I have a close colleague who is willing to become my Private Lender by virtue of his 401k, but he does not know how to do this, neither do I.
What information should I ask of him?
How does he get a self-directed 401K with checkbook control (minimum to no custodial interference)?
Any response is greatly appreciated!
Thank you !
AND THIRD QUESTION,
Does he HAVE to create an LLC for his 401K?
@Dmitriy Fomichenko and @Loren Whitney can both help you. I got my solo 401k set up by Sense Financial, and I was very happy with their service.
I also got my Solo 401k set up by Sense Financial and was happy with their service.
If your friend currently works for an employer, they may not be able to do what you want them to do.
I have a 401k and the company I worked for let me take some of it out and put it into a self direct IRA, I use quest IRA and several use quest IRA but they also have rules too. But a great way to invest!
Hi @Jarianna Sutherland I looked around quite a bit before I decided on working with @Dmitriy Fomichenko at Sense Financial Services LLC(www.SenseFinancial.com). They were very hands on and that made the setup of the bylaws documentation, checkbook opening and transferring assets to it to use, very easy. I have my checkbook for my solo401k with Wells Fargo bank. You don’t need an LLC, I just setup a small sole proprietorship business. I am still employed with a large company that has a 403b (like a 401k) so I have to watch how much I contribute to both retirement plans.
With my solo 401k I was able to move some funds from my IRA and 403b into it. Hope that helps.
I've done really well with My Solo 401K
My situation was not simple and I had 6 different accounts to consolidate in my solo 401K. They were managed by companies that did not understand solo 401K's. I got a lot of hands on help for myself and for the companies holding my fund.
Can't recommend them highly enough.
In short, Jarianna, you don't need an LLC for a 401k. There are a number of companies that do this. He should be able to identify the top ones with a Google search. He should look for a top rating with the BBB among other good buzz easily available on the internet. Good luck. It's a great thing when you are set up with the right company!
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