Solo 401(k) Basics, Rules, and Contribution Deadlines

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Welcome everyone to a special Directed IRA webinar and directed IRA podcast episode.
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Today we are going to be talking about one of my favorite topics, one of the critical strategies in self-directing, the solo 401.
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Solo 401k plan is for those of you that are self-employed with no employees.
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We're going to get into this, how to set it up, but I want to make sure you understand why this matters.
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You can put 10 times as much money in a solo 401k as you can an IRA.
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We can put over 70 grand a year into a solo 401k.
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And if you're married and your spouse works in a business with you, you can be putting over 140 grand per year of new contributions, Roth dollars or traditional, you get a pick into the solo 401k.
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There's a lot of other perks and benefits to the solo 401k.
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And in general, my perspective is the solo 401k is the number one retirement account if you're self-employed.
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Now, in the current gig economy we work in right now, this could be your full-time job, your main hustle.
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This could be a side hustle.
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You can have a 401k at your day job and a side hustle on something you're doing on the side, and you can still have a solo 401k.
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So we're going to dig into it and actually go pretty deep today.
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So fair warning, I'm going to get deep into the rules here.
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I want you to know, for any of you that have a solo K or thinking about it, pretty much everything you need to know on this.
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Now, um remember, we do a webinar every week now at Directed IRA.
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Same time, same place, every Tuesday.
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One mountain, 12 Pacific.
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That's right.
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Okay.
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All right.
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We're in Arizona, so I never know what the hell we are in right now.
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So one mountain, 12 Pacific, every Tuesday.
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And make sure you come to each of those webinars.
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It's a great place to learn.
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Um, you can also be chatting with some other self-directed investors in the chat as well.
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Also, as we're going through today, if you have questions about a solo, okay, setting one up, book a call with our team.
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There's some of them in the chat here.
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You can go to directdiary.com, you can book a call to go over your specific situation and a solo 401k account.
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Ask your questions.
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You can also open the account fully online.
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But our team's here to help you with questions you may have along the way as well.
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All right, well, let's dig into the solo 401k and let's just get into it.
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As I said at the beginning here, the solo 401k is for self-employed people.
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You have a business.
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This could be main hustle, side hustle, but you have no other employees.
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So the IRS calls this a solo 401k.
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Sometimes they call it an individual K or a uni K.
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Everybody has some different little language for it.
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Solo K is a made-up word, the industry made.
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But basically what it means is you're self-employed.
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And the IRS said, hey, all these self-employed people that don't work at a big company that has a 401k, but they have a business.
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They don't have employees they need to contribute for.
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It's really just them or maybe them and a spouse or family or partner that work in the business with them.
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We should let them do their own type of 401k that's a little easier.
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It's a little more streamlined.
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But let's let them max it out under the most aggressive 401k rules possible.
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And this is the solo 401k.
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So under this 401 plan, I mentioned this at the top of the hour, at the beginning of the webinar, is you can put in 72 grand per year.
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This is 2026 contributions as a solo 401k contribution.
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So I'm getting way more money in.
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Now, the important part of a solo 401k is I can get more money in.
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It's only for self-employed people.
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We'll talk about a little bit more here in a second.
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Um, I can self-trustee this, I can be the trustee of this and have a checking account in it.
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We'll talk about that more in a second.
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I can take a loan from it, even.
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With your self-directed IRA, you can't lend yourself money, but in a solo K, you can lend yourself money, a max of 50K.
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We'll give a little more detail on that.
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And then for any of you real estate investors buying real estate where you're getting debt to leverage the purchase, there's a tax called UDFI that can apply to an IRA.
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Solo 401ks and all employer 401ks are exempt from UDFI tax.
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So those are four little key benefits here.
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There's a lot more to it, though.
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So let's talk about qualifying that for a solo 401k and who the solo 401 is for.
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So you must have a business.
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That's the first thing.
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I don't care if you drive Uber, you're an artist, you um do landscaping, you're a doctor, dentist, whatever it is, you must be self-employed.
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You must have a business where you're receiving income for goods or services.
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Now, what does not qualify as a business is I have an LLC with a rental property that receives rental income or capital gain income when I sell it.
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That's not a business for purposes of solo K rules.
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Solo K rules are meant for companies that sell goods and services.
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All right.
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So think of Microsoft, for example.
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They have a 401k plan for the benefit of their employees.
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Think of Dunder Mifflin, right?
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Dunder Mifflin has the Dunder Mifflin 401 plan for all of its employees, and everyone has their account in it.
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But the plan, the way you qualify for the 401k is at the business level.
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And the business creates the 401k plan.
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So let's say you, you let's say your name's Art Vandalay and you're an importer-exporter, okay?
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Uh, and let's say your company's called Vandalay Industries.
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You don't have any other employees, it's just you.
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Maybe you got a partner in it, or your spouse or family works in it.
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Well, Vandalay Industries is going to set up the solo 401k.
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So it might be Vandalay Industries Solo 401k plan.
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All right.
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That might be the name of your actual 401k.
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Now, Art Vandalay, you the owner, are actually an employee in the business.
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So you have an account in the solo 401k.
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The company created the plan and adopted the plan as the IRS lingo.
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And you are also the employee that participates in the plan.
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Now that's important because for solo case, a lot of people get confused because they're like, well, I own the business, but I'm the employee.
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You are both in this example.
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If you're, you know, Jim at Dunder Mifflin, okay, or Michael Scott and you work at Dunder Mifflin, well, the company is Dunder Mifflin and that's company money.
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And then you're Michael Scott and you're putting money in as an employee, and the company's putting money in, maybe matching as an employer.
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And so sometimes it's a little uh convoluted there because when you're a solo K, it's both coming out of your pocket in, right?
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So when we talk about doing a 401k at your work to get the match, where it's like 100% return on your investment if your company doesn't match where you have a 401k.
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Well, there's no match analysis here on a solo 401k.
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All right.
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So you must be, you must have a business, self-employed, selling goods and services.
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It must not have other employees.
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Now, let's define that a little bit more.
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You can have 1099 independent contractors.
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We have a lot of real estate brokers that set up solo Ks.
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They might have other agents that work with them, they 1099, maybe a virtual assistant, they 1099, maybe even a part-time employee here and there.
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Those are all fine.
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But if you have any full-time employees or a part-timer that's worked for you for three years or more, the solo K doesn't work.
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What basically the IRS says is if you're a business owner and you have a solo K and then you start getting employees, it will need to term out and turn into a regular 401k, which basically means you have to offer it to all your employees and it starts getting a little more tricky.
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So solo Ks, best for you.
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No employees.
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You can't have partners, business partners, family members that work in the business and still do a solo K, and they can have their own separate accounts in the solo 401k as well.
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All right, now what's included when you set up a solo 401k?
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There are about three or four things that you must have.
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The first is you must have an IRS pre-approved plan document.
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Now, in our law firm KQS Lawyers, that's also my law firm KQS Lawyers, we have an IRS pre-approved plan document for clients that are getting a solo K plan set up there and you're getting an attorney consult.
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If you're at directed IRA, where we're also setting up a solo 401k plan, we have also have an IRS pre-approved plan document.
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And we don't provide a consult with that in terms of like a tax and legal consult.
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We answer your questions and help you along the way, of course.
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But we have like a docs-only package when you're setting up a solo K.
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So the first thing I want to make sure you know when you talk about, well, how do I get this set up?
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And like, what is it actually?
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The first thing it is, and primarily is it's a plan document.
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And the IRS only recognizes your solo 401k if you have a plan document.
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This is not a template you can get online.
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This is not something you can create yourself.
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This document must be approved by the IRS.
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So we've gotten ours approved at Directed IRA and KQS Lawyers, those different solo K plans.
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They're both the same, but they are both separately approved so we can issue them to you as a customer.
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Second thing you'll typically want is an EIN.
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We get a separate EIN for your solo K.
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You're gonna have an EIN in your business, right?
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You have a Social Security number individually, but your plan is gonna get its own EIN.
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Why?
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Well, when you start investing this, let's say you go buy real estate in your solo K and you sell real estate, there, the title companies will say, we want to issue the you the 1099 for the sell proceeds.
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Well, you don't want to give them your social, you don't want to give them your business EIN.
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It needs to go to the solo K.
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Now, for those of you that have a solo K at a Charles Schwab or a TDM era trade, this doesn't matter.
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But for those of you self-directing, an EIN is important because we want to make sure the tax reporting is going to the 401k, which does not pay taxes as you're growing and investing and building this money.
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Third piece, custodial account.
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This is what we do at directed IRA.
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Not only can we set up your solo K plan for you, we will create an account for you.
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We call a custodial account.
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You're the trustee of the Solo K.
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We'll talk about that here later.
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But the account is where you're gonna put your money.
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You're gonna make your contribution, you're gonna invest.
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All right, this is where we hold custody to the assets.
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We're tracking the money you put in, the money you take out.
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We'll send any 1099s to the IRS.
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All right, this is all happening at the account level, and the account would be at directed trust company for your soul okay.
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Now, let's say that you have a solo okay and you work in the business and your spouse works in the business.
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Well, you'll have an account for you and your spouse will have an account for your for them.
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Let's say that um you do Roth contributions and traditional contributions.
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Well, you're gonna have two accounts.
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Let's say your spouse does the same.
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Well, they're gonna have two accounts.
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So you'll have one solo K plan, but you might actually have four total accounts.
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Now you don't need all of those.
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I'm just saying if you start adding all these other people in and multiple account type options, you can end up having multiple accounts under one solo 401k plan.
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Last thing here is you might have what's called a trustee checking account.
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A lot of people are familiar with the IRA LLC, where you have a self-directed IRA that owns an LLC 100%, and that LLC has a checking account.
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And a lot of people call that a checkbook control IRA.
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It's the way you get control of the funds to go make certain self-directed investments.
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And if you're a real estate investor or someone where you make a lot of transactions or you need the money quick to buy a property, an auction, or whatever it may be, that checking account is very helpful.
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When a solo K, you can have that checking account without an LLC.
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You can set up a checking account in the name of the Solo K account.
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And we use Titan Bank for that.
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They understand what this is, and you'll have a checking account where you can be signer because you, the business owner, are trustee of the solo 401k.
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See, we're going to be custodian of the account, but you, the business owner, are solo are the trustee of the solo K account.
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That allows you to have signing authority for the accounts where you might do this trustee checking account.
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All right.
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So that gives you some checkbook control in a solo K without having to do an LLC.
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Now you can do an LLC where the solo K account owns an LLC, and then that LLC has a check account.
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And you do that for asset protection, really, but you don't need to do the LLC for checkbook control.
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You'll get that right at the solo K level without having to do the cost of an LLC.
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All right.
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Let's talk about just like what the solo K is and getting in money into it now.
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So we know you have to be self-employed.
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We know this is a plan that the company adopts.
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Okay.
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By the way, this is a Seinfeld reference for the two or three of you who understand it.
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If not, it's still a good example.
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Okay.
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We've already received comments about it.
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Okay.
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Art Vandalay might be an architect too.
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I don't remember if I think he was an importer exporter, but he's an importer-exporter.
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Importer exporter.
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Okay.
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Um so when you start putting money in the solo K, we got to get contributions, right?
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Well, there's three different ways you get money into this solo 401k account.
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The first is a rollover.
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You can actually roll over money from an old 401k, from a traditional IRA.
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You can roll that money into the 401k.
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Okay.
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Um, we have a lot of clients that do this.
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They leave corporate America.
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And even why I have clients that start a small business and they create this new solo K plan in their small business, roll over their old 401k, and then they take that participant loan and lend themselves 50 grand as kind of startup capital that they can use in the business.
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It's just one little use case there.
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But let's say you want to self-direct and start buying alternative assets, which we do, of course, every day here at directed IRA.
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Well, you'll set up the, you can roll over existing funds and start with the solo K.
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Now, what's more common for solo Ks is I run and we run into people who are like, Matt, I'm self-employed.
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I've never had the company 401k plan.
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I've been self-employed for 10 or 20 years.
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I don't have employees.
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Um, I gotta start maxing out contributions.
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I got to get new money in.
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What do I do?
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Well, that's why we love the solo K because we can do 72,000 of new contributions into the solo 401k.
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All right, so as you can see here on this diagram, and by the way, the deck, I don't know if we've dropped it in the chat yet, but we should if we haven't yet, because this deck is super helpful.
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We want to let you guys have a copy of this.
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There's a lot of detail in this that I think would be super helpful.
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All right, so um as I'm putting new contributions in, we have two buckets of contributions.
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We have employee contributions and we have employer contributions.
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Now you own the business, so that's the company, and just think of the money coming from the company is the employer contribution.
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The money coming from you as the person working in the business is the employee contribution.
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So, in the example here, let's say that Vandalay Industries is an S corporation.
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Let's say you took a W-2 from your S corporation for$50,000.
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Okay.
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Well, what the rules say for solo Ks is as an employee, you can put$24,500 into the solo 401k for 2026, so long as you made$24,500 in 2026.
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As an employee,$24,5.
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Now, if you're$50 or older, you get to put in an extra eight grand.
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So you can put in up to$32,500.
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And then there's this new rule for the next four years where between age 60 and 63, you get to put an additional like$33,250 for a total of$35,750.
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But for now, I'm just for those of you 50 plus, just know you can actually do more as an employee.
00:16:27.120 --> 00:16:28.240
But let's just keep it simple.
00:16:28.320 --> 00:16:30.320
Let's say Art Vandalay is$45.
00:16:30.720 --> 00:16:34.720
He puts in$24,500 as an employee because he made$50K.
00:16:34.879 --> 00:16:37.679
Now let's say that Art Vandalay really only made$10K.
00:16:38.000 --> 00:16:39.440
Can he put in$24.5?
00:16:39.919 --> 00:16:40.240
No.
00:16:40.480 --> 00:16:45.919
If his W-2 or his self-employment earnings was only$10,000, he can put in$10,000.
00:16:46.159 --> 00:16:46.720
All right.
00:16:46.960 --> 00:16:50.879
So uh, but as long as he made the$24,500, he can put in$24.5.
00:16:51.279 --> 00:16:51.759
All right.
00:16:52.080 --> 00:16:56.960
So now let's go to the employer contribution here.
00:16:57.519 --> 00:17:02.720
The employer contribution isn't a set dollar amount, it's a percentage.
00:17:03.360 --> 00:17:09.039
So it's 25% of whatever the W-2 is for an S corporation.
00:17:09.279 --> 00:17:12.400
So his W 2 out of the S corporation was 50K.
00:17:12.480 --> 00:17:16.079
So 25% of 50K is$12,500.
00:17:16.240 --> 00:17:19.680
So he put in$245 as an employee.
00:17:19.920 --> 00:17:23.599
He put in$12,500 as an employer.
00:17:24.000 --> 00:17:34.480
So there's a total there of$37,000 of solo 401k contributions, Art Vandalet got to do off of a$50,000 W-2.
00:17:35.279 --> 00:17:37.920
That's a lot of money going into a retirement account.
00:17:38.079 --> 00:17:40.960
Let's just compare that, by the way, to a SEP IRA.
00:17:41.200 --> 00:17:52.640
The SEP IRA, if you had a$50,000 W 2 in a SEP IRA, you can only put in 25% of what you made, which if your W 2 is$50K, that would have been$12,500.
00:17:52.880 --> 00:18:03.039
In a solo$0.1K, I get the additional jump because I get to do that dollar for dollar up to$24,500 as an employee.
00:18:03.279 --> 00:18:05.359
So that's how the numbers work.
00:18:05.920 --> 00:18:14.559
24-5 employee contribution, 25% of whatever the W-2 is for US corporation owners or even C corporation owners.
00:18:15.119 --> 00:18:20.000
And the total amount cannot exceed, though,$72,000.
00:18:20.160 --> 00:18:24.799
Now, if you're 50 plus, it's more, of course, but for Art Vandalier here, he's 45.
00:18:25.119 --> 00:18:30.000
So the max he could do would be 70, would be 72,000.
00:18:30.079 --> 00:18:40.559
And that's what you would put in if I think like the W-2 is maybe like 140K or something, where which you'd have to max out to hit that 72,000.
00:18:40.720 --> 00:18:41.039
Okay.
00:18:41.599 --> 00:18:43.039
So let's just run another example.
00:18:43.119 --> 00:18:44.799
Let's say that the W-2 is 100K.
00:18:45.200 --> 00:18:46.319
W2 is 100K.
00:18:46.400 --> 00:18:48.960
How much can Art put in as an employee?
00:18:49.119 --> 00:18:50.640
Well, 24.5 is the max.
00:18:50.799 --> 00:18:51.759
He could do 24.5.
00:18:52.079 --> 00:18:54.480
How much could he put in as an employer?
00:18:54.720 --> 00:18:56.559
25% of 100K.
00:18:56.720 --> 00:18:58.079
That'd be 25,000.
00:18:58.240 --> 00:19:04.960
So now we're at 49,500 of what Art could put in off of a$100,000 W-2.
00:19:05.519 --> 00:19:05.839
Okay.
00:19:06.319 --> 00:19:13.119
Now, contributions, by the way, for employee or employer can be traditional or Roth.
00:19:13.519 --> 00:19:14.559
You can decide.
00:19:14.799 --> 00:19:18.160
Usually employer contributions had to be traditional dollars.
00:19:18.319 --> 00:19:27.119
But a couple of years ago, the IR the tax code changed and allowed for employer contributions, including solo cases, to be able to have Roth employer contributions.
00:19:27.279 --> 00:19:30.640
So that 72 total could be mix and match.
00:19:30.720 --> 00:19:31.839
It could be all traditional.
00:19:31.920 --> 00:19:32.960
It could be all Roth.
00:19:33.279 --> 00:19:35.279
You get to choose how you want to divide that up.
00:19:35.440 --> 00:19:42.960
If you do some as traditional and some as Roth, just keep in mind though, you'll have two separate accounts because you have to track those funds separately.
00:19:43.119 --> 00:19:57.119
So if Art Vandalay did his employee contribution as Roth of 24,5 and the 25,000 employer contribution was traditional, he's going to have a Roth account with 24,500 and a traditional account of 25.
00:19:57.519 --> 00:20:01.680
Or he could just put the 49,500 all into one Roth account.
00:20:01.839 --> 00:20:02.240
All right.
00:20:02.400 --> 00:20:09.920
If you are a sole proprietor, though, the rule for the employer contribution is 20%, not 25%.
00:20:10.319 --> 00:20:13.119
It's just a weird little caveat for sole props.
00:20:13.519 --> 00:20:18.000
When you're contributing as a sole proprietor, you put in 20%, not 25%.
00:20:18.319 --> 00:20:22.160
It has to do with the self-employment tax issues.
00:20:22.400 --> 00:20:25.759
So let's just run the numbers on 50,000 of net income.
00:20:25.920 --> 00:20:34.960
You can still do 24,5 as an employee contribution plus 20% of an employer contribution of the 50K, which would be another 10 grand.
00:20:35.359 --> 00:20:35.920
All right.
00:20:36.240 --> 00:20:40.720
So that would be 34,500 you could put in as a sole prop.
00:20:41.119 --> 00:20:42.160
We're cooking here.
00:20:42.559 --> 00:20:44.240
I hope you guys are hanging with me here.
00:20:44.400 --> 00:20:52.960
If for any of you who are going next level, by the way, let's say you want to do the mega backdoor Roth and you want to do it in a solo 401k.
00:20:53.039 --> 00:20:57.279
By the way, get a tax consult with our law firm, sister law firm KQS lawyers.
00:20:57.440 --> 00:20:59.599
They will help you understand that better.
00:20:59.759 --> 00:21:02.000
Um, this is a more advanced strategy.
00:21:02.160 --> 00:21:05.200
You're generally making a lot of money if you're doing that strategy.
00:21:05.440 --> 00:21:13.519
We love it because it's way you're getting 72K in the solo K every year using that mega backdoor strategy.
00:21:13.839 --> 00:21:20.720
Um, but essentially, this is a newer strategy for the the 401ks and a little more nuanced.
00:21:20.799 --> 00:21:22.640
So I'm just gonna leave it at that for now.
00:21:22.720 --> 00:21:24.000
We'll see if anybody has questions.
00:21:24.079 --> 00:21:25.440
We can jump back to it though.
00:21:25.599 --> 00:21:27.599
All right, contribution deadlines.
00:21:27.920 --> 00:21:29.039
Super confusing.
00:21:29.200 --> 00:21:36.240
Okay, this is like one of the areas of the tax code that just guaranteed the existence of CPAs and tax attorneys.
00:21:36.400 --> 00:21:38.240
This is just like job security for us.
00:21:38.400 --> 00:21:43.839
Why not like make something totally nonsensical, not logical, and confusing as hell?
00:21:44.079 --> 00:21:48.799
Um, and that's what they did with the solo 401k and 401k contribution deadlines.
00:21:49.039 --> 00:21:52.000
So here's the short way to think about it.
00:21:52.480 --> 00:21:57.519
Your contribution deadline is the tax return deadline.
00:21:57.920 --> 00:22:01.519
Okay, I'm gonna make some caveats here, but General, just think of it that way.
00:22:01.759 --> 00:22:07.839
If you had a solo K plan set up in 2025 and you're like, well, when do I need to make the contribution?
00:22:08.079 --> 00:22:13.920
Well, you have in general, if you're let's say a sole proprietor, your tax return is due April 15th.
00:22:14.079 --> 00:22:16.240
So you have until April 15th.
00:22:16.480 --> 00:22:24.160
Plus extensions, which if you extended your personal return, which is where your Schedule C is, that's where you report as a sole proprietor.
00:22:24.319 --> 00:22:30.400
If you extend it to October 15th, that means you actually don't have to put your money in until October 15th.
00:22:30.559 --> 00:22:34.160
And that assumes you had a solo K plan set up back in 2025.
00:22:34.240 --> 00:22:34.400
Okay.
00:22:34.559 --> 00:22:37.839
I'm going to get it to set up timing here in a second later on.
00:22:38.000 --> 00:22:41.519
But just think, just hang with me of like, when do I need to get the contribution in?
00:22:42.559 --> 00:22:46.160
And that's for employee or employer contributions, by the way.
00:22:46.400 --> 00:22:49.599
Let's say that you are an S-corp owner, though.
00:22:49.839 --> 00:22:50.319
All right.
00:22:50.480 --> 00:22:53.519
There's a couple, this is the most common self-employed person.
00:22:53.680 --> 00:23:04.799
We generally like S corporations for our business owners, whether you're a small business, big business, medium business, if you're a business owner working in that business, you generally should be an S corporation to save on self-employment tax.
00:23:05.039 --> 00:23:12.240
Well, what this means for your solo K is your contribution deadline is the tax return deadline, which is March 15th.
00:23:12.319 --> 00:23:16.960
It's the company tax return deadline plus extensions, which is September 15th.
00:23:17.119 --> 00:23:26.640
However, if you're an S-corp owner, you have to do your W-2 for 2025 by January 31st, 2026.
00:23:27.119 --> 00:23:33.440
That W-2 needs to have your 401k deferral, your employee contribution listed on it.
00:23:34.480 --> 00:23:48.720
Even though you don't have to put the money in until March 16th, 2026, or September 15th, if you extend, even though the money doesn't have to go in yet, you have to elect for it and it needs to be on your W-2 when you're doing this in January.
00:23:48.880 --> 00:23:58.640
So as we're sitting here in February, if you're an S Corp owner and you didn't do this, you're not doing employee contributions in your solo K for 2025.
00:23:58.799 --> 00:24:10.160
We can still knock them out for 2026, but it's not happening for 2025 because your W-2's already passed and you technically needed to elect for it in 2025, even if that was the last day of the year.
00:24:10.240 --> 00:24:12.400
Now, your employer contributions, don't worry.
00:24:12.559 --> 00:24:16.720
Those can happen by the tax return deadline plus um extensions.
00:24:16.880 --> 00:24:17.279
All right.
00:24:17.519 --> 00:24:21.440
So now if that went totally over your head and you're like, Matt, you just lost me there.
00:24:21.759 --> 00:24:23.200
Just think of this simply.
00:24:23.440 --> 00:24:28.480
Make your contributions within the tax year of when you're contributing, and you don't have to worry about this.
00:24:28.640 --> 00:24:32.480
This is for the people who like to wait and put their money in at the last minute.
00:24:32.720 --> 00:24:38.480
Or someone's setting up a solo K plan now, trying to get tax savings in 2025, which you can do.
00:24:38.640 --> 00:24:40.000
Okay, I love that.
00:24:40.160 --> 00:24:52.720
I'm just saying some of these deadlines are a little more tricky, but typically, as you're get once you get this going, especially after the first year, just get the money in as soon as you can, and tip typically within the year.
00:24:52.960 --> 00:24:57.039
If you need to procrastinate, these are some of the deadlines just keep in mind.
00:24:57.119 --> 00:25:01.759
And keep in mind we have this um uh presentation which you can download as well.
00:25:01.920 --> 00:25:07.119
All right, we talked about rollovers as well, but I just want to hit a couple other points here.
00:25:07.200 --> 00:25:12.960
So if you got a question, make sure you're um bribing Aaron or you know, being nice to him in the chat so he takes your question.
00:25:13.200 --> 00:25:14.319
I'll take crypto.
00:25:14.559 --> 00:25:15.839
Crypto, okay.
00:25:17.039 --> 00:25:18.400
Or gold and silver.
00:25:19.359 --> 00:25:19.839
All right.
00:25:20.079 --> 00:25:26.160
So um speaking of crypto and gold and silver, those are investments you could own in your solo 401k.
00:25:26.319 --> 00:25:34.319
So solo 401k accounts, what we do at directed IRA, of course, where you can own real estate or a private fund or precious metals, crypto.
00:25:34.559 --> 00:25:35.920
You can do private lending.
00:25:36.000 --> 00:25:40.000
These are all assets your solo K account can invest in as an investment.
00:25:40.240 --> 00:25:43.359
So if I'm Art Vandalay, let's just run through this here.
00:25:43.519 --> 00:25:46.480
I'm Art Vandalay, a Vandalay Industries.
00:25:46.640 --> 00:25:48.480
I got no other employees.
00:25:48.720 --> 00:25:51.119
I set up a solo 401k.
00:25:51.519 --> 00:25:53.839
I made 100 grand on my W-2.
00:25:54.160 --> 00:26:01.920
So I put in 245 as an employee contribution, and then 25% of the 100K is an employer contribution because I'm an S-corp.
00:26:02.079 --> 00:26:07.119
So I've got 49,500 and I did it all as Roth contributions.
00:26:07.200 --> 00:26:09.759
That's all in my Roth solo K account.
00:26:10.000 --> 00:26:13.839
Now I'm over here and I got the money in the account and I want to invest and grow it.
00:26:14.000 --> 00:26:21.039
I want that 49.5 to turn into 50, 60, 70 grand from investment returns and greater over time as well.
00:26:21.279 --> 00:26:26.160
So I could say, hey, I want to put that 49.5 into Bitcoin right now.
00:26:26.480 --> 00:26:28.559
You could do a crypto solo K account.
00:26:28.720 --> 00:26:35.440
You think Bitcoin's got some, you know, you're gonna buy the dip or whatever your thesis is, or you think it's gonna be greater over time.
00:26:35.680 --> 00:26:38.799
Maybe it's XRP or Solana, whatever you're into.
00:26:38.960 --> 00:26:40.480
So you decide you want to do crypto.
00:26:40.640 --> 00:26:48.160
Well, when those, if that appreciates in value, those gains go back into the Roth solo K account, no taxes.
00:26:48.400 --> 00:26:50.960
You could say, I want to do some private money lending.
00:26:51.039 --> 00:26:53.920
I want that solo K, that$49,500.
00:26:54.079 --> 00:27:00.400
I want to go lend it out to some other real estate investor and charge them 10% interest and two points.
00:27:00.640 --> 00:27:05.039
So I'll get$5,000 back, 10% interest and two points.
00:27:05.119 --> 00:27:08.559
You know, I'll get, what's that gonna be a thousand dollars on points?
00:27:08.720 --> 00:27:11.759
So I want to grow the account that way from private lending.
00:27:11.839 --> 00:27:16.559
Okay, whatever it might be, you could put 50,000 in as a into a private fund.
00:27:16.640 --> 00:27:21.200
You know, whatever your investment is, that's what you're gonna do to grow and build the account.
00:27:21.359 --> 00:27:25.440
We got to save and put the money aside in new contributions every year.
00:27:25.519 --> 00:27:27.839
And we want to maximize and get as much dollars in.
00:27:28.000 --> 00:27:29.599
We want to roll over what we can.
00:27:29.759 --> 00:27:36.960
If you have an old employer 401k or an old traditional IRA out there, but we don't want to just put the money in.
00:27:37.119 --> 00:27:38.400
We want to go invest it.
00:27:38.480 --> 00:27:38.799
Okay.
00:27:38.960 --> 00:27:43.039
And this is where in self-directing, you got to be a little more involved and go find the things.
00:27:43.119 --> 00:27:49.759
Now, in the interim, it can be sitting in cash, and sometimes that's your investment thesis because you think the market's gonna go down or whatever, who knows?
00:27:49.920 --> 00:27:54.559
Um, but you could also say, well, I want to just buy a mutual fund or an ETF until I find something.
00:27:54.720 --> 00:27:56.079
We can do that here at Directed.
00:27:56.160 --> 00:27:59.119
It could just you contribute in and you it's like 25 bucks.
00:27:59.200 --> 00:28:00.960
You can go buy a mutual fund, right?
00:28:01.039 --> 00:28:04.880
And just wait until you find the alternative asset that you're looking to do.
00:28:04.960 --> 00:28:07.359
Maybe you're looking for a real estate deal and it takes six months.
00:28:07.519 --> 00:28:21.119
Well, in the interim, you could at least have the money in, contribute, get the deadline, and then uh get the money in before any deadlines, and then um you could be in the market and whatever mutual fund or ETF even that you wanted to be in.
00:28:21.519 --> 00:28:23.759
We keep getting the same this one over.
00:28:23.839 --> 00:28:24.400
Let's hit this one.
00:28:24.480 --> 00:28:29.119
Can I uh this comes from Jim, the most recently one that asked this question.
00:28:29.359 --> 00:28:34.000
Can I roll over my Roth IRA into my Roth solo 401k?
00:28:34.240 --> 00:28:35.200
Okay, great question.
00:28:35.359 --> 00:28:36.400
I breezed over that.
00:28:36.559 --> 00:28:38.400
I skipped that, but I did have a slide for it.
00:28:38.480 --> 00:28:39.279
So let's show it here.
00:28:39.359 --> 00:28:40.960
Jim, this slide's for you.
00:28:41.119 --> 00:28:43.440
Um and the slides are shared there in the chat.
00:28:43.599 --> 00:28:47.200
There's a PDF that was dropped in the chat, so you can go grab the whole slide deck now.
00:28:47.519 --> 00:28:50.240
So, Jim, I hate to say this is kind of a dumb rule.
00:28:50.400 --> 00:28:55.039
You cannot move Roth IRA dollars into a Roth 401k.
00:28:55.519 --> 00:29:00.400
Um, I I was even in Washington, DC, literally at a retirement plan conference.
00:29:00.720 --> 00:29:09.359
And the retirement czar under the Obama administration, his name was Mark Ivery, he um would always come to our conferences.
00:29:09.440 --> 00:29:12.400
I got to know him a little bit, and I would always like to, you know, talk shop with him.
00:29:12.640 --> 00:29:21.440
And he was like, this is something that is so dumb that needs to be fixed, but there's no constituency begging Congress to do it.
00:29:21.519 --> 00:29:23.039
So it's just been sitting there.
00:29:23.279 --> 00:29:27.279
And whether you're Republican or Democrat, and everyone's like, this is just dumb.
00:29:27.359 --> 00:29:31.039
You should be able to move money from a Roth IRA to a Roth 401k.
00:29:31.440 --> 00:29:32.480
But you cannot.
00:29:32.640 --> 00:29:34.000
You can do the opposite.
00:29:34.240 --> 00:29:37.440
You can go from a Roth 401k to a Roth IRA.
00:29:37.599 --> 00:29:40.000
You just can't go Roth IRA to Roth 401k.
00:29:40.079 --> 00:29:46.000
So, what I tell Roth IRA clients is once you're a Roth IRA, you're always a Roth IRA.
00:29:46.079 --> 00:29:47.359
It's not going anywhere else.
00:29:47.519 --> 00:29:49.599
It's not going to traditional IRA anymore.
00:29:49.839 --> 00:29:52.480
It's not going to a Roth 401k.
00:29:52.559 --> 00:29:56.480
If you set up a Solo K later, it will always be a Roth IRA.
00:29:56.559 --> 00:30:02.960
Now, your traditional IRA could be rolled to your traditional solo K account and then converted to Roth.
00:30:03.440 --> 00:30:07.519
Your old employer 401k that's a Roth 401k.
00:30:07.839 --> 00:30:12.319
Those Roth 401k dollars could get rolled into your solo Roth 401k.
00:30:12.480 --> 00:30:15.680
So that's the one little hiccup in the rollover rules.
00:30:15.759 --> 00:30:20.079
Roth IRAs just don't get to play into the solo K party.
00:30:20.240 --> 00:30:22.319
So there's no workaround either.
00:30:22.400 --> 00:30:24.240
Um, that we've at least we found on that.
00:30:24.400 --> 00:30:25.359
I can't think of any.
00:30:25.440 --> 00:30:26.400
So, all right.
00:30:26.640 --> 00:30:27.359
Next question.
00:30:27.680 --> 00:30:34.640
Uh, can I have a full-time W-2 job or job that's 1099 and also establish a solo K?
00:30:34.720 --> 00:30:39.920
So, like I have a side hustle and I also drive Uber, but I have a W-2 job as well.
00:30:40.079 --> 00:30:42.319
Can I participate into a solo 401k?
00:30:42.559 --> 00:30:42.799
Yes.
00:30:42.960 --> 00:30:45.039
And we have lots of clients that do that.
00:30:45.200 --> 00:30:54.240
And one of the strategies that we've seen clients do, I think is pretty smart, is if they're day job 401k, they'll contribute to that still up into the match.
00:30:54.400 --> 00:30:58.400
So let's say your day job 401k, let's say you make 100 grand.
00:30:59.200 --> 00:31:01.920
And let's say I'm just doing this so the math's easy.
00:31:02.000 --> 00:31:02.160
Okay.
00:31:02.640 --> 00:31:11.119
Let's say that your employer says, hey, if you put in 4% of what you make, we'll match that dollar for dollar in your 401k up to a total of 4%.
00:31:11.680 --> 00:31:14.319
So let's say you make 100K, you put in 4 grand.
00:31:14.640 --> 00:31:17.759
The company is going to drop 4 grand in as part of the match.
00:31:17.839 --> 00:31:20.640
So now you've got$8,000 in the 401k.
00:31:20.720 --> 00:31:21.839
Now we want you to do that.
00:31:21.920 --> 00:31:22.720
That makes sense.
00:31:22.880 --> 00:31:36.559
Even if your only investment option is some crappy target date fund or mutual fund you don't understand or aren't excited about, like just that immediate doubling of your money from putting your contribution in and getting the match from your employer makes sense.
00:31:36.640 --> 00:31:39.039
So we call that the match and out.
00:31:39.359 --> 00:31:46.160
Just put enough in to get the match and then stop contributing to that employer 401k because your investment options are limited.
00:31:46.319 --> 00:31:52.880
What we want you to do next is if you got the side hustle or other business, then start contributing to the solo K.
00:31:53.200 --> 00:31:59.839
Adopt a solo K in the small business or side hustle that you have and max out your contributions and dollars there.
00:32:00.960 --> 00:32:07.200
And that way, the money I put in the solo K, I have much more greater flexibility of how I want to invest it.
00:32:07.359 --> 00:32:08.559
I can self-direct it.
00:32:08.640 --> 00:32:12.720
I don't just have the menu of mutual funds or target date funds to pick from.
00:32:13.680 --> 00:32:16.079
What do I do if I have a SEP currently?
00:32:16.240 --> 00:32:18.160
How can I Awesome?
00:32:18.400 --> 00:32:20.240
How can I get to a solo 401k?
00:32:20.319 --> 00:32:21.200
What would be the process for that?
00:32:21.440 --> 00:32:24.319
So if you have a SEP, that's for a self-employed person already.
00:32:24.400 --> 00:32:25.839
So I know you're self-employed.
00:32:26.000 --> 00:32:27.279
Presumably you don't have employees.
00:32:27.359 --> 00:32:29.680
So we would just set up a new solo K.
00:32:30.079 --> 00:32:34.400
And you would roll your SEP IRA into the solo 401k.
00:32:34.559 --> 00:32:37.200
So SEP IRA dollars are traditional funds.
00:32:37.359 --> 00:32:45.519
So you would there, you can do Roth SEP now, actually, but I've I've not ran across someone that's done it yet, but it changed in law about three years ago.
00:32:45.680 --> 00:32:47.440
Most CEPs are all traditional dollars.
00:32:47.680 --> 00:32:56.960
So you can roll that traditional SEP into your new traditional solo K account in the Solo K plan and then just start contributing to the Solo K.
00:32:57.440 --> 00:33:05.599
Um, you could also convert that to Roth if you wanted to go Roth and just start, and then you'd make all your new contributions to Roth as well, too.
00:33:05.759 --> 00:33:07.279
So you don't have to go all Roth.
00:33:07.440 --> 00:33:16.240
I'm just, you know, for the Roth fans out there, just know we can convert those traditional SEP dollars over to Roth on day one once it's in the Solo K.
00:33:16.319 --> 00:33:22.160
Or you could leave it as traditional and keep doing traditional contributions because you want all the tax deductions on the traditional contributions.
00:33:22.240 --> 00:33:23.839
There's not a wrong or right way to do it.
00:33:24.000 --> 00:33:26.079
I tend to be more of a Roth guy.
00:33:26.240 --> 00:33:31.680
And, you know, short-term pain, pay the tax for long-term gain, tax-free withdrawals.
00:33:31.839 --> 00:33:34.000
But you could be chasing tax deductions now.
00:33:34.160 --> 00:33:35.359
I totally, totally get that.
00:33:35.519 --> 00:33:36.960
And doing traditional.
00:33:37.440 --> 00:33:39.119
Oh, this is a you want to take one more?
00:33:39.279 --> 00:33:40.880
Yeah, let's do one more and then we'll bounce back.
00:33:41.200 --> 00:33:42.720
So okay, so this is a good one.
00:33:42.880 --> 00:33:45.440
Ryan's uh he he this comes from Ryan.
00:33:45.519 --> 00:33:47.119
He's sent it a few times, I guess.
00:33:47.279 --> 00:33:49.359
Thanks, Ryan, for subscribing to our YouTube as well.
00:33:49.519 --> 00:33:50.960
Matt's YouTube directed.
00:33:51.279 --> 00:33:56.079
So I think uh it's a little bit difficult on what he's trying to ask, but I think I get it.
00:33:56.160 --> 00:34:00.640
So he has a real estate company, LLC, set up as a disregarded entity.
00:34:01.039 --> 00:34:01.359
Okay.
00:34:01.920 --> 00:34:08.239
He wants to know if he can handle the transaction for purchasing of a property if it doesn't receive a commission.
00:34:09.360 --> 00:34:14.400
So and then the follow-up to that is can I uh with his solo K.
00:34:14.480 --> 00:34:16.480
So a yeah, yeah, we're we're gonna use it in this case.
00:34:16.559 --> 00:34:17.199
I know what he's saying.
00:34:17.280 --> 00:34:18.719
He's looks like it's an IRA LC.
00:34:18.800 --> 00:34:19.840
I want to do it as a solo K.
00:34:20.079 --> 00:34:20.639
It's the same answer.
00:34:20.880 --> 00:34:21.280
Same, yeah.
00:34:21.360 --> 00:34:22.400
And then same rule.
00:34:22.719 --> 00:34:29.360
Also, can I also manage the property if I'm not getting compensated for managing it?
00:34:29.599 --> 00:34:30.000
Okay, great.
00:34:30.239 --> 00:34:30.880
That's two parts.
00:34:31.119 --> 00:34:36.639
Okay, so whether you're using a solo K or a self-directed IRA, IRA LC doesn't matter.
00:34:36.719 --> 00:34:37.760
The rules on this is the same.
00:34:37.920 --> 00:34:47.440
What we're basically asking there is hey, once I've got the money in my self-directed account, solo K, self-directed IRA, IRA LC structure, doesn't matter.
00:34:47.760 --> 00:34:52.320
And let's say I use that money in the retirement account to go buy real estate.
00:34:52.480 --> 00:34:54.079
Can I be the agent on that?
00:34:54.159 --> 00:34:57.920
And I won't get a commission, but can I actually be the agent on that?
00:34:58.159 --> 00:34:58.559
Yes.
00:34:58.719 --> 00:35:02.400
You'll waive the commission typically, reduce the purchase price.
00:35:02.559 --> 00:35:04.960
Let's say there's a 3% buyer's agent commission.
00:35:05.119 --> 00:35:07.039
The house is, you know, 300 grand.
00:35:07.440 --> 00:35:08.320
It's exactly what he asked.
00:35:08.480 --> 00:35:09.679
It's a hundred K purchase.
00:35:09.760 --> 00:35:12.880
I'm getting, you know, can I reduce it three grand and 97K?
00:35:13.280 --> 00:35:13.679
Absolutely.
00:35:13.840 --> 00:35:14.159
Okay.
00:35:14.320 --> 00:35:18.880
So do that and just or just negotiate that, you know, with the seller as you're doing it.
00:35:19.039 --> 00:35:22.079
It's the same net proceeds to the sellers, so they shouldn't care.
00:35:22.320 --> 00:35:24.400
So, but then the retirement account's getting it.
00:35:24.480 --> 00:35:28.719
And and you can be basically the agent, and you can be the agent doing this.
00:35:28.960 --> 00:35:33.760
Now, now the 401k owns it or the self-directed account, whatever account type it might be.
00:35:33.920 --> 00:35:35.840
Now you want to manage the property.
00:35:36.000 --> 00:35:36.880
Can you do that?
00:35:37.119 --> 00:35:40.320
Yes, but I want to make sure you're not crossing any lines.
00:35:40.559 --> 00:35:49.039
Once you start managing an asset your retirement account owns, you can do management and administrative oversight, but you cannot do physical work.
00:35:49.280 --> 00:35:52.320
So, for example, I can go show the property to a tenant.
00:35:52.480 --> 00:35:53.920
I can write up the lease.
00:35:54.079 --> 00:35:56.000
I can tell them where to send the rent payment.
00:35:56.159 --> 00:35:58.480
I can make sure a handyman goes and fixes something.
00:35:58.639 --> 00:36:06.239
I can hire the landscaping company as trustee of the solo K or manager of the IRLC or owner of the self-directed IRE.
00:36:06.320 --> 00:36:14.000
And I can I can make all those decisions and kind of orchestrate all that, but I can't go in and remodel the kitchen and put on the tool belt.
00:36:14.159 --> 00:36:14.400
Okay.
00:36:14.559 --> 00:36:21.599
Now I'm adding value to the asset that the retirement account owns, and it starts causing a whole series of problems.
00:36:21.840 --> 00:36:26.480
Even the government accountability office, they did a report on self-directed IRAs to the IRS.
00:36:26.559 --> 00:36:29.760
They outline this as a no-no of something people shouldn't do.
00:36:29.920 --> 00:36:33.440
And a common problem, people mess up in self-directed accounts.
00:36:33.679 --> 00:36:35.360
So don't do physical work.
00:36:35.440 --> 00:36:39.599
But as long as you're on the administrative management side of things, don't sweat it.
00:36:40.320 --> 00:36:41.679
Let me take one more before we go.
00:36:41.840 --> 00:36:43.280
So, because this is important.
00:36:43.519 --> 00:36:49.840
There's some people on here that have a solo K or a non-prototype they set up at like Fidelity or TD Ameritrade.
00:36:50.000 --> 00:36:54.480
They want to know can I can I move it to directed and self-direct it?
00:36:54.639 --> 00:36:57.920
Um, do the Roth component, start investing in alts.
00:36:58.239 --> 00:36:58.559
Absolutely.
00:36:58.719 --> 00:37:07.599
So if you already have a solo K, but it's like a brokerage solo K, those plan documents that you're on right now are restrictive to that custodian.
00:37:07.679 --> 00:37:11.039
You're kind of like captive to that provider.
00:37:11.280 --> 00:37:19.199
And so they only let you use that plan and they only set it up for you as long as you're a customer of theirs and buying the stuff that they sell, stocks, bonds, and mutual ones.
00:37:19.360 --> 00:37:25.280
So those plans don't let you buy real estate or precious metals or any asset allowed by law.
00:37:25.440 --> 00:37:30.159
They in fact restrict you to buy the things that TD Ameritrade or Fidelity sells.
00:37:30.400 --> 00:37:33.760
So what you will do is you can restate that plan.
00:37:33.840 --> 00:37:36.000
It's still the same 401k plan.
00:37:36.159 --> 00:37:38.079
Let's go back to your art Vandalay.
00:37:38.239 --> 00:37:43.280
Let's say you set up the solo 401k plan for Vandalay Industries at TD Ameritrade.
00:37:43.360 --> 00:37:45.360
And now you're like, I don't want to buy stocks anymore.
00:37:45.440 --> 00:37:47.519
I want to go do a real estate deal with this.
00:37:47.760 --> 00:37:48.079
Okay.
00:37:48.400 --> 00:37:53.599
Well, we will restate the Vandalay Industries solo 401k plan onto our documents.
00:37:53.679 --> 00:37:56.400
It's still the Vandalay Industries solo 401k plan.
00:37:56.719 --> 00:38:08.079
It is now just on our plan documents, which have an open architecture type investment option where we say any asset allowed by law, we will let you acquire with that account.
00:38:08.320 --> 00:38:10.559
So it's called a restatement.
00:38:10.639 --> 00:38:12.639
You don't have to redo the whole plan.
00:38:12.800 --> 00:38:17.119
Um, and then it's easy to move the assets over as well, whether you just liquidate.
00:38:17.280 --> 00:38:26.000
Typically, you're going to liquidate down and just transfer over the cash from your brokerage solo c over to your self-directed solo K.
00:38:26.159 --> 00:38:31.920
And our team, there's a number of the chat at directory, I've helped hundreds, if not thousands, plus clients do that.
00:38:32.159 --> 00:38:41.599
So we can certainly look at the plan you have, restate it over onto R docs, and then get your account going over here, get your funds over so you can go invest in some private assets.
00:38:41.679 --> 00:38:44.960
And by the way, you could do a combo of private assets and public assets too.
00:38:45.199 --> 00:38:48.000
Address how you can do that real quick with us, because that just came up.
00:38:48.079 --> 00:38:49.119
I've got three questions on that.
00:38:49.280 --> 00:38:52.400
Yeah, the easiest is just do a mutual fund.
00:38:52.559 --> 00:38:52.880
Okay.
00:38:53.039 --> 00:38:58.159
Whether it's an SP 500 fund or whatever your investment thesis is, just do a mutual fund.
00:38:58.320 --> 00:38:58.639
Okay.
00:38:59.039 --> 00:39:02.719
Um, if you're wanting, most people aren't trying to day trade this.
00:39:02.880 --> 00:39:06.800
You know, if you're a day trader, you're typically not coming to directed IRA, right?
00:39:06.880 --> 00:39:11.039
You're you're some other trading platform where that's just what they do.
00:39:11.119 --> 00:39:21.360
But you might be like, well, I want to be in the market for some of the money, but I want to kind of like just get in and otherwise wait for some other better investment opportunity, and then I'll sell that position and go do the real estate deal, the other investment.
00:39:21.519 --> 00:39:23.679
Well, just buy a mutual fund.
00:39:23.840 --> 00:39:26.480
You can do that right in your account at directed IRA.
00:39:26.559 --> 00:39:29.840
We do have a brokerage trading option, but you don't need that.
00:39:30.079 --> 00:39:33.199
That is for someone that wants to day trade their account.
00:39:33.360 --> 00:39:33.679
Okay.
00:39:34.000 --> 00:39:39.280
So I uh the fee, I believe, on a mutual fund is 25 bucks per trade.
00:39:39.519 --> 00:39:42.639
So it's a fee of 25 bucks.
00:39:42.800 --> 00:39:45.360
If it's a stock, it's I think the same or 35.
00:39:45.599 --> 00:39:51.840
And there's some and there's some little cents per share that frankly is a pass-through cost that we have at the broker dealer.
00:39:52.320 --> 00:40:03.039
See, what's what's different when you buy a public asset from us than let's say a Schwaber Fidelity is Schwab Fidelity Robinhood get what's called payment for order flow.
00:40:03.280 --> 00:40:09.360
So they get paid by the citadels and the big brokerages that are trading your stocks.
00:40:09.599 --> 00:40:16.320
And what that means is you're actually buying that stock at a premium from what you could otherwise get.
00:40:16.719 --> 00:40:19.199
You're just not seeing the fee and the cost of that.
00:40:19.360 --> 00:40:20.639
With us, we're not doing that.
00:40:20.719 --> 00:40:22.559
And the brokerage we use don't do that.
00:40:22.719 --> 00:40:26.639
So they actually charge a fee that's disclosed and is clear what you're actually doing.
00:40:26.800 --> 00:40:29.119
So that's why there is a fee for that.
00:40:29.360 --> 00:40:45.920
Um, but just keep that in mind if you do want to be in some public assets and private assets, or you're bouncing back between public asset like a mutual fund, which is what I've done sometime with my account here, you know, versus okay, I got a uh now I got a private asset I want to go buy.
00:40:46.079 --> 00:40:47.199
So you can go back and forth.
00:40:47.519 --> 00:40:49.920
Let's hit one more and then we'll rapid fire at the end.
00:40:50.079 --> 00:40:50.400
Sound good.
00:40:50.639 --> 00:40:52.000
Okay, I gotta hit some more topics here.
00:40:52.079 --> 00:40:53.920
So give me one this last one.
00:40:54.239 --> 00:40:57.840
Can you just clarify uh K1 versus W two?
00:40:58.239 --> 00:40:58.400
Yes.
00:40:58.719 --> 00:40:59.519
That keeps coming up.
00:40:59.679 --> 00:41:01.440
I got like five people that have asked me that.
00:41:01.679 --> 00:41:02.159
Okay, good.
00:41:02.239 --> 00:41:19.360
So on the contributions where I was talking about your W-2, the contribution rules for US Corp owners, you get a if you're an S corporation owner, you get a W-2 as the employee for your salary and wages, and you get a K1 for your profits or net income coming out of the business.
00:41:19.679 --> 00:41:24.559
For contribution rule purposes, the IRS only cares about your W-2.
00:41:25.119 --> 00:41:26.960
They don't care what's on your K1.
00:41:27.360 --> 00:41:31.519
Now that sucks because I know what you're thinking, the five or six you that asked that question.
00:41:31.679 --> 00:41:32.079
Yes.
00:41:32.320 --> 00:41:37.119
You're trying to optimize to have the lowest salary possible.
00:41:37.360 --> 00:41:40.559
And you want to have a big K1 and a low W2.
00:41:40.960 --> 00:41:50.639
Well, if I have a big K1 and a low W2, that limits how much I can put into my solo K because the W2 number is what determines how much I can put in the solo K.
00:41:51.679 --> 00:41:53.039
That's just how it is.
00:41:53.199 --> 00:42:09.840
Now, Mark and I have done on our podcast before, Mark, uh, my partner and uh you know, board member, co-founder, directed IRA, we've done some episodes on trying to find the sweet spot for 401k contributions.
00:42:10.000 --> 00:42:10.559
All right.
00:42:11.599 --> 00:42:16.400
And like how much salary do I take from my S corporation?
00:42:16.559 --> 00:42:22.960
Because I the more salary I take, I'm paying self-employment tax, but I'm trying to optimize for 401k contributions.
00:42:23.039 --> 00:42:27.039
So I it's kind of like those two aren't in harmony.
00:42:27.280 --> 00:42:31.280
So you got to find that right sweet spot where it's like, well, how much am I really trying to get in?
00:42:31.440 --> 00:42:37.679
Just remember, even$100,000 W 2, you're putting in$49,500 as a as a contribution.
00:42:37.760 --> 00:42:43.280
So if you're a high income earner, self-employed, doing the S-corp, let's say you're making$600,000 a year.
00:42:43.440 --> 00:42:50.800
You take$100K W2,$500K on your K1, you're still putting in$50K as a contribution that year.
00:42:51.119 --> 00:42:55.199
So um, so you got to find the right balance between those two things.
00:42:55.280 --> 00:42:57.519
And I know they do not work in harmony.
00:42:57.679 --> 00:42:59.679
So you gotta kind of pick one or the other.
00:43:00.000 --> 00:43:01.679
Um, all right, let's jump back in.
00:43:01.760 --> 00:43:03.119
I want to hit a couple other topics.
00:43:03.199 --> 00:43:06.400
We'll come back to your questions here in about five or six minutes.
00:43:06.559 --> 00:43:08.480
Um, so hang tight if you got a question.
00:43:08.639 --> 00:43:10.480
Aaron will still be uh monitoring those.
00:43:10.559 --> 00:43:14.000
And remember, if you're like, man, I got a lot of questions, book a call with our team.
00:43:14.079 --> 00:43:14.880
We're happy to help.
00:43:15.039 --> 00:43:23.280
If you're someone that needs a whole tax plan and everything, like you're like, I got a whole other bunch of tax questions now about that solo, that S-corp, solo K.
00:43:23.360 --> 00:43:27.360
I want to do mega backdoor rough, call the law firm at KQS Lawyers, okay?
00:43:27.760 --> 00:43:35.280
Book an appointment there because that team can, you're gonna need more specific advice and tax planning if you're trying to execute on all those strategies, which I love.
00:43:35.519 --> 00:43:37.599
I want you to do that if you're in that scenario.
00:43:37.840 --> 00:43:44.000
All right, let's talk about solo 401k perks on buying leveraged real estate.
00:43:44.239 --> 00:43:57.599
So if you're a real estate investor and you want to go buy real estate, let's say that the property is worth$300,000 and you have$100K in the account, you want to get a loan for$200K so you can buy the$300K property.
00:43:57.760 --> 00:43:59.760
Well, when you do that with an IRA, there's a tax.
00:44:00.159 --> 00:44:03.360
Tax on the profits from the debt called UDFI.
00:44:03.440 --> 00:44:04.800
It's a whole chapter in my book.
00:44:04.880 --> 00:44:06.639
We've got a lot of other content on that.
00:44:06.800 --> 00:44:08.400
I don't have enough time to get into it today.
00:44:08.559 --> 00:44:13.920
It's actually not that bad of a tax because it's kind of profits on money you never had in the first place.
00:44:14.239 --> 00:44:18.880
Um, so the IRS is like, we're gonna tax this before we put it back into a tax advantage account.
00:44:18.960 --> 00:44:20.719
So that's what they do for IRAs.
00:44:21.199 --> 00:44:28.079
401ks, including solo Ks, are exempt from this tax, the UDFI, on leveraged real estate.
00:44:28.239 --> 00:44:33.519
All right, so when I'm using debt to go buy real estate with a solo 401k, I don't even need to worry about this.
00:44:33.599 --> 00:44:35.039
It's automatically exempt.
00:44:35.119 --> 00:44:36.079
So that's another perk.
00:44:36.159 --> 00:44:40.159
A lot of real estate investors who are self-employed love using debt.
00:44:40.320 --> 00:44:46.079
Um, and you don't have to worry about uh the UDFI tax if you're in that scenario.
00:44:47.039 --> 00:44:55.119
All right, now you can do this 401k LLC where you have your solo K account, and that would be on the left there.
00:44:55.199 --> 00:44:55.760
That's your account.
00:44:55.840 --> 00:44:57.119
Let's say you're Art Vandalay.
00:44:57.280 --> 00:45:11.440
You got the Vandalay 401k, and you've got the Roth account that you put your 49,500 in for this year, and now that 49.5 from your Roth account, you wanted to use an LLC to go real estate to go buy real estate.
00:45:11.599 --> 00:45:13.519
And you want that maybe for some asset protection.
00:45:13.599 --> 00:45:17.920
Maybe it's gonna be a short-term rental, or you're just, you know, you want it's just gonna be a rental in general.
00:45:18.000 --> 00:45:19.199
You want some asset protection.
00:45:19.440 --> 00:45:25.840
So that Roth account could set up an LLC and it will, the Roth will own the LLC 100%.
00:45:27.039 --> 00:45:28.880
You can be manager of that LLC.
00:45:28.960 --> 00:45:33.360
You don't own the LLC at all, but you can be manager of the LLC, which allows you to have a bank account.
00:45:33.519 --> 00:45:35.920
Now the LLC will go and buy assets.
00:45:36.159 --> 00:45:39.360
Let's say the rental property, it will own the assets.
00:45:39.519 --> 00:45:41.519
The income goes back to the LLC.
00:45:41.679 --> 00:45:44.000
Remember, you don't own the LLC at all.
00:45:44.239 --> 00:45:50.880
The 401k account, in this example, the Roth 401k for Art Vandalay owns the 401k LLC.
00:45:51.039 --> 00:45:52.800
The LLC owns the property.
00:45:53.039 --> 00:45:55.280
Now you can't take money from this LLC.
00:45:55.360 --> 00:46:01.760
The only way you get money from the LLC is sending it back to the Roth 401k and taking a distribution from the Roth 401k.
00:46:01.840 --> 00:46:02.079
All right.
00:46:02.159 --> 00:46:14.400
So this is similar to the IRA LLC, which we use a lot for real estate investors with self-directed IRAs, and you can use this strategy for the solo 401k as well for your specific account.
00:46:14.639 --> 00:46:25.920
Just remember this is at the account level, and you can get checkbook control from the solo K account directly without having to do an LLC.
00:46:26.079 --> 00:46:32.159
So I would generally use this 401k LLC if you're trying to get asset protection, you're doing real estate investments.
00:46:32.239 --> 00:46:34.639
And we have lots of clients that will set this up.
00:46:35.599 --> 00:46:35.920
Okay.
00:46:36.320 --> 00:46:39.199
Next little tip and perk.
00:46:39.440 --> 00:46:41.679
These are kind of some of the bells and whistles here.
00:46:41.920 --> 00:46:43.599
Is this participant loan?
00:46:43.920 --> 00:46:49.519
So I've talked to a lot of clients over the years that are like, hey, Matt, I'm starting a small business.
00:46:49.679 --> 00:46:58.559
I just left my job in corporate America, and I want to start this new company, and it's an S corporation, but I need some startup capital.
00:46:58.719 --> 00:47:00.239
I want to tap into my retirement account.
00:47:00.320 --> 00:47:01.760
What's a strategy I can do?
00:47:02.000 --> 00:47:07.760
Well, you could set up a new solo K, roll over that old employer 401k.
00:47:07.840 --> 00:47:10.960
Let's say you got 200K at this old employer you've worked at.
00:47:11.679 --> 00:47:15.360
We set up a new entity for you for your new business.
00:47:15.760 --> 00:47:17.679
You know, what whatever it might be.
00:47:17.760 --> 00:47:19.199
Um, give me a company name.
00:47:19.440 --> 00:47:20.480
Prestige Worldwide.
00:47:20.559 --> 00:47:20.880
All right.
00:47:21.119 --> 00:47:21.599
Great name.
00:47:21.760 --> 00:47:26.000
Let's say, let's say you want to start an entertainment company, okay?
00:47:26.159 --> 00:47:27.119
Prestige Worldwide.
00:47:27.280 --> 00:47:32.159
You're gonna sign artists and you're gonna, you know, play at the Catalina wine mixers.
00:47:32.480 --> 00:47:35.199
So um, so you set up Prestige Worldwide.
00:47:35.280 --> 00:47:36.400
It's an S corporation.
00:47:36.559 --> 00:47:42.079
You rolled over your old employer accounts into your account as an employee at Prestige Worldwide.
00:47:42.159 --> 00:47:57.440
You're not making money yet, but you can still set up a solo K, even though the this new business, Prestige Worldwide, do an entertainment type business qualifies, even though it hasn't had money yet, you can still set up a solo K solo K under that business.
00:47:57.599 --> 00:48:01.679
So Prestige Worldwide adopts the Prestige Worldwide solo 401k account.
00:48:02.159 --> 00:48:07.519
Now, let's say that you are what are the brothers in step brothers?
00:48:07.840 --> 00:48:08.159
Dale.
00:48:08.480 --> 00:48:08.880
Dale.
00:48:08.960 --> 00:48:10.079
Okay, let's say you're Dale.
00:48:10.320 --> 00:48:10.559
Okay.
00:48:10.800 --> 00:48:14.159
Dale is gonna have, and this is you have his own account.
00:48:14.480 --> 00:48:19.440
Let's say he says a traditional solo K, and it's an old traditional 401k from Dale's old employer.
00:48:19.599 --> 00:48:28.880
They will roll that 200k into the solo K, the prestige worldwide, solo K plan for the account for Dale.
00:48:28.960 --> 00:48:33.840
Okay, I'm trying to break this down and be sort of painful about this, so hang with me.
00:48:34.800 --> 00:48:38.000
Now Dale's like, all right, well, we need some startup capital.
00:48:38.480 --> 00:48:40.639
He's got 200K in his solo K account.
00:48:40.960 --> 00:48:46.320
He can lend himself half the balance of that solo K not to exceed 50K.
00:48:46.559 --> 00:48:49.840
In this example, he's got 200K, half the balance would be 100K.
00:48:50.000 --> 00:48:50.800
That's too much.
00:48:50.960 --> 00:48:52.800
The max he can take is 50.
00:48:52.960 --> 00:48:55.119
So he loans himself 50K.
00:48:55.599 --> 00:48:57.519
He can use that money for whatever he wants.
00:48:57.599 --> 00:49:02.320
He could pay off high interest credit cards, he could use it in the business prestige worldwide.
00:49:02.480 --> 00:49:05.039
He could go to Vegas, he can do whatever the hell he wants with it.
00:49:05.119 --> 00:49:05.440
Okay.
00:49:05.760 --> 00:49:07.599
I would not recommend the last one, of course.
00:49:07.760 --> 00:49:14.239
Use it for something financially smart, starting business startup expenses, education expenses, paying off high interest debt.
00:49:14.400 --> 00:49:15.440
Those things make sense.
00:49:15.599 --> 00:49:23.679
Now you have to pay that money back to the 401 account over five years with at least quarterly payments, and you do charge interest.
00:49:23.840 --> 00:49:26.880
But you're paying the interest back to your own 401k.
00:49:27.440 --> 00:49:37.119
And the interest rate is prime, the prime rate of interest plus 2%, which I think right now is around seven and three quarters is what you would be paying in interest.
00:49:37.280 --> 00:49:40.239
But remember, that interest isn't going to a bank or a credit card company.
00:49:40.400 --> 00:49:42.400
It's going back into your solo K.
00:49:42.559 --> 00:49:48.880
And if you use that 50K in the business, let's say Dale used that 50K in prestige worldwide.
00:49:49.119 --> 00:49:51.760
Well, that's that was a business loan.
00:49:51.920 --> 00:49:57.119
That interest that he's paying back to his own 401k is an interest expense to the business.
00:49:57.280 --> 00:50:03.760
So now he's taking a tax deduction for the interest he's paying back into his own 401k on the participant loan.
00:50:03.920 --> 00:50:05.519
That's a pretty freaking cool strategy.
00:50:05.760 --> 00:50:17.679
So that's a little perk you can do with the solo K as well, is just know you can't access that 50K, half the balance, not to exceed 50K, by loaning yourself out money if you need to, or it makes sense in your situation.
00:50:17.840 --> 00:50:28.800
I wouldn't do that, by the way, unless you had one of those use cases of start-up business expenses, pay off high interest debt, or um, I don't know, that's probably it.
00:50:28.880 --> 00:50:30.239
That's probably the two use cases.
00:50:30.320 --> 00:50:33.760
Maybe you get in a some type of financial hardship or stress where you need to do it too.
00:50:34.000 --> 00:50:35.280
And then Brennan can help out.
00:50:35.599 --> 00:50:38.559
And then you can, yeah, yeah, we can get Brennan involved.
00:50:38.800 --> 00:50:39.199
Right.
00:50:39.519 --> 00:50:40.960
So, you know.
00:50:41.360 --> 00:50:44.719
Um, but what's the other brother though that's not cool?
00:50:45.199 --> 00:50:47.119
Oh no, no, Derek.
00:50:47.440 --> 00:50:47.840
Derek, yeah.
00:50:48.079 --> 00:50:49.039
Derek, but not cool.
00:50:49.440 --> 00:50:51.760
Screw Derek, Derek is not involved, okay?
00:50:51.920 --> 00:50:54.159
And he is not getting account in the solo K.
00:50:54.239 --> 00:50:54.480
All right.
00:50:54.559 --> 00:50:56.400
Derek's not not included.
00:50:56.639 --> 00:50:57.119
All right.
00:50:57.440 --> 00:50:57.760
Okay.
00:50:58.239 --> 00:50:59.920
Um, another movie reference.
00:51:00.159 --> 00:51:00.960
Step brothers.
00:51:01.039 --> 00:51:02.239
I'll put it there in the chat for everyone.
00:51:02.960 --> 00:51:03.760
Movie credit.
00:51:03.840 --> 00:51:04.480
Yeah.
00:51:04.960 --> 00:51:05.679
Sorry, guys.
00:51:05.840 --> 00:51:06.719
This is how we have fun.
00:51:06.960 --> 00:51:10.079
This is this is how I keep solo k's entertaining for me.
00:51:10.239 --> 00:51:18.800
Um, I geek out on it anyways, but and if you don't know these movie references, you're even missing out more um than you are on solo k's.
00:51:18.960 --> 00:51:21.440
Okay, let's hit a couple tax things to know.
00:51:21.679 --> 00:51:26.079
Uh there are two tax reporting things you need to worry about.
00:51:26.320 --> 00:51:36.079
One is once the solo K has 250,000 or more of assets, you have to start filing what's called a 5,500 easy to the IRS.
00:51:36.239 --> 00:51:40.960
Now, when we set up the solo K at direct and we have custodial accounts for you, we will do this for you.
00:51:41.119 --> 00:51:46.079
Once your account's valued over 250K, we automatically file this tax filing to the IRS.
00:51:46.239 --> 00:51:51.360
If you're doing the solo K on your own, though, this is up to you or your accountant, you got to take care of this and get this filed.
00:51:51.519 --> 00:52:01.760
If your solo K has 50 grand in it, because you just started it, and you're just starting, you know, you're in the first five or six years here of contributing and investing, you're not at 250K yet.
00:52:02.000 --> 00:52:04.079
Um, you don't need to worry about this.
00:52:04.239 --> 00:52:04.400
Okay.
00:52:04.559 --> 00:52:06.639
But once it hits 250K, you need to file it.
00:52:06.800 --> 00:52:16.320
Also, if you terminate the plan, regardless of what the value is, you also have to file the 5,500 EZ to tell the IRS you terminated the plan and what was in it.
00:52:16.559 --> 00:52:23.280
And then the other tax reporting item that needs to happen at the plan level here is 1099 Rs need to be filed.
00:52:23.360 --> 00:52:33.840
If you do Roth conversions in the plan in the solo cave for your accounts, or you take dis start taking distributions, 1099 Rs need to be filed.
00:52:34.000 --> 00:52:38.079
They go to you as the account owner, and then they will be filed to the IRS as well.
00:52:38.159 --> 00:52:48.960
Again, if you have an accountant directed, we automatically handle these for you as part of the account services, as well as doing your statements and tracking the funds and holding custody to the assets.
00:52:49.280 --> 00:52:51.599
I got two things I want to hit here.
00:52:51.760 --> 00:53:02.719
What if I'm sitting in the situation right now, here in February of 2026, as we're recording this, and I want to contribute to the Sol OK for 2025 contributions?
00:53:03.199 --> 00:53:04.639
How do I do that?
00:53:04.960 --> 00:53:13.920
Well, if you're an S-corp owner, you can still set it up now and make employer contributions, but you can't do employee regular deferrals.
00:53:14.079 --> 00:53:19.920
Now you can probably get away with voluntary after-tax contributions, even debatable here.
00:53:20.320 --> 00:53:33.280
But as a general rule of thumb, what we say is for S-Corp owners, if you didn't have the solo case set up by December 31st, 2025, the only thing you're going to get in is employer contributions.
00:53:33.519 --> 00:53:33.840
Okay.
00:53:34.320 --> 00:53:43.679
Even though the tax return deadline hasn't hit, the problem being is you typically need to elect employee deferrals and it needed to be on your W 2 by January 31st.
00:53:43.920 --> 00:53:44.159
Okay.
00:53:44.639 --> 00:53:47.440
But all the employer contributions are fair game.
00:53:47.599 --> 00:53:53.519
And question mark here on after-tax employee contributions, because those technically are on the W-2 as well.
00:53:53.760 --> 00:53:57.440
Now, if you're an independent, sorry, I was talking about S-Corps there.
00:53:57.519 --> 00:53:58.559
That's a slide for S Corps.
00:53:58.800 --> 00:53:58.960
Okay.
00:53:59.519 --> 00:54:01.760
For you sole proprietors.
00:54:02.159 --> 00:54:04.000
In the think about this.
00:54:04.239 --> 00:54:13.599
If we're sitting in February of 2026, as we are right now, and you want to make 2025 contributions, and I want to set up the Sol OK now.
00:54:13.760 --> 00:54:15.519
I didn't have it set up in 2025.
00:54:16.079 --> 00:54:23.199
What you can do is you can set up the Sol OK now, and you can still make employee and employer contributions.
00:54:23.280 --> 00:54:25.599
You didn't have to file a W-2 as a sole prop.
00:54:26.320 --> 00:54:36.800
Um, and the IRS has specifically said up until the original return deadline of April 15th, you can still do employee and employer contributions.
00:54:37.119 --> 00:54:37.599
All right.
00:54:37.760 --> 00:54:41.039
So right now, for you sole props, you can get full game.
00:54:41.199 --> 00:54:44.000
All contributions are fair game, even for 2025.
00:54:45.199 --> 00:54:47.199
Let's say you don't act on this.
00:54:47.360 --> 00:54:50.880
Let's say we're now sitting in June of 2026.
00:54:51.440 --> 00:54:56.559
And let's say you extended your tax return, your 1040, which would have had your Schedule C as a sole prop.
00:54:56.800 --> 00:55:00.559
And you're like, well, I want to set up a solo K and I want to contribute for 2025.
00:55:00.719 --> 00:55:02.159
I extended my tax return.
00:55:02.320 --> 00:55:03.679
What can I put in?
00:55:04.079 --> 00:55:06.239
You can't do regular employee deferrals.
00:55:06.320 --> 00:55:18.800
You can't do employee contributions anymore because the IRS specific, or sorry, the tax code specifically says that the employee contributions for sole props cannot be extended.
00:55:19.039 --> 00:55:20.559
The employer can.
00:55:20.719 --> 00:55:29.599
So if I'm in June here, I can set up the sole okay and I can still make 2025 employer contributions, but I'm not getting in employee contributions.
00:55:29.760 --> 00:55:30.159
All right.
00:55:30.320 --> 00:55:32.320
Now these rules can be a little confusing here.
00:55:32.480 --> 00:55:35.440
That's why we provided the charts and try to give some examples here.
00:55:35.599 --> 00:55:41.119
Find your entity type that you are, and then that'll tell you what you're able to do.
00:55:41.360 --> 00:55:43.119
Last point here, and then we'll get to questions.
00:55:43.199 --> 00:55:47.280
And sorry, we're gonna go a little bit over here, but hopefully this is helpful.
00:55:47.519 --> 00:55:50.480
There is a tax credit for solo K owners.
00:55:50.719 --> 00:55:54.320
And as long as you haven't taken this tax credit yet, you can use it.
00:55:54.480 --> 00:55:59.280
Whether you're setting up a new solo K or you're someone that's had a solo K for five, 10 years, even.
00:55:59.440 --> 00:56:03.599
Okay, this is called the automatic contribution arrangement.
00:56:03.920 --> 00:56:08.960
Um and EACA is this notice that we're gonna talk about here in a second.
00:56:09.280 --> 00:56:29.039
But basically, under secure 2.0, this is last retirement legislation, there's this incentive that Congress said, we want to incentivize 401k plans to provide automatic contribution structures to when an employee is eligible for the 401k, the employer automatically enrolls them.
00:56:29.199 --> 00:56:38.800
And if an employer does that and they create that in their 401k plan as their mechanism, we'll give them a tax credit, not a tax deduction, a tax credit.
00:56:39.039 --> 00:56:41.760
That credit is a maximum of 1,500 bucks.
00:56:42.000 --> 00:56:44.079
You claim it 500 bucks every year.
00:56:44.159 --> 00:56:57.840
So right now, if you set up a new solo K in 2026, or even you set up your solo K in 2022 and you haven't done this yet, in 2026, you can claim a$500 tax credit for doing this, and you'll claim$527 and$520.
00:56:59.519 --> 00:57:02.159
This is not the startup tax credit, by the way.
00:57:02.320 --> 00:57:08.800
A lot of tax credits for retirement accounts will exclude something where only the business owner participates.
00:57:08.880 --> 00:57:15.199
So the startup tax credit, which is like a$5,000 up to$5,000 credit, um, this is not that.
00:57:15.360 --> 00:57:20.800
That one restricted anybody that is primarily the business owner, which would mean solo case.
00:57:21.039 --> 00:57:22.480
So that one doesn't work.
00:57:22.559 --> 00:57:27.920
But this one, the automatic contribution arrangement, this$500 tax credit works.
00:57:28.159 --> 00:57:35.119
So what this is, is you're gonna create an automatic enrollment feature for the participants in the plan, which is you.
00:57:35.360 --> 00:57:41.119
So you're basically, as the plan, you're telling yourself we will automatically enroll you.
00:57:41.519 --> 00:57:44.639
There will be a default contribution amount.
00:57:45.280 --> 00:57:50.559
And the participant, you, the account owner, have the right to opt out whenever you want to.
00:57:50.800 --> 00:57:51.679
What does this mean?
00:57:51.840 --> 00:57:54.000
This means you need to do some paperwork to claim this.
00:57:54.079 --> 00:57:55.199
You don't really have to do anything.
00:57:55.280 --> 00:57:57.039
You don't have to do automatic contributions.
00:57:57.119 --> 00:58:00.480
Most solo K people don't, and they put in money whenever the hell they want.
00:58:00.639 --> 00:58:05.599
But you need to follow through these steps to be able to claim the exemption on your return.
00:58:05.840 --> 00:58:09.920
So we do at um directed, we do have the form for this.
00:58:10.000 --> 00:58:15.360
So if you have a custodial account at director, we set up your solo K and you have a custodial account, we will provide these for you.
00:58:15.599 --> 00:58:20.559
So there's a notice feature that needs to go out, and you technically send it to yourself.
00:58:20.800 --> 00:58:21.119
Okay.
00:58:21.280 --> 00:58:28.559
You're a trustee of the 401k typically, you will send it to yourself as the participant or anyone else that might be a participant.
00:58:29.679 --> 00:58:34.159
And um, but basically you have the option to just opt out of it.
00:58:34.239 --> 00:58:38.559
And you can even just check the box on the form, I opt out, or write on the form, I opt out.
00:58:38.800 --> 00:58:44.639
You can stay enrolled and just say, I'm gonna automatically contribute this because I max out the 401k anyways, so it doesn't matter.
00:58:44.800 --> 00:58:45.039
Okay.
00:58:45.199 --> 00:58:50.559
But I wouldn't get too caught up in like doing what the notice says because you're not bound to it.
00:58:50.800 --> 00:58:52.880
The plan just has to issue it to you.
00:58:53.039 --> 00:58:57.280
Each participant has the ability to opt out of it if they don't want to do it.
00:58:57.920 --> 00:59:02.159
Then what you're gonna do is you have to also have a plan amendment.
00:59:02.320 --> 00:59:10.000
Now, the plan amendments for this specific provision are not due until December 31st, 2026.
00:59:10.159 --> 00:59:14.800
These plan amendments for our plan and most plans will come out in the summer.
00:59:14.960 --> 00:59:16.480
So be on the lookout for that.
00:59:16.639 --> 00:59:20.480
We will automatically notify you as part of having the accounts with us.
00:59:20.639 --> 00:59:22.079
That includes any plan amendments.
00:59:22.159 --> 00:59:25.119
So you'll get the plan amendment and you'll be fine in terms of claiming this.
00:59:25.280 --> 00:59:29.599
Now, to claim this credit, it's IRS Form 8881.
00:59:30.000 --> 00:59:31.760
Now, there's a couple of different forms.
00:59:31.920 --> 00:59:34.079
In fact, I don't know if we can drop those in.
00:59:34.239 --> 00:59:37.360
I we did a presentation specifically on this.
00:59:37.519 --> 00:59:41.679
So I believe form 8881 is for the S Corps.
00:59:42.079 --> 00:59:45.920
Um, I think it's Schedule M or something like that for sole props.
00:59:46.239 --> 00:59:46.960
We'll drop them in.
00:59:47.119 --> 00:59:48.719
Yeah, drop it in there in the recording.
00:59:48.960 --> 00:59:57.199
I thought we had them both, but um uh and also you want to coordinate with your accountant or tax advisor, of course, on making sure that you get that done.
00:59:57.360 --> 01:00:02.559
So um, but this is a cool perk, is there is a tax credit out there, it's 500 bucks a year.
01:00:02.719 --> 01:00:19.599
What happens is this credit passes through the business and eventually hits your own 1040 as a tax credit for you business owners that are pass-through entities, S Corporation, or even obviously a sole prop, it's gonna hit your 1040 and be a$500 tax credit.
01:00:19.760 --> 01:00:26.719
And by the way, the cost to set up the sole okay and the annual cost for your accounts or anything like that is a business expense.
01:00:27.039 --> 01:00:36.960
So use your business card on that on our account or when you're paying us or KKO Swurs for any of those services, because this is a benefit provided to you as an employee from the business.
01:00:37.119 --> 01:00:39.599
So you should be expensing any of those costs.
01:00:39.760 --> 01:00:43.199
But again, on top of this, you can claim this tax credit as well.
01:00:43.440 --> 01:00:46.239
Okay, let's jump to questions.
01:00:46.480 --> 01:00:52.960
Um, you can book a call, of course, for with our team at directed IRA to get your solo 401k going.
01:00:53.039 --> 01:01:02.239
Or if you have any questions, if you need more extensive tax consulting and advice, you can get over to the law firm, KQS lawyers, particularly for any of those trying to do a mega backdoor at Roth.
01:01:02.559 --> 01:01:06.800
And the last thing I want to note here is the self-directed IRA summit.
01:01:06.960 --> 01:01:09.280
That is gonna be April 17th.
01:01:09.440 --> 01:01:11.679
This year we are going virtual only.
01:01:11.840 --> 01:01:14.000
It's a throwback to COVID.
01:01:14.239 --> 01:01:20.400
Generally, there's nothing you want to throw back to COVID for, but this was one where we did the self-directed IRA summit.
01:01:20.480 --> 01:01:21.519
Um Idaho.
01:01:21.679 --> 01:01:30.719
Yeah, me, Mark, and Aaron did it in Mark's when he had his Idaho studio because the hotels were all closed down and we had to go virtual on it, and it was awesome, actually.
01:01:30.960 --> 01:01:36.880
And so we're gonna try that format for this year, self-directed IRA summit, and we want to get as many people on as possible.
01:01:37.039 --> 01:01:43.039
This is a full day of training on self-directing from A to Z, beginner topics to advanced topics.
01:01:43.199 --> 01:01:45.360
We'll have multiple speakers and presentations on it.
01:01:45.519 --> 01:01:46.400
I'll be speaking.
01:01:46.559 --> 01:01:47.920
Of course, Mark will be speaking.
01:01:48.000 --> 01:01:50.480
We'll have other members of our team and some experts coming in.
01:01:50.559 --> 01:01:57.119
We'll have some of our larger self-directed IRA investors come on and share some of their secrets and strategies as well.
01:01:57.280 --> 01:01:58.239
So it'll be a great time.
01:01:58.320 --> 01:02:02.960
Get over to SDIRA Summit.com where you can register for that.
01:02:03.039 --> 01:02:06.320
If you're a directed IRA customer, you can attend for free.
01:02:06.480 --> 01:02:06.800
Okay.
01:02:07.039 --> 01:02:14.320
So if you have an accountant directed or you become a new customer, you can um attend the self-directed IRA summit uh for free this year.
01:02:14.480 --> 01:02:17.679
So really looking forward to that and that virtual format.
01:02:17.920 --> 01:02:26.480
We always do a live one where the virtual is where it's streamed virtually, but this time we're gonna cater to the virtual audience itself.
01:02:26.639 --> 01:02:31.920
Rather than presenting to a live audience and you get the virtual stream, we're gonna be presenting to the virtual audience.
01:02:32.000 --> 01:02:32.960
So it'll be exciting.
01:02:33.199 --> 01:02:34.320
Okay, questions.
01:02:34.559 --> 01:02:35.440
Yeah, let's do a couple.
01:02:35.599 --> 01:02:37.760
All right, let's fill a couple questions and we'll call it.
01:02:37.920 --> 01:02:44.800
Matt, do you have is there a banking solution to open up a checking account associated with the solo queue okay?
01:02:44.960 --> 01:02:45.519
Great question.
01:02:45.599 --> 01:02:47.119
We use Titan Bank.
01:02:47.280 --> 01:02:49.840
We like them because they know what the hell this is.
01:02:50.000 --> 01:03:02.400
Okay, I spent so much of my time talking to clients and answering their questions that the bank had for them about their solo queue trustee checking account or their 401 KLLC or IRLC checking account.
01:03:02.719 --> 01:03:14.000
And that client of ours was in the wealth management department, in the retirement account department, to the business department, to the individual banker that's 25 years old they're talking to that doesn't know shit.
01:03:14.159 --> 01:03:16.159
And so it was a pain.
01:03:16.320 --> 01:03:17.679
Sorry, that slipped.
01:03:17.760 --> 01:03:18.880
Um Freudian's.
01:03:19.119 --> 01:03:20.079
Yeah, it was that slipped.
01:03:20.239 --> 01:03:23.760
So we liked working with Titan because they understand this product.
01:03:23.840 --> 01:03:26.159
They have thousands of self-directed IRE customers.
01:03:26.320 --> 01:03:28.159
We've been sending clients there for a while.
01:03:28.320 --> 01:03:35.199
So they have a solution where they know what this solo K is for the trustee checking account or for the IRLC.
01:03:35.280 --> 01:03:38.239
So we highly recommend Titan Bank as the solution there.
01:03:38.320 --> 01:03:42.800
We've just we have a great working relationship and business relationship with them as well.
01:03:43.119 --> 01:03:45.039
That's Titan Bank one more time.
01:03:45.679 --> 01:03:47.199
People, you said it, they asked.
01:03:47.360 --> 01:03:48.159
You said it, they asked.
01:03:48.559 --> 01:03:49.519
Titan Bank.
01:03:49.679 --> 01:03:49.920
Yeah.
01:03:50.000 --> 01:03:51.840
So our team can direct you there.
01:03:52.000 --> 01:03:54.719
And um, we also kind of streamline the process there.
01:03:54.800 --> 01:04:00.880
You, you know, in the setup stages too, just to and we'll help coordinate and facilitate the sharing of documents with them for you.
01:04:01.039 --> 01:04:09.280
And that's another big hurdle because we'll do all the work for you, and then the bank asks for all the stuff that we have, and then you're getting it from us to send to them.
01:04:09.360 --> 01:04:11.280
And it's just it's not coordinated.
01:04:11.440 --> 01:04:16.559
So we have that coordinated if you're working through us and with Titan Bank, we can share back and forth.
01:04:16.880 --> 01:04:17.280
All right.
01:04:17.440 --> 01:04:18.880
Uh, this question is from Michelle.
01:04:19.039 --> 01:04:20.239
You had a lot of great questions.
01:04:20.400 --> 01:04:23.039
Thanks for being on the entire time of your participation.
01:04:23.280 --> 01:04:28.000
Uh, can you go, Matt, through the EIN for the 5500 EZs?
01:04:28.239 --> 01:04:31.519
Is it for the plan itself or for the EIN of the business?
01:04:31.679 --> 01:04:32.719
Like, what am I doing?
01:04:32.880 --> 01:04:33.360
Yeah.
01:04:33.599 --> 01:04:38.559
So I always recommend getting a separate EIN for the 401k itself.
01:04:38.800 --> 01:04:40.159
You don't have to.
01:04:40.320 --> 01:04:40.639
Okay.
01:04:41.039 --> 01:04:45.920
You can use the business EI EIN for the solo K.
01:04:46.239 --> 01:04:51.679
And for those of you that just have a solo K at TD Ameritrade or Charles Schwab or Fidelity, that's fine.
01:04:51.920 --> 01:05:03.760
Because they don't do tax reporting to you because you're trading on a, you know, you're trading on their platform for stocks, brokerage, they know what it is.
01:05:03.840 --> 01:05:07.760
So there's no tax reporting falling down to your business or the 401k.
01:05:07.920 --> 01:05:13.199
But once you start self-directing, but doing a real estate deal, you invest in a private fund.
01:05:13.360 --> 01:05:14.480
They want to know the EIN.
01:05:14.559 --> 01:05:21.119
They're gonna send 1099 cells or 1099 divs or K1s, they're gonna send that to that EIN.
01:05:21.360 --> 01:05:23.199
You do not want to use your business EIN.
01:05:23.280 --> 01:05:27.039
The IRS is gonna look, be looking for that income on your business tax return.
01:05:27.199 --> 01:05:29.599
We want a separate EIN for the 401k.
01:05:29.679 --> 01:05:31.760
That's why we get the separate EIN.
01:05:32.079 --> 01:05:40.800
Um, so then the second reason why is when you file the 5500, we want to list that 401k EIN on the 5500.
01:05:40.880 --> 01:05:44.239
Now, when you do the 5500, you could list the business EIN as well.
01:05:44.400 --> 01:05:57.119
Um, but we prefer to just get the separate EIN for the solo K because you can, and it just seems to make things clean where you're not having to stress about some 1099 or K1 or some other tax reporting.
01:05:57.199 --> 01:05:59.760
They hit your business return and your business return gets audited.
01:06:00.159 --> 01:06:02.639
Because the IRSCs you didn't claim that income.
01:06:03.679 --> 01:06:04.320
All right.
01:06:05.280 --> 01:06:06.559
How many more you want to take?
01:06:06.800 --> 01:06:07.519
I mean, I'll take them.
01:06:08.079 --> 01:06:08.559
Let's do a couple.
01:06:09.039 --> 01:06:09.599
We'll do a couple more.
01:06:09.840 --> 01:06:10.079
Hang out.
01:06:10.159 --> 01:06:10.880
We'll go a little over.
01:06:11.119 --> 01:06:14.079
You know, if you're this is going to be recorded, by the way.
01:06:14.239 --> 01:06:16.639
The recording will be up, so you can catch this later.
01:06:16.800 --> 01:06:19.039
Share it with your friends and family, of course.
01:06:19.679 --> 01:06:21.920
Let our team help you if we can be a resource for you.
01:06:22.239 --> 01:06:23.440
But I'll hang here and we'll answer questions.
01:06:23.760 --> 01:06:25.360
Our studio audience just yawned at us.
01:06:25.440 --> 01:06:25.519
Yeah.
01:06:25.920 --> 01:06:26.800
You hear that trace.
01:06:27.119 --> 01:06:27.280
Oh.
01:06:28.320 --> 01:06:28.960
Just joking.
01:06:29.599 --> 01:06:30.320
We did hear it.
01:06:30.559 --> 01:06:30.800
Yeah.
01:06:31.440 --> 01:06:32.320
Celsius.
01:06:32.880 --> 01:06:33.199
Okay.
01:06:33.679 --> 01:06:35.440
I think it's Gary or Jerry.
01:06:35.760 --> 01:06:36.239
Great question.
01:06:36.400 --> 01:06:39.199
How can I do how can I buy crypto with my solo K?
01:06:39.519 --> 01:06:41.920
Can I, does it have to be in the Solo K?
01:06:42.000 --> 01:06:42.960
Do you have an option for that?
01:06:43.119 --> 01:06:44.960
Do I need to use my RELLC?
01:06:45.119 --> 01:06:46.239
What do I need to do there?
01:06:46.559 --> 01:06:47.679
You have a few options there.
01:06:48.239 --> 01:06:48.960
That's what we're looking for.
01:06:49.119 --> 01:06:49.599
All options.
01:06:49.840 --> 01:06:50.880
Yeah, there's a lot of options.
01:06:50.960 --> 01:06:52.079
There's not a right or wrong way.
01:06:52.159 --> 01:06:54.559
So one way, if you're like, I'm just all crypto.
01:06:54.639 --> 01:06:56.719
That's why I'm doing this to invest in crypto.
01:06:56.960 --> 01:06:59.119
Then just do the crypto solo K account.
01:06:59.280 --> 01:07:04.320
That crypto solo K account will be linked to a Gemini trading account, and you can just trade directly at Gemini.
01:07:04.480 --> 01:07:06.320
That's the easiest, most straightforward.
01:07:06.480 --> 01:07:11.199
We open up a Gemini trading account in the name of your Solo K account.
01:07:11.360 --> 01:07:13.920
Let's say your Roth solo K account.
01:07:14.079 --> 01:07:16.719
And you just can go and trade there whenever you want.
01:07:17.519 --> 01:07:21.119
That's option one, easiest, most streamlined.
01:07:21.440 --> 01:07:26.880
Option two would be hey, I want to do some real estate and I want to do some crypto.
01:07:27.199 --> 01:07:30.480
Um the the couple you have two options there.
01:07:30.559 --> 01:07:46.400
And I don't want to overcomplicate this, but um the self-directed solo K account, because we we for those that just want to do crypto, we have a special just crypto account that's a product with Gemini, publicly traded, regulated custodian that we've worked with for years.
01:07:47.760 --> 01:07:52.559
If you're like, I want to do a little crypto but other stuff, do a self-directed account, okay?
01:07:53.920 --> 01:08:00.719
A self-directed for solo 401k account, and under that account, you can do a trustee checking account.
01:08:01.679 --> 01:08:15.599
That trustee checking account you can use to do real estate deals, you do private lending, the custody account could invest in a private fund, but that trustee checking account could be linked to an institutional trading account at Gemini.
01:08:15.920 --> 01:08:30.159
So we have launched the last few months, we launched an institutional trading option for those clients that have IRLCs with a checking account, or they have a solo K trustee checking account with their self-directed solo K account.
01:08:30.319 --> 01:08:38.800
Because you have a checking account, we can establish an institutional account at Gemini now for you where you can trade those dollars as well.
01:08:39.119 --> 01:08:49.840
So might sound a little confusing, but we can walk you through it if that's what you want, is the most flexibility to do some self-directed assets plus add some crypto as well using the same account.
01:08:50.079 --> 01:08:56.880
If you're wanting to do that with uh art the with Gemini, please let us facilitate and do all that.
01:08:57.039 --> 01:09:12.800
If you try and do it yourself and put in your entity info and your solo K info and just referencing us, it will not work and it could cause a big headache for us, for you to get that account open fast.
01:09:12.960 --> 01:09:16.960
So just let us do it, let us facilitate it, and we'll get it done fast.
01:09:17.119 --> 01:09:18.560
You're not gonna wait months.
01:09:18.720 --> 01:09:21.600
Most of them are set up in a week, two max.
01:09:21.760 --> 01:09:25.199
So that's one of the benefits of us having that account facilitating that.
01:09:25.279 --> 01:09:27.119
So please just let us help you with that.
01:09:27.359 --> 01:09:28.319
Yeah, great point.
01:09:28.399 --> 01:09:41.600
Like when you go set up an institutional account for an LLC or a or a 401k or something like that, and you go to a Gemini, a Coinbase, a Kraken, they think you're a hedge fund.
01:09:41.920 --> 01:09:46.239
They're gonna ask you documents like you're gonna put a billion or a hundred million dollars over there.
01:09:46.399 --> 01:09:53.039
They think you have a whole legal department and a CFO and an accounting team and auditors that do this shit all day.
01:09:53.199 --> 01:09:54.079
I'm not kidding.
01:09:54.159 --> 01:09:56.720
That they it is not fun.
01:09:57.199 --> 01:10:04.720
So we have streamlined it with Jim and I to say, we have these customers, they know what they're doing, we're gonna help them along in this process.
01:10:04.880 --> 01:10:11.039
Can we get them this opportunity to invest in crypto and use the platform?
01:10:11.199 --> 01:10:15.439
And so we've uh streamlined that, but work through us so we can get that established.
01:10:15.600 --> 01:10:19.680
We do have a fee for that, of course, for the for that to establish that for you.
01:10:19.840 --> 01:10:22.159
Um, but it's it's really the way to do it.
01:10:22.239 --> 01:10:24.960
And when I started, I started buying crypto.
01:10:25.039 --> 01:10:27.840
I've done a lot of real estate, private funds, startups.
01:10:28.000 --> 01:10:29.760
I've done a lot of different stuff with myself to right.
01:10:29.920 --> 01:10:31.760
But I did crypto in 2017 on my own.
01:10:31.920 --> 01:10:33.840
I had to do an institutional account.
01:10:34.000 --> 01:10:36.640
It was painful then, it is way worse now.
01:10:36.960 --> 01:10:43.600
Um, because of all the scrutiny on crypto and the regulatory stuff and the fact that they think you're a hedge fund.
01:10:43.920 --> 01:10:45.439
So okay.
01:10:46.000 --> 01:10:46.960
Let's take two more.
01:10:47.199 --> 01:10:47.439
Okay, yeah.
01:10:47.600 --> 01:10:48.640
We'll end on that one.
01:10:48.960 --> 01:10:51.119
Now, what so what is the turnaround time?
01:10:51.199 --> 01:10:53.600
Uh I love all the like the buying questions.
01:10:53.680 --> 01:10:58.640
I'm just, you know, I'm a little biased, but uh on how to how things work, how the process works.
01:10:58.720 --> 01:10:59.760
So thank you for asking.
01:10:59.840 --> 01:11:00.960
We're we're happy to help.
01:11:01.119 --> 01:11:08.159
What's the turnaround time to establish a new solo K or and I also want to do a checkbook IRA L C.
01:11:08.239 --> 01:11:11.199
How how how long is it going to take me to get up and running with that?
01:11:11.760 --> 01:11:26.800
I would say, I mean, it depends, but if you're ready and you're moving and you're communicating with this, like, I mean, we can get your solo K done and the docs done within a few days, you know, back out to you.
01:11:26.960 --> 01:11:30.000
Um, we can get the account open in in a few days.
01:11:30.079 --> 01:11:33.119
Like that, this the solo K takes some work.
01:11:33.199 --> 01:11:34.239
You've got to input some.
01:11:34.319 --> 01:11:37.439
We got to draft the planned documents, you sign them, then they're adopted.
01:11:37.520 --> 01:11:40.800
They're not approved anywhere where they're like filed, you know.
01:11:41.039 --> 01:11:44.239
So the solo K can be done relatively quickly.
01:11:44.479 --> 01:11:46.560
Um, then you need to get it funded.
01:11:46.720 --> 01:11:48.720
So the question is, well, how am I getting the money in?
01:11:48.880 --> 01:11:50.399
Are you making contributions?
01:11:50.720 --> 01:11:51.439
Well, that's great.
01:11:51.520 --> 01:11:55.039
You can make them directly through the website, link your bank account, contribute there.
01:11:55.199 --> 01:11:59.680
You can send in a wire, and those funds will be made be available faster.
01:12:00.000 --> 01:12:11.039
If you're rolling over a 401k from you know T Row price from your employer, former employer, that's gonna take some time.
01:12:11.359 --> 01:12:14.079
They're gonna mail the check to you.
01:12:14.560 --> 01:12:16.560
You're then gonna have to mail it to us.
01:12:16.720 --> 01:12:19.119
It's gonna be written out to the director of trust company.
01:12:19.359 --> 01:12:20.640
We're gonna deposit it.
01:12:21.039 --> 01:12:23.600
Then the bank's gonna hold it for five to seven days.
01:12:23.840 --> 01:12:25.520
Then your money's actually in your account.
01:12:25.680 --> 01:12:29.680
So that might take 10 or 20 days in that scenario.
01:12:29.840 --> 01:12:32.239
So it all it all depends on a couple circumstances.
01:12:32.399 --> 01:12:34.239
We're gonna move quickly on our end.
01:12:34.560 --> 01:12:36.399
Um, the solo K.
01:12:36.880 --> 01:12:40.560
Um, while there are some other steps to it, it doesn't have to be long.
01:12:40.880 --> 01:12:47.520
So, particularly if you know what you're doing and are moving quickly and communicating with us, and we help you along to make sure you know what you're doing.
01:12:47.840 --> 01:12:50.560
Um we can get it set up quickly.
01:12:50.640 --> 01:12:54.880
If you're making the contributions, we don't have to wait on some other providers' rollover.
01:12:55.119 --> 01:12:56.479
Um, so hopefully that's helpful.
01:12:56.560 --> 01:13:00.880
The IRA LLC, you know, we'll get your self-directed IRA account set up within 24 hours.
01:13:01.039 --> 01:13:02.399
You submit the application online.
01:13:02.560 --> 01:13:05.520
You can do the apps on this fully online, by the way, guys.
01:13:05.760 --> 01:13:08.159
Um, we'll get your account set up.
01:13:08.239 --> 01:13:09.840
And then we're just waiting for the LLC.
01:13:09.920 --> 01:13:13.279
So then we have the law firm drafting the LLC and filing that with the state.
01:13:13.439 --> 01:13:15.520
Turnaround time depends on the state.
01:13:15.680 --> 01:13:20.399
Um, but we'd like to get that set up so you're being able to act on that within two weeks.
01:13:20.640 --> 01:13:26.239
So, what I would say is I would give yourself at least a couple weeks lead time before making an investment.
01:13:26.399 --> 01:13:31.920
So if you're looking to invest in something in the next couple weeks, you need to start now.
01:13:32.319 --> 01:13:38.000
Um uh Hone Tie's uh one of our affiliates that sends us some of his referrals, great guys.
01:13:38.079 --> 01:13:40.640
Uh he's a really good self-directed expert himself.
01:13:40.720 --> 01:13:44.159
He always likes to say, uh, be ready so you don't have to get ready.
01:13:44.720 --> 01:13:45.439
So like that.
01:13:45.680 --> 01:13:46.960
I like that thinking of your account.
01:13:47.279 --> 01:13:58.960
Even if you get the account set up and the structure there and some money in there to get like maybe it's five grand, just so if you have money ready and the account structure is already going, and you can move the rest of the money over later.
01:13:59.199 --> 01:14:01.039
Um, a lot of clients will do that too.
01:14:01.119 --> 01:14:05.279
They'll just get 5k over here, get ready, whether it's the LLC structure or the solo K.
01:14:05.680 --> 01:14:08.800
Um, so they have the account, everything structured, done.
01:14:08.960 --> 01:14:11.760
And then you just got to move the rest of the money over when they find a deal.
01:14:12.239 --> 01:14:13.279
A few of you, thanks, Matt.
01:14:13.359 --> 01:14:20.399
Thank a few of you have asked about the SGRA summit free ticket option, the virtual ticket option to attend April 17th virtually.
01:14:20.640 --> 01:14:29.840
Uh if you're an existing client, you would have received uh an email uh with that information and the code to discount it from 99 to zero.
01:14:30.000 --> 01:14:32.880
If you did not, just please contact our customer service line.
01:14:32.960 --> 01:14:34.159
They'll give you that code.
01:14:34.319 --> 01:14:38.960
You can call 602-899-9396.
01:14:39.279 --> 01:14:39.920
Let's end with this.
01:14:41.199 --> 01:14:43.279
Yeah, you can because we can validate clients faster.
01:14:43.520 --> 01:14:44.720
At directedra.com.
01:14:44.880 --> 01:14:45.199
Yeah, yeah.
01:14:45.439 --> 01:14:46.079
For clients only.
01:14:46.319 --> 01:14:51.920
We're not gonna drop it here because we might, you know, we'll you gotta get you gotta be a customer.
01:14:52.159 --> 01:14:53.600
Hey, we got your back, Marilyn.
01:14:53.760 --> 01:14:54.479
Want to get you there.
01:14:54.640 --> 01:14:55.840
Thank you for asking.
01:14:56.159 --> 01:14:56.399
All right.
01:14:56.479 --> 01:14:58.079
Well, thanks to everyone for hanging in there.
01:14:58.239 --> 01:14:59.439
But hopefully you learned something.
01:14:59.520 --> 01:15:03.439
Well, this is recorded, so make sure you get over to directedira.com slash webinars.
01:15:03.520 --> 01:15:05.199
That's where all of our webinars are posted.
01:15:05.439 --> 01:15:09.840
Make sure you're signed up for the newsletter so you're getting notices on upcoming webinars, workshops.
01:15:10.000 --> 01:15:14.079
We hope to see you at the Self Directed IRA Summit on April 17th.
01:15:14.159 --> 01:15:15.920
Virtually, we will see you online.
01:15:16.159 --> 01:15:17.840
Um, don't show up at the office.
01:15:18.079 --> 01:15:21.600
And um, book a call with our team if we can be of any help to you.
01:15:21.840 --> 01:15:23.279
Until then, stay calm.
01:15:23.439 --> 01:15:24.479
Self direct on