Self-Directed IRA

About Self-Directed IRA

The Self-Directed Individual Retirement Account (SDIRA) allows the IRA owner to make investment decisions and manage their retirement plan. It can be classified as an IRA or Roth IRA. The SDIRA follows all the same contribution and withdrawal rules as a typical IRA or Roth IRA. However, the SDIRA is not limited to the normal investments (stocks, bonds, mutual funds). SDIRAs are permitted under regulations to invest in other areas. SDIRA owners commonly invest in real estate, franchises, partnerships, mortgages, tax liens, etc.

The SDIRA does not mandate that an owner use a qualified custodian to maintain the rules and regulations of a typical IRA. However, the majority of SDIRAs do employ the custodian to oversee the account. The SDIRA owner has checkbook control over the account. The custodian is a safeguard to insure the owner meets all the IRS regulations and annual filings.

Self-directed IRAs, by allowing a wide range of investment choices, improve the account owner’s opportunities to diversify their IRA portfolio(s). Professionals often times refer to these investments as “Self-Dealing”. Also, if real estate or any other investment asset held in a self-directed IRA has been employed for personal use, or to gain any other personal benefit (other than a return for the IRA), in the view of the IRS or the Department of Labor, the IRA(s) may become immediately taxable. In addition, if the IRA owner is younger than 59 1/2, the IRA will be subject to an early withdrawal penalty of 10%. It is important, however, to understand that the IRA account holder is responsible for compliance with all codes and regulations. While a custodian’s job is to follow the directions of the account holder as a non-discretionary trustee, a custodian cannot ensure compliance or give legal or tax advice. Therefore, those interested in self-directed IRAs should seek education offered by an independent source.



Many SDIRA owners opt to use the corporate LLC program inside the IRA umbrella. This can sometimes reduce the cost and delays involved in dealing with a qualified custodian. The manager of the SDIRA, LLC has checkbook access to the funds for investments. Some claim that this IRA LLC strategy has been legitimized through a tax court case: Swanson v. Commissioner, 106 T.C. 76 (1996). Others disagree on the validity of the court case.

SDIRA, LLCs are powerful investment tools. They open up the access to secondary market purchases under the retirement plan umbrella. The SAM SDIRA, LLC will allow Synergy affiliates the ability to capture money outside of the traditional structured settlement market place. The structured settlement market place is dwarfed in size by qualified retirement plans.


SAM SDIRA, LLC Components

Investment Product:

The most important part of the SAM SDIRA program is the underlying investment product. The repurchase of secondary structured settlement transactions allows the IRA owner access to guaranteed fixed income products. The current rate on these products is on average double the fixed rate available in similar investments. All funds that have been paid out through the periodic payments will be placed into a FDIC insured account earning interest with one of our banking partners.


The SAM SDIRA program will use a qualified custodian to assist in the account opening and transfer of assets into the SDIRA. They will handle the regulatory elements of the program from an IRA level.


The SAM SDIRA, LLC has retained a law firm to create the LLC and file the annual minutes and filings with the State of Florida. All LLCs will be based as Florida corporations due to the ease of filing and our corporate location. The LLC location will have no impact on the underlying taxability to our clients in other states.


SAM will be the managing member of the LLC. SAM will have the ability to purchase the annuities through letters of instruction/purchase agreements with the IRA owner.

IRA Owner:

The IRA owner can transfer any qualified account into the program. They can also contribute annually tax free to the program under the IRS guidelines for IRAs. The Roth IRA is also an allowable investment vehicle under the program.



"Synergy has been a trusted part of our legal team for many years. They have helped our clients in many cases to understand the benefits of structured settlements. Synergy has protected our clients and us by securing the best annuities on the market with the safest companies available. Our Synergy consultant is a great communicator in explaining the details and benefits of structured settlements to our clients. He has also mentored myself and the other lawyers in our firm in the benefit of Attorney Fee Annuities. Their work with our firm has secured our clients and our financial security and we expect to continue working with him for many years to come."

Brett Panter
Panter, Panter & Sampedro

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Understanding Structured Settlements and Medicare Set-AsidesThird Thursday Webinar Series

The parties agree that a Medicare Set-Aside is needed, now what? In this month's webinar, presented by Synergy CEO, Jason D. Lazarus, you will learn about the process basics for setting up a set aside including MSA allocations, funding mechanisms for set-asides, post-settlement administration as well as an overview of the process to make sure you close the case compliantly.

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