3 Benefits of a Self-Directed IRA LLC
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Setting up a self-directed IRA LLC with checkbook control can offer many benefits to investors who are interested in alternative investments. This is a popular strategy among real estate investors, as well as those interested in private equity.
Here are the top three benefits of establishing a self-directed IRA with checkbook control:
1. Fast Transactions
Normally, making a transaction through your retirement account would require going through your third party administrator. This requires paper work check processing. You can skip all of this when you establish checkbook control with your IRA; transactions will be as simple and convenient as writing a check.
2. Less Administrative Fees
Because you are skipping the process of going through your IRA administrator to make a transaction, you will be saving yourself from the processing fees that are typically associated with this. A checkbook control IRA will actually help save you money, leaving more funds available to invest toward a comfortable retirement.
3. More Control Over Your Funds
With a checking account linked directly to your IRA funds, you will have more freedom and flexibility in managing your assets. Checkbook control allows you to control your retirement investing with an ease and convenience that is absent from traditional arrangements. If you are a savvy investor, this could be the key to enhancing your success.
Keep in mind that checkbook control is a strategy for self-directed IRA investing, and the same rules that apply to your IRA will apply when utilizing checkbook control. This means you cannot write checks for personal reasons, and you must adhere to self-directed IRA rules surrounding prohibited transactions.
If you have questions about the benefits of using checkbook control with your self-directed IRA, please ask one our our IRA specialists.