Steed Talker

Real Estate Investing Abundance

Unlocking Wealth:Mastering Solo 401(k) Plans for the Self-Employed with Dmitriy Fomichenko – REIA460

Real Estate Investing Abundance – Episode Highlights: Solo 401(k) Plans with Dmitriy Fomichenko

Main Theme: Exploring the Advantages and Mechanics of Solo 401(k) Plans for Self-Employed Individuals

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Episode Overview:

  • Host: Dr. Allen Lomax
  • Guest Expert: Dmitriy Fomichenko
  • Focus: Solo 401(k) Plans tailored for self-employed individuals and small business owners without full-time employees.

Key Points Discussed:

  1. High Contribution Limits and Spousal Participation:
    • Solo 401(k) plans allow for higher contribution limits compared to traditional 401(k) plans.
    • Spouses can also participate, further increasing the potential contributions.
  2. Investment Flexibility:
    • Unlike traditional 401(k) plans restricted to mutual funds and stocks by custodians like Vanguard and Fidelity, solo 401(k)s permit investments in alternative assets.
    • Options include promissory notes and real estate.
  3. Transitioning to Traditional 401(k) Plans:
    • Guidance on transitioning from a solo 401(k) to a traditional plan if the business grows to require full-time employees.
  4. Tax Benefits:
    • Solo 401(k)s offer substantial tax sheltering, potentially lowering the investor’s tax bracket.
  5. Rolling Over Retirement Funds:
    • Flexibility to roll over funds from various retirement plans into a solo 401(k).
  6. Investment Restrictions:
    • Adherence to IRS rules against investing in collectibles and transactions with disqualified persons.
    • Importance of compliance likened to following traffic laws for safety.
  7. Checkbook Control:
    • Concept of checkbook control, granting greater control and flexibility over retirement accounts without custodial intervention.

Resources and Further Learning:

Tune in to gain insights on optimizing your retirement savings with solo 401(k) plans, and discover the benefits of enhanced investment flexibility and significant tax advantages.

Biography of Dmitriy Fomichenko:

Dmitriy Fomichenko is the founder and president of Sense Financial Services LLC, a boutique financial firm specializing in self-directed retirement accounts with checkbook control.  He began his career in financial planning and real estate investing in 2000. He owns multiple investment properties in various states and is a licensed California Real Estate Broker. Dmitriy holds a designation of Certified IRA Services Professional from the American Bankers Association. Over the years, he has taught hundreds of investment and financial planning seminars and has mentored thousands of investors.

Sense Financial Services was inspired by a series of conversations Dmitriy had with his mentees in the real estate investment business.  While many were exceedingly successful in their real estate investments, their retirement accounts were losing money. This conundrum prompted Dmitriy to spend several months consulting with industry experts and researching the powerful concept of employing self-directed retirement accounts for alternative investment purposes. Integrating his knowledge of how to successfully manage self-directed IRAs and 401ks with his expertise as an investor and mentor, Dmitriy began consulting individual investors on how to put more thought and diligence into their retirement and investment planning.

Dmitriy founded Sense Financial Services to help his clients maximize their returns on investments while protecting their hard-earned money. He is very passionate about helping families and individuals achieve financial freedom by following proven Biblical principles of financial planning and investing.

Dmitriy resides in Southern California with his wife and 17-year old daughter.  In his spare time, he enjoys studying systematic theology, spending time with his family and visiting new places.