a reputable provider, in my opinion, and a good choice if you would like to work with a company in Florida. That said, there are a few solid providers who regularly contribute here on BP too and would likely cost less. I'd recommend contacting a few companies to see who you feel most comfortable with.
Full disclosure: My company is a Solo 401k plan provider and BP does not allow self-promotion. I think you can get a good feel for some of the companies that can help with a Solo 401k if you search the forums on the subject and look at the signature of the experts that regularly respond to users' questions.
Of course, the threshold considerations are whether (i) you are eligible (i.e. self-employed with no full-time w-2 employees) and (ii) retirement funds in an account that you can rollover (i.e. former employer plan and/or non-Roth IRA that is invested in investments that can be liquidated an acceptable cost).
Assuming that you cross these threshold issues, here are some additional comments/considerations:
1. Confirm that the provider has a pristine reputation (e.g. Better Business Bureau reviews, etc.).
2. You may wish to confirm that the new 401k provider has experience with the particular investments in which you intend to invest your retirement funds as you very likely will have questions in terms of the mechanics (e.g. how do you invest in real estate, etc.).
3. You may wish to confirm that the new 401k provider will handle the ongoing compliance support such as any required 5500 filing (e.g. 5500-ez for a one-participant plan with assets in excess of $250,000), any required tax reporting (e.g. 1099-r in the event of a distribution or in-plan Roth conversion), mandatory plan updates and amendments, etc.
4. If you might take a 401k loan, you may wish to confirm that the new 401k provider will prepare the required 401k participant loan documents.