Explore questions and answers from the experts at Mountain West IRA.
You can review our Retirement Plans section for more information regarding plan types and contribution comparisons. You should also seek the services of a tax professional to assist you in the proper selection of the plan best suited for you.
Required minimum distributions (RMD) are the minimum amounts that must be distributed to you from your retirement account(s) after you reach age 73 (with the exception of the Roth IRA).
You cannot invest in Collectibles or Life Insurance Contracts. There are also certain transactions in which you cannot participate when using IRA funds. These transactions are referred to as “prohibited transactions“. Prohibited Transactions are defined in IRC § 4975(c)(1) and IRS Publication 590. These transactions were established to maintain that everything the IRA engages in is for the exclusive benefit of the retirement plan.
You are able to invest your tax-advantaged retirement dollars in investments you know and understand. Through the power of compounding interest, this has the potential to create lasting wealth for you and your family.
Mountain West IRA is a retirement plan record keeper for self-directed IRAs. We offer the same retirement plans as other plan administrators with one exception – we walk you through and explain the process of how to purchase the investments that you choose with your IRA funds.
We offer a variety of types of IRAs including Traditional IRA, Roth IRA, SEP IRA, SIMPLE IRA, Health Savings Account (HSA), Individual 401(K) Plan/Solo(K) Plan, and Record Keeping Account.
To learn more about Mountain West IRA’s educational events and tools.
The Internal Revenue Service requires a custodian to hold the IRA assets and the custodian is required to report transactions on the account.
The self-directed industry is growing very strong with trillions of dollars invested in IRAs that are non-traditional assets.
The unique thing with IRAs and 401(k) are the tax advantages.
The answer is yes! The Employee Retirement Income Security Act (ERISA) of 1974 passed the responsibility of retirement saving from the employer to the employee.
This has been a long-lived myth. Neither the IRS nor the Department of Labor has ever published a list of legal investments.
There are some transactions that are prohibited by the Department of Labor ERISA division and the IRS.
There is no legal distinction between a “Self-Directed IRA” and any other IRA. The difference is Mountain West IRA lets you take control of your retirement by letting you invest your IRA in what you know and understand best.
It’s a common misconception that the only investments allowed in a retirement account are stocks, CDs, and mutual funds.
Investors, you can invest in something you know and understand which means you will be able to grow your retirement much more efficiently compared to traditional methods.
You may not borrow funds personally from your IRA under any circumstances. This is a prohibited transaction. You may lend to any person other than disqualified persons or companies.
Your IRA may be subject to legal action. Individual retirement accounts (IRAs) are not always exempt from creditor claims, and are never exempt from federal or state taxing authorities; however, most states do not permit creditors to collect from IRAs.
No, Mountain West IRA is a passive, self-directed IRA administrator of your account, preparing account statements for you and reports for the IRS.
Mountain West IRA funds most transactions within 3 business days of receiving completed documents. We do have the ability to expedite and fund within 24 hours for a $95 expedite fee.
You may invest in anything which is not prohibited or collectible as defined by the Internal Revenue code.
UBIT comes in two forms. Unrelated Business Income Tax (UBIT) and Unrelated Debt Financed Income Tax (UDFI).
Mountain West IRA has a 3 business day turnaround time for account establishment and transactions upon receiving completed documents.
If you have no common-law employees, you can offer an Individual 401(K) Plan.
For a list of our fees, please see our Self-Directed IRA Fee Schedule this is also included in our IRA Starter Kit.
You may partner with yourself or others; you may make allowable contributions; you may obtain debt financing through private sources or financial institutions on a non-recourse basis.
Yes, as long as it is a new purchase and the percentages are determined upon the purchase of the property. All rules associated with the IRA owning the property 100% still apply for partially owned.
No, a property your IRA is purchasing must be a new purchase. You are a disqualified person, so your IRA cannot purchase from you as this creates a prohibited transaction.
No, your child is considered a disqualified person and this will create a prohibited transaction.
Yes the IRA can. However, the loan must be a non-recourse, which means no personal guarantee by the IRA holder or any other disqualified persons.
When using your IRA for the purposes of purchasing real estate, you are not actually taking a distribution.
No, you are a disqualified person, thus this will create a prohibited transaction.
Normally private lenders, seller carry backs, and mortgage companies may lend to your IRA on a non-recourse basis. Sometimes banks and credit unions may make non-recourse portfolio loans to IRAs. Please contact us for more details.
You can choose to hire a property management company or you can personally manage. However, if you choose to personally manage you cannot do any “sweat equity” (ex: do any repairs) all repairs must be hired to a third party.
Yes, as long as they are not a disqualified person. Your promissory note can be secured or unsecured. You and the person you are loaning to will determine the terms.
Yes, as long as upon creation of the note each percentage is determined.
When you turn to a self-directed IRA company that allows for trust deed investments like Mountain West IRA, you can take advantage of loans secured by real estate, other tangible property, or even unsecured loans.
Often you are invited to be an investor, work within the company or know someone who works at the company, or you find a private entity via research. Mountain West IRA is a passing self-directed IRA administrator who does not do due diligence on private entities.
An LLC is a legal organization that provides the advantages of a partnership while limiting legal liability of the individual partners the same way a corporation does.
Private or closed corporation stock offerings are not available to the public on the open market.
Private placements such as LLCs, Partnerships & Joint Ventures, and Private Stock are just some of the many options available with a Mountain West IRA self-directed individual retirement account.
A partnership is a type of unincorporated business organization or agreement in which multiple individuals, called general partners, manage the business and are equally liable for the debts of the business.
Private or closed corporation stock offerings are not available to the public on the open market.
No, this is considered a prohibited transaction because you are a disqualified person.
No, as the IRA holder, you get to choose the dealer and the type of product you want. Mountain West IRA does not sell or promote any products or vendors.
Precious metals can be held in your IRA in the form of physical (allocated or unallocated) gold and silver bullion, coins from specified countries, and certificates.
Allocated or segregated storage only applies to gold bars 10 oz. or greater and it ensures that the bars are kept separate from the other metals in the depository’s vault.
An IRA allows gold bars, gold coins, sliver coins and bars, platinum/palladium bars and coins, and currency.
Unlike most self-directed IRA administrators, Mountain West IRA allows you as the IRA holder to choose any precious metals storage facility. The choice is up to you. Please do your due diligence on the depository you choose.
When it comes to investing in your future, a precious metals self-directed IRA can diversify your retirement portfolio.