Realty411 Magazine Featuring Scott Meyers | Page 63
In every deal I sponsor, and even
when I do not have a live deal, I
always educate any potential
investor that s/he may use their
retirement dollars to invest in my
upcoming deal. Tommy Prate of
Magnify Capital is a longtime
evangelist of enhanced retirement
accounts (Solo 401(k), SDIRA),
empowering both his investors and
‘Magnifiers’ (those sourcing deals
with boots on the ground diligence)
with the knowledge that they may
invest in his current/next deal with
their retirement accounts.
Manes/Pinnacle also regularly
receives 15%25% of equity raise
from SelfDirected accounts.
The added bonus, and ease, of
“selling” the concept of retirement
accounts is that these dollars are
likely locked up (i.e. cannot
withdraw without early distribution
penalty) for the next 525 years, so
the investor has no urgency of
receiving (~demanding) his principal
back. Secondly, with a checkbook
controlled SDIRA, the investor
can easily reinvest dividends or
have a bit of fun investing smaller
checks in other real estate and
private deals, while maintaining all
the benefits of a traditional
retirement account. Play this to
your advantage, and you will
literally get 6 figures for 6 minutes
of your time.
Playing the Mitt card to
Financial Independence
When on the campaign trail in
2012, Mitt Romney was asked how
his ROTH account could be in the
Millions (actually $102,000,000!)
when the maximum ROTH
contribution was only $5,000?
While Mitt took advantage of other
types of enhanced retirement
accounts (with 10x contribution
limits), the takeaway here is that he
invested via a posttax account and
will not have to pay taxes on this
balance during his golden years.
Stated differently, would you
rather pay taxes today on a small
seed or the full evergreen tree in
the future? I opted for the former,
now very confident that my seed
will replicate many times over
until I elect to take my first
distributions in my 60s.
.
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About the Author:
Dan Kryzanowski
Executive Vice President
Rocket Dollar
[email protected]
512.779.0843
Dan serves as EVP at Rocket
Dollar and Capital Partner for
Pinnacle Storage Properties. Dan
has raised “six figures in six
minutes” numerous times across
the selfstorage, multifamily, and
residential worlds. His profession
mission is to guide individuals to
take back control of their retirement
dollars and empower sponsors
raise more money faster. Visit with
Dan at Family Office Connect on
May 21st in New York City.