IRAs and Solo-401Ks, husband and wife
Trying to figure out all the pieces I need to get to a point where I can invest from a solo-401k.
My understanding is if you purchase a property from a solo-401k, you need to delineate the money if its funded from two 401k accounts. So if you account funded $10 and your wife's account funded $5 towards the property all the expenses & income will be split 2/3 1/3 down the road for tax purposes, right?
Now if that is indeed the case, do you do the same ratio on another property? If something else comes along, and the fund is short, so my wife rolls over another $5, the ratio changes, so you might end up with a different participating ratio for each property, is this a problem or just a matter of more accounting? Or is it better to use one account to buy properties exclusively? Such as property A funded 100% by husband, property B by husband, property C by wife, then property D comes along and you do the funding from both on that one only?
Where do you all "park" your funds while waiting for the right property to come along? Do you put them in a traditional IRA where you can trade stocks and funds in the mean time?
Most investment accounts are not FDIC insured. In the case of solo-401k if the money is actually held in a traditional bank account I assume it us FDIC issured for up to 250k until you use it to invest, correct? If your fund exceeds 250k do you break it into two accounts in two institutions or you don't worry about it because you don't fund it until you have a target property in sight?