Self-Directed IRA LLC

The Key Benefits to a Single Member IRA LLC

We know when you say it out loud, it might sound a bit strange. All of those abbreviations. But a Single Member IRA LLC might sound more complicated than it is, even if what it sounds like is a complex bit of retirement investment maneuvering. As you’ll discover at our page dedicated to Single Member IRA LLCs, this simply refers to the case of using a Self-Directed IRA to purchase an LLC that you have set up with your professionals. Once you have this arrangement set up, you can use the LLC within your retirement account to write checks. This gives you a rare, unique arrangement: “checkbook control” within a retirement account.

But how do you know whether the benefits of this arrangement line up with your priorities as an investor? Let’s explore some of these key benefits by briefly explaining what they are and why some investors like them so much:

  • Checkbook control. This is the key benefit, as it means your LLC has the ability to make investments from the checkbook that it opens up within a Self-Directed IRA. This makes investing more flexible and easier to handle from your end. You’ll still have to stick to the rules of retirement investing, of course, but now you can have the LLC that your IRA owns make the investments rather than having to go through a provider. Many investors like this arrangement for the freedom and flexibility it gives them. It also speeds up the process of investing.
  • Ease of use. A Traditional Self-Directed account is easy to use; you can simply direct an account custodian like American IRA to make a purchase on behalf of the IRA, for example. But with a Single Member IRA LLC, the ease of us might be even more Although working within a retirement account has its own rules and regulations, the essential framework is there to make it feel more like normal investing.
  • Lower administration fees. Don’t get us wrong: the administration fees on a Self-Directed IRA can be very low relative to the overall value of the investments they contain. But because an investor with a Single Member IRA LLC is taking on so much of the administration, they can lower their fees substantially. This puts more control back into the hands of the investor who wants to make the key decisions on the account. Of course, it’s always good to seek the advice of a tax professional who can help, but that’s done on an independent basis—American IRA, for example, is not a tax advisory firm.
  • Retirement benefits. Have we not mentioned these yet? Retirement benefits such as tax-free gains, are possible with a Single Member IRA LLC. Or an investor can use a different style of account for tax-deferred gains within a portfolio. This means that the investor has a lot of options for choosing what kind of tax structure they build for themselves in retirement. It also means that as you invest, you can realize more of the money that you’ve put into an investment. For many investors, this is one important key to unlocking all sorts of wealth-building potential over a lifetime.

A Traditional Self-Directed IRA has its own benefits, too. For example, working with American IRA means that American IRA will work with professionals to buy and sell assets per your direction, so you’ll still have that added flexibility that comes with self-direction. It opens up all sorts of interesting possibilities for investors who want more choices.

Interested in learning more about Self-Directed IRAs?  Contact American IRA, LLC at 866-7500-IRA (472) for a free consultation.  Download our free guides or visit us online at www.AmericanIRA.com.

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