Investor · Canoga Park, CA · Member since 2016 · 114 posts · 50 votes
I hope I'm explaining this correctly. I have investments in elder care and memory care homes. The money came from a self directed IRA and self directed 401k. I'm earning interest on these investments and it's starting to add up, but I'm not making money on the interest income that is accumulating. It's just accumulation in a cash account with the trust company I use. I can't take it out without a penalty, but I'm not sure where to put it or if I can roll it over into an account where I can make money on it until I retire or find my next investment. Does anyone have any suggestions?
I'm working on rolling mine into an account at Vanguard, so I can keep it working while it accumulates and I look for the next syndication investment. Seems like a fairly painless process, and I am not anticipating any kind of penalty because I will be rolling it into exactly the same type of account (Roth IRA in my case).
What Taylor said. Although you can invest in all kinds of things with it; syndications, mutual funds, stocks, crowd funding, private lending for fix and flips or other small investments, etc.....
We have 9 units in our Self Directed accounts, some with no loans so the savings add up relatively fast. Our favorite is just simple mutual funds until we have enough save up for a down payment on more units.
@Stacee Evans just to make sure you are aware, that Vanguard Account can NOT be the same one that you might have OUTSIDE of your self directed accounts. It has to be JUST for that account, the same as how you can't mix retirement funds and personal funds.
I'm by no means an expert in this area, but I did find a couple of relevant articles that might be helpful. This one a FAQ regarding Self-Directed IRAs from an attorney who regularly posts great articles here on BP. Here's another article regarding plan asset rules that might apply to your situation as well. Let me know if this helps.
I'm by no means an expert in this area, but I did find a couple of relevant articles that might be helpful. This one a FAQ regarding Self-Directed IRAs from an attorney who regularly posts great articles here on BP. Here's another article regarding plan asset rules that might apply to your situation as well. Let me know if this helps.