By J.P. Dahdah, Founder & CEO of Vantage
There are numerous reasons retirees often find themselves in need of extra money during their golden years. Many do not realize that their IRA is a great way to build wealth, especially when it is a Self-Directed IRA.
A Self-Directed IRA offers a financial advantage because:
- Control – One of the biggest advantages of a Self-Directed IRA is control. For most people, saving for retirement is a ‘blind’ process. The money is deducted from our paycheck, and we really do not know what happens to it afterward. Most of us do not know who manages our funds or how decisions are made about the money. With a Self-Directed IRA, you decide what to invest in, and you are in control.
- Expanded options – A brokerage IRA usually relies on stocks, bonds, and mutual funds, and sadly, Americans cannot predict what will happen on Wall Street from one day to the next. With a Self-Directed IRA, you can choose to invest in real estate, precious metals, equipment leasing, and so much more. You can diversify your portfolio and maintain the ability to invest in your passion.
- The ability to invest in what you understand – A brokerage IRA does not allow you to use your own knowledge and life experience to your monetary advantage. A Self-Directed IRA does. If you know and understand how to invest in real estate, you can use your expertise to invest in and manage real estate within your portfolio.
- Tax-deferred or tax-free growth – In addition to the innate extra control your Self-Directed IRA provides, the return on your investment is still tax-deferred. In the case of the Roth IRA, they could even be tax-free! You do not have to sacrifice control for the tax benefits.
Have you considered opening a Self-Directed IRA? Why or why not?
For more information on how you can discover your IRA investing alternatives, contact our team at (866) 459-4590 or Info@VantageIRAs.com.