Recalibrate Your Retirement

Do you have plans of financial freedom? Or are they now just wishful thinking?

By: Lisa Moren Bromma

IRA & 401(k) Insights

Many of us in our 50’s and 60’s looked forward to those lazy, crazy, hazy days of summer and song. To the golden parachute of a pension that will carry us well into our old age.

Unfortunately, things are not necessarily turning out as we planned.  We have had to get a reality check.  Not only do we need to recalibrate our thoughts of what we will do in retirement, we have to get creative in order to grow that nest egg (again) into something that will last.

I don’t know about you, but I sure don’t want to have my eyes glued to CNN or CNBC worrying about what the market did today or where my next dollar is coming from.  We have a responsibility to ourselves to plan for income, cash flow, taxes, (which let’s face it will only get higher), and for appreciation or growth as a hedge against inflation when it comes.

If you agree with me, keep reading…

One way to do this is by investing in hard assets.  Many of us have used our personal savings to invest in the stock market, but did you know you can use your IRA or 401(k) plan to invest in great assets with the opportunity to achieve your desired financial goals?

With a self-directed retirement account, you have the ability to invest the funds in your retirement account into assets that you are knowledgeable about and that you want to have in your portfolio.  Investments such as real estate, gold and foreign currencies along with traditional investments such as stocks and bonds that you may already have are all allowed in an IRA or 401(k) plan.

What is self-direction?  It’s definitely NOT is investing through a major brokerage house or mutual fund company that tells you that you are self-directing.  While you may think you are, you are only “self-directing” your investments into their family of funds.  The bottom line is you don’t get to choose!

True self-direction is when you identify the investment. You work with an administrator who specializes in self-directed accounts, a firm who is an expert at processing and facilitating the transaction on behalf of your plan.  

In turn, the income received goes back into your IRA.  Any profit from the sale of that investment comes back into your IRA on a tax-deferred or tax-free basis (depending on whether the account is a Traditional IRA, Roth IRA, or Individual (k)) helping to solve the tax issue of growth that you would not necessarily have with personal funds.
This may sound complicated to some of you but it is a relatively simple concept.  Think of your IRA as another identity. An identity you cannot tap into until you reach the ripe-old retirement age that allows you to have access to your cash penalty-free and in time to meet those retirement objectives.

There is so much negative news and uncertainty about the economy and financial markets.  Investing in assets that can create cash flow or in some cases assets that bring you security and peace of mind makes sense as part of a financial strategy.  

To fully understand how truly self-direction in an IRA works talk to Entrust.   Entrust has the largest network of local offices in the United States.  Visit
www.theentrustgroup.com to locate an office near you and to learn more about how to take a more positive, pro-active role in investing for your retirement.

Make it your personal goal to help yourself by utilizing tax-enhanced tools to compound wealth.  Re-calibrating your retirement, both in time and dollars, gives you the satisfaction of saying “I am in control. I get to choose where and how to invest my hard earned dollars today for the financial freedom of tomorrow!”


Lisa Moren Bromma has been a real estate investor since 1978, a note investor since 1998 and has worked with some of the top private mortgage institutional buyers. She is an advisor to The Entrust Group, the nation’s largest network of self-directed IRA administrators, and the author of Real Estate Investing for the Utterly Confused, and Wise Women Invest in Real Estate. Visit her web sites at
www.wisewomeninvestor.com or  www.theentrustgroup.com.