Thursday, March 29, 2012

Solo 401k Lawyer or Attorney Not Necessary


Most financial professionals can offer solo 401k services. For example, professionals such as attorneys/lawyers, accountants, financial advisors, and qualified plan administrators can be solo 401k providers.

What you should really consider when you are ready to open solo 401k is how long the solo 401k provider has been in the business of administering and providing solo 401k services. This is especially true if you are considering investing Solo 401k in real estate, precious metals, notes, and private investments as not all professionals including lawyers and attorneys have been trained on the rules and regulations surrounding retirement plans, let along the rules of investing solo 401k plan in alternative investments. This is specially the case if you are looking for guidance relating to alternative investments even if you are not necessarily looking for investment advice but just confirmation that your potential alternative investment conforms to the Solo 401k regulations.

Lastly, while it is a good marketing tactic used by certain Self-Directed Solo 401k providers, you don’t need to be an attorney or lawyer to provide Solo 401k with checkbook control. Reason being, the IRS ultimately approves the Solo 401k document not the solo 401k provider; hence why the solo 401k provider is required to provide you with the IRS approval letter when you open solo 401k.

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