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Account Comparison

Deep dive on comparing SDIRA vs Roth vs Solo 401(k) for real estate investing.

How Account Comparison Works

The account comparison tool evaluates Traditional Self-Directed IRAs, Roth IRAs, SEP IRAs, and Solo 401(k) plans across every dimension that matters for real estate investing. Each account type has different contribution limits, tax treatment on contributions and withdrawals, RMD requirements, and income eligibility rules. This tool lays them all out side by side so you can see which account fits your strategy.

  • Traditional SDIRA: Tax-deductible contributions, taxed withdrawals, RMDs at 73
  • Roth IRA: After-tax contributions, tax-free withdrawals, no RMDs
  • SEP IRA: Up to 25% of compensation (max $69,000), employer-only contributions
  • Solo 401(k): Up to $69,000 combined ($76,500 with catch-up over 50)

Why Account Type Matters for Real Estate

The account you choose determines how much you can contribute each year, whether your growth is tax-free or tax-deferred, and whether you'll face Required Minimum Distributions that can force liquidation of illiquid real estate. A Solo 401(k) allows the highest contributions but requires self-employment income. A Roth IRA offers tax-free growth but has income limits and lower contribution caps. Getting this decision right at the start saves thousands in taxes over decades.

  • Solo 401(k) allows $69,000/yr -- nearly 10x a Traditional IRA
  • Roth accounts grow tax-free with no RMDs (ideal for long-term holds)
  • Traditional accounts give an upfront tax deduction but tax withdrawals
  • RMDs can force property sales -- Roth avoids this entirely

Sample Output

See what this feature calculates for you.

Account Comparison
Traditional IRA Max $7,000/yr
Roth IRA Max $7,000/yr
Solo 401(k) Max $69,000/yr
Best for RE Investing Solo 401(k)

Ready to Use Account Comparison?

Get access to this feature and everything else in Self-Directed IRA / Solo 401k Real Estate Planner.