A self-directed IRA places the investor in charge of making all investment decisions and allows a greater opportunity for asset diversification outside of the traditional stocks, bonds and mutual funds, such as real estate and private tax liens. All securities and investments in a self-directed IRA are held in an account administered by a custodian or trustee. According to IRA expert, Natalie Choate, the IRS is on a “warpath” against self-directed IRAs and has succeeded in disqualifying business-owning IRAs for routine business activities such as compensating the owner for services. Also, the IRS has eliminated an IRA owner’s personal guarantee of loans to an IRA-owned business. (Natalie’s Notes, Vol. 17, No. 1. Summer 2016). Those who have or are considering a self-directed IRA need to be very careful as the IRS has them in its sights.
A recent Bloomberg View article explores the implications of General Electric’s multi-billion dollar losses from its long term care insurance unit and the challenge of caring for an aging population. In “What’s Bad for GE Will Be Worse for America”, the article opines:
Medicaid was originally designed to provide health insurance for disabled people. However, the Affordable Care Act (i.e. “Obamacare”) significantly expanded the program to include able-bodied adults. According to the current Medicare and Medicaid Services administrator, Seema Verma the expansion jeopardizes medical care for the “individuals the program was originally intended for.”
I’m often asked if I specialize in elder law. Not only do I answer “yes”, I typically try to explain the reason for my answer. While there are many attorneys who claim to be elder law attorneys, certainly not all specialize in it. I believe an attorney who claims to specialize in elder law should […]