Senior Housing and Assisted Living

IRAs are only meant to be funded with actual money. This means cash, or at least an equivalent of cash. You are not allowed to transfer any other type of asset over, such as a home or car. Money is needed.

You also can mix and match the accounts. Roth IRAs and SDIRAs can both be used if you want both types of accounts. Rollovers between the accounts can happen.

There are limits to the amount of money you can put in the account, however. In 2010 there is a limit of $5,000 for those people who are under 50. People that are older than 50 may contribute up to $6,000. That is the maximum amount people can put inside their account each year.

As mentioned before, you can have more than one IRA. The limit for how much money you put in to the IRA is for both the Roth and Traditional IRA. If you have $4,000 in the Roth then you Can only put $1,000 in the Traditional.

Traditional accounts are sometimes covered by a work retirement system. They usually have a deductibility phaseout limit. Roth accounts has an income level phaseout system.

Funding that is already inside the IRA is taken care of by a custodian. A custodian is the person in charge of the cash. Custodians are not able to purchase certain assets, such as collectibles or life insurance policies, for assets.

Custodians are the main people to handle investments. Custodians even have permission from the IRS to have their own policies above the IRS rules. Custodians have their own rules they have to follow, such as not providing advice to account holders.

SDIRAs allow their custodians to make non-traditional investments. They can use real estate, for example, or other non-traditional assets. Self directed IRAs do have rules and regulations, however, and tend to be a little more complicated than other IRAs. This makes it very important to find professional help with people who know the ins and outs of SDIRAs.

NAFEP (The National Association of Financial and Estate Planning) is a leading provider of self directed IRA and self directed 401k products, administrative and custodial services.