Sameer pimpalkhute ace capital group - land banking in california - secured retirement plan - process - investment funding from self directed ira account

TRANSACTION COORDINATOR’S GUIDE:

Individual Retirement Accounts (IRAs)Part 3 of 8

Individual Retirement Accounts

Accounts

Funds

Opening

Other Accounts

ACE Capital Group does not advice customers on which type of IRA or IRA custodian to choose. They are to consult an IRA Custodian, financial planner or tax advisor to know more about which type of IRA and IRA Custodian is most suitable for their needs.

IRA’s

• Retirement Funds

• Earnings Tax Deferred

• Withdrawals at Age 59 ½

• Qualified Custodians

• “Traditional” CustodianVanguard, Fidelity, Janus, etcMutual funds, stocks, bonds, CD’s

• Self-Directed CustodianIRA Services, Equity Trust, Provident, etcReal estate, LLC, stocks, bonds,

Accounts FundsOpening Other Accounts

IRA Types

Roth -After-tax contributions-Withdrawals usually tax-free

Traditional -Before-tax contributions

-Withdrawals usually taxed as income

Simplified Employee Pension (SEP)

-For self-employed or small businesses

-Like a Traditional IRA with higher limits

Savings Incentive Match Plan For Employees (SIMPLE)

-Small businesses

-Like a 401K with lower costs

Accounts FundsOpening Other Accounts

Opening an Account

IRA Application

Photo ID

Financial Statement

Accounts FundsOpening Other Accounts

Opening an Account

1. Name2. Address

4. Birth Date

3. SSN

5. Account Type

6. Signature

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Funding

Contribution

Transfer

Rollover

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Contribution

Personal Check/Cashier’s Check1. Make the check payable to Custodian’s Name, FBO: Client’s Name,

IRA (Account #).2. Indicate on the check which year it is for and that is a contribution. 3. Complete a deposit form. Wire TransferContact the custodian for wiring instructions.

Accounts FundsOpening Other Accounts

Transfer

A transfer is the moving of funds from the client’s current custodian directly to his new custodian, without the funds ever going to the customer. Before starting a transfer, the client must liquidate his assets, so only the cash is to be transferred. The client must complete a transfer request form (available from his new custodian) and send the form to his new custodian, who will then forward it to the current custodian.

Only IRA accounts can be transferred. If the client has a 401(k), 403(b), defined benefits plan or other non-IRA account, the client must request a rollover, not a transfer.

Accounts FundsOpening Other Accounts

Rollover

A rollover is when a check is issued by the current custodian and madepayable either to the client or the client’s new custodian. The client mustcomplete a rollover request form (available from his current custodian) andsend the form to the current custodian. The client should tell his custodian, “Iwant a rollover check. Please do not withhold any taxes because I will bedepositing the funds into a qualified custodian’s account.” The check can bemade payable to the client or new custodian. If made payable to the client,the client should endorse the check to his new custodian by writingCustodian’s Name, FBO: Client’s Name, IRA (Account #) and signing theback of the check. If made payable to the custodian, make the check payableto Custodian’s Name, FBO: Client’s Name, IRA (Account #). Complete adeposit form and send the check and form to the new custodian.

If the client has a 401(k), 403(b), defined benefits plan or other non-IRA account, the client must request a rollover, not a transfer.

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Customer New Custodian

Old Custodian

Rollover

1. Customer requests a rollover check from old custodian

2. Customer deposits rollover check into new custodian

Transfer

1. Customer completes a transfer request form and sends it to the new custodian who forwards it to the old custodian

2. Old custodian forwards funds to new custodian

Customer’s Request

Rollover Check

Rollover Check

Customer New Custodian

Old Custodian

Funds

Transfer Request

Form

Transfer Request

Form

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Transfer Rollover

1. Customer Information2. Custodian Information

3. Account Type

4. Funds Being Transferred

5. Delivery Instruction

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Investment

Direction of Investment /

Investment Authorization

Vesting

IRA Custodian, FBO: Client’s Name, IRA (Account #).

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1. Customer Information

3. Payment Information

2. Investment Information

Other retirement accounts

401k

403b

Coverall Savings Plan

529 Plan

Standard Agreement of Sale

Exhibit A Exhibit B Exhibit C Important Disclosure