Being a small business owner and entrepreneur has many benefits, but planning for retirement when you’re a business owner or investing in an IRA with your employer can have some limitations if you use a traditional 401 K Retirement Plan. While investing in any 401 k plan is a great way to plan for your retirement, it may be necessary in some cases to take a more personal approach to planning and investing for retirement.
Self-directed 401(k) plans have many of the same benefits as traditional 401(k) plans, such as pre-tax savings through automated payroll deductions, and both types of 401(k) plans are subject to the same contribution limits, withdrawal rules, and rollover rules. However, a self-directed 401(k) plan allows you the freedom to choose your own mutual funds, stocks, and bonds for retirement investing. You don’t have to stick to the pre-made funds typically associated with a traditional 401(k). You can also invest in other assets like real estate and commodities.
Suppose you’re behind in your retirement savings goals. In that case, you may need a more aggressive approach to your retirement savings by investing in tax liens, private placements, precious metals, energy investments, or foreign currencies with the help of a leading independent self-directed IRA and 401(k) administration company you can be very beneficial in reaching your retirement savings goals.
Whether you’re a business owner or not, you can benefit from a customized retirement plan tailored to your needs and goals by investing in a self-directed 401(k) to retire with wealth and security.