What To Ask Your Self-Directed IRA Plan Advisor

When a business, partnership or self-employed individual establishes a retirement plan for the owners and employees, they must generally purchase the plan from a pre-approved plan sponsor (like Fidelity or Merrill Lynch), or establish it with a custodial firm or third-party Self-Directed IRA administration provider such as American IRA, LLC.

Here are a number of important questions you should ask and get answered from your retirement plan and Self-Directed IRA vendors before committing:

How are fees calculated? Are they based on a percentage of assets in the plan? Or are they based on a flat rate per transaction? Which leaves you better off? This is a key consideration for those with comparatively large plans who are buy-and-hold investors rather than active traders. These investors are often much better off with a flat rate fee schedule based on specific transactions, rather than a percentage of assets under management.

  • Who is responsible for updating plan documents to account for regulatory changes?
  • Who provides notices to plan participants?
  • What documents am I responsible for providing to the IRS or Department of Labor and when?
  • Where will records be maintained?
  • What am I committed to contributing to employees’ accounts on their behalf?
  • What contributions are discretionary?
  • What are my maximum allowable contributions for my own account for this year and the following year?
  • Is the vendor accredited with the Better Business Bureau? What is the reputation of the business?
  • How long has the vendor been in business, and specifically involved with self-directed retirement plans? Jim Hitt, president and founder of American IRA, LLC, has been working with self-directed retirement plans for over 30 years.
  • How many clients does the vendor have?
  • Does your vendor specialize in specific types of investments?
  • Does your plan support self-direction? Is it via a brokerage window? Or do you allow true self-directed investing in your programs?
  • What do I need to provide you for you to complete a buy or sell transaction in my account? Does it have to be in writing?
  • How long does it typically take for you to complete a transaction?
  • Do you maintain errors & omissions insurance?

The American IRA Advantage

American IRA, LLC sets itself apart by offering an innovative flat-rate fee schedule for retirement plans and IRAs. Rather than paying a high percentage of assets under management percentage to a Wall Street vendor, clients with American IRA pay only for individual transactions: A difference that can save plans and plan sponsors tens of thousands of dollars per year.

American IRA is one of America’s leading third-party administrators when it comes to working with self-directed workplace retirement plans. With offices in Asheville and Charlotte, North Carolina, American IRA works with thousands of successful, entrepreneurially-minded and innovative investors all over the country.

For 30+ years, founder and CEO Jim Hitt has been committed to all aspects of investing, using Self-Directed IRAs for his own investments since 1982.

Jim’s forte is the financing and acquisition of real estate, private offerings, mortgage lending, business’s, joint ventures, partnerships and limited liability companies using creative techniques. He has developed, owned, and managed everything from single-family homes to multi-unit commercial properties and million dollar businesses.

Jim resides in Asheville, North Carolina, and is past President of the Carolinas Real Estate Investors Association (CREIA). He teaches investing techniques in North and South Carolina at UNC Asheville, AB Tech and Lorman Educational Services.

Jim is the Chief Executive Officer of American IRA. Allowing their clients to invest in non-traditional assets, such as real estate, partnerships, limited liability companies, private loans and many other investment choices, American IRA teaches you how to use your Self-Directed IRA or Self-Directed 401k plan to earn tax-free income.

For more information, or to contact Jim directly for a no-obligation consultation for your business, call American IRA today at 866-7500-IRA(472). Or visit us on the Web at www.americanira.com.

We look forward to working with you!



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