All Forum Posts by: Joseph Hammel

 Hey I've asked my CPA and I've even called a couple of CPAs and I can't find a good answer to this question. I know there are some experts in this particular type of scenario funding a 401k. I'll wait for them to jump in.

Can I "pay myself" to manage my rentals 20.5 k on a sched C and write off the fee. I would pay the same income tax and add fica on the sched C. Goal is to fund a roth solo 401.

It's mostly converted old 401k's, IRA's and a little original roth. And a LOT of appreciation. If I sold the 2 properties would be 250kish. Hindsight 20/20 I should have went solo THEN converted. My "live" portfolio is netting 18k a month (and growing) after everything so I can afford to start setting aside more. Wife has a nice non converted chuck sitting there as well. I still have several unanswered questions. Where are the 401k experts, cpas, attorneys, and salesmen selling this stuff?

Ok. Any help with the other questions in my post?

Pretty sure I can do both the rollover would be really no different than if I had for example a Roth at vanguard and rolled it into a 401k.

as far as paying myself I'm paying a business that I'm running from my other business most investors would never do this because they don't want to pay self-employment tax on passive income.

Hi, So I have a self directed "checkbook control" roth that currently holds 2 properties free and clear. I'm looking to change to the Roth Solo 401k. I currently use Advanta IRA and have been really happy with them. My main portfolio is doing very well at 26 or so properties and 94 ish units. I want to have the ability to do leverage in the 401k and I understand that the UBIT tax is not applicable in the 401. I also want to be able to contribute to the 20500 at 100%. So I will walk through my plan and add questions along the way if any of you gurus want to verify I'm on the right track.

Step one. Open solo roth 401k and roll the IRA into it. Does anything need to change with the holding LLC with that change?

Step two. "pay myself" a fee for managing or consulting or whatever and 1099 myself $20500. Then I get to write that off of my rentals right? I know, not the 401, talking my main portfolio.

Step 3. Contribute the 20500 to my new Solo 401k. Because its roth I pay the taxes now. 

Step 4. File a sched c on the 20500 and pay the tax and self employment tax on it. 

Between writing it off on the rentals I will pretty much just be paying the self employment tax. 

Second question, Can I still make $6000 roth contributions as well? (my wife still has a w2 job) If she quit would I be able too with my sched c income?

I have some higher level questions above this like adding employees ect. Ready to talk to an expert. Willing to move to a different admin as well.

Thanks!

These are great also.

These things are da bomb. Don't even need soldering skills.

What kind of water heater? Gas, elec, size, ect