Self Directed 401K - So You're Retired... What Now?

                

With our country's economy carrying on as it is, the prospects for my future retirement is looking grim. I am your typical American blue collar guy, working behind the assembly line of a car manufacturing plant. A US car manufacturer I am sad to say. A wife and three kids. With the recent and quite unforgettable economic collapse still hurting the industry, I am quite uncertain as to how I will be able to maintain the standards of our accustomed lifestyle, such as it is, when I do hit sixty. Is my pension enough? Will my savings be enough? Will I be able to provide for my family? I need a retirement plan. A friend of mine mentioned Self Directed 401K.

To be honest, I was not entirely sure of what this 401k exactly is. So I began to ask around and  do a little research of my own. As it turns out, it's another sort of retirement savings account. One of the nice things about this though is the possible reduction in taxable income. For example, I can divert 30% of my income to a 401k account which leaves only 70% of my wages as taxable income. The 30% that I will deposit to the fund is essentially untaxed, atleast until after I withdraw it during retirement. The earned interest of the fund is never taxed until after funds are withdrawn. Compounding interest with delayed taxation sounds really good I must say. Some employers are also utilizing this sort of plan, helping employees by usually matching the contributions the employees invest. In this case, the 401k is administered by the employer and the employees are given various options in how they choose to make investments. There are Self Directed 401k plans though. Although like other retirement accounts wherein you can only withdraw from the fund at retirement age, a Self Directed 401k offers more flexibility and freedom. 

Self Directed, meaning contributors to the account have a say or a vote on how the funds accumulated in the account should be spent or invested.  Now to me this sounds very reassuring. I suppose most of us have heard about the Madoff scandal and the huge number of people scammed out of their retirement plans. Imagine losing your life savings just like that in investments and transactions you are not even aware of. Personally I would like to know where my money is going. I would like a vote on where my money is going to be spent and on how. We the depositors, should have more administrative roles regarding the future of our investments. I would not want to be some anonymous name behind a deposit slip. This is not just money for most of us. It's going to be our hard earned future. I do not want to be that 85 year old guy working the counter in a convenience store because he lost his retirement fund. My heart went out to that old man when I saw the story about how Bernie Madoff ruined countless futures. I don't want to face that kind of prospect as a retiree. I would like to retire with security, both for me and my family. Maybe this Self Directed 401k is worth a bit more looking into. It sure does look like a good option for me.

Self Directed 401k

For more information visit

assetexchangestrategies.com/self-directed-structures/

assetexchangestrategies.com/

Call Us! 888-683-5228

powered by Youtube