All Forum Posts by: Dan Rudolph

Wow. Very surprised at the first advice that you got. The least you should do is a rollover to a traditional IRA so that you have more "retail" investment options (i.e. Stocks and Bonds) than your 401k can offer you. This would also allow you to hire a Investment Advisor to manage it for you if you don't have the expertise or inclination.

If it is a sizeable amount, you should consider a rollover to a self-directed IRA. The following is a sampling of "non-retail" investments open to non-accredited investors.

Feel free to contact me if you want more details on any of this.

The last time this topic came up on Bigger Pockets, EILTX was suggested.  I have not used this as it is not available on my brokerage platform.

Personally, I hold cash in VCSH, Vanguard Corporate SHort term bonds.  Usually beats a bank.  TD Ameritrade will let you buy it commission-free if you hold for 30 days.

If you like RE lending, you might also check out VMBS, Vanguard Mortgage-Backed Securities.  Too Big to Fail (again)?

@Brian Eastman - Hi Brian.  Regarding your response, UBIT only applies if the investment is being leveraged through debt financing, correct?

I am not a CPA, so you can't rely on this response, but let me give it a try and let others correct if needed.

It seems to me that there is no problem here. The money will end up in the Roth and will be fully taxed. (Sounds silly to say, but 1) the IRS will get their money, and 2) it will be taxed only once.) Any portion of the IRA contribution that is not taxed when you deposit it *will* be taxed when you convert it.

An important note, the classic backdoor Roth conversion does not work if you have significant pre-tax dollars in any IRA account at the end of the year. I like to leave just $10 behind to keep the account open.

Fees are charged daily.  Redemptions are once per day.  There is no way to time this.

http://www.thestreet.com/story/729472/1/are-a-fund...

Hi BPers.  I am looking for a recommendation for a lawyer in the Minneapolis area for preparation of a:

• Will
• Revocable Trust
• Advance Directive
• Power of Attorney

Thanks for your help!

@Al Wilson@Charles Moore@Percy N.@Linda Weygant

Thanks all for the input.  It helps.

My W2 income over the next 3 years is going to be significantly higher than normal.  Is there any way to avoid paying a high personal income tax rate on this income?  I understand that if I am a "Real Estate Professional", then certain REIs can be considered tax-deductible business expense.  But I understand that this is difficult with a regular full-time job.

Also note that you cannot pool your IRA and non-IRA funds. Your REI must be 100% one or the other.

If you are going to do more than a couple per year you would be crazy to use a Self Directed IRA. I agree with Brian, you should look into an IRA LLC or Solo 401k with checkbook control. I have had great success with mysolo401k.net.