All Forum Posts by: Todd Goedeke

George,can I continue to make Solo 401k contributions past age 70 1/2? Assuming yes, when I take my RMD, am I still required to send in 20% withholding on portion in Roth 401k or just taxable portion. I want to maintain Roth 401k account because it owns properties that has debt financing on it. 

Mike, thanks you reaffirmed what I have researched. 

Why wouldn't  more investors buy fix and flip properties and sell to other investors who rent out for AirBnB in vacation areas? 

What to look for when purchasing a rental property to be used for AirBnB vacation rental?

Did that house, looks like about 1500 sq. ft., really appraise for $229,000 in Germantown? I' m from Sheboygan, seems unrealistic you would get that amount if on the market.

What Solo 401k providers allow for transfer of tax deductible funds to Roth sub account within the Solo 401k?

Scott, MY REPLY was referring to a license, not registration. My IRA LLC is not a business. I do not apply for a new tax id number just because it's an LLC. IRAs are individually owned, thus taxed under a social security number. The point I was making is that just because one owns a property in state of WI does not require any licensing with any agency.

 Are you saying that owning rental real estate in WI is conducting a business in WI?  Not true, see above.

In working with estate planning Attys. Where revocable trusts were involved people did not have to register the revocable trust with the state. Only when having a new tax Id number issued for an irrevocable trust is a new tax number generated and the act of applying for one is registering.

If a person living in IL owns property in WI under their own social security number and as an LLC why would they register? For what reason, there is no new tax Id number? They may pay property tax in WI on WI property.

Clint, are you saying that any business entity : LLC, partnership, C- Corp, S Corp must register with WI Dept. of Financial Institutions to rent out real estate in WI? Where specifically did you get that info from? Following that logic all IRA and solo 401k holders living out of state would have to register with WI Financial Inst. dept. if their retirement plan owned real estate in WI. My IRA and Solo 401k is thru IRA Financial Group ,headquarters Miami and New York. I don t have to register or be licensed as a business in every state I own properties thru my retirement plan. I file yearly only in the state where the IRA LLC was formed. If it was formed in WI I file my yearly report and pay a fee in WI. There are no yearly filing fees for the Solo 401k. Where properties are located ,owned by that LLC ,has no relavance. If it did you would have to register and pay yearly fees in every state you owned property for business purposes!

I agree with Brian. In addition, I would never let tax deductions determine whether to invest in real estate or not. I remember as an investment advisor what happened the last time they changed the rules on real estate by the IRS. Lots of money and properties lost.

Why would anyone not want forever tax free gains and cash flow with the Roth portion of their Solo 401k?And then to supercharge the growth by using leverage. What's not to like about a Solo 401k with a checkbook?

If you wish to passively manage property ,for convenience use an atty whose documents allow for checkbook control via an IRA LLC. This allows for expense checks for real estate to come from your checkbook rather than requesting custodian to write out a check for each expense.

Patti you can avoid the obstacle of non- recourse financing by purchasing multi family properties of a size where the lender requires no collateral other than the merits of the property. Consider combining forces with one or more solo 401k owners to provide necessary capital for purchase.