Keeping your financial future stable is the main priority when investing in a self-directed IRA. However, with little knowledge on the subject, it's easy to make mistakes. Financial mistakes are going to cost you, so regain peace of mind by avoiding these common errors:
- Do-it-yourself kits: When searching the Internet for "IRA LLC," you'll come across several sites that allow you to set up the account yourself. The so-called "kit" may save you money initially, but one wrong move and it can cost you thousands of dollars in penalties and taxes. You will be held responsible for any faults.
- Not understanding prohibited transactions: Investing is a business and you need to be informed about the restrictions involved. You need to talk with experts who understand the business and can advise you in your investment options.
- Not diversifying: There's a reason why the saying "don't put all your eggs in one basket" exists, and that's because it's true! Diversification will give you more stability and security. Read more about diversifying in this blog post.
- Not using experts: Many people turn to a CPA for advice, but the reality is that they are not experts in self-directed IRAs. When it comes to your retirement money, wouldn't you rather trust someone whose sole job is retirement investments?
When you're ready to discuss your options, visit BroadFinancial.com and invest in what you understand and believe in.