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Investors Tap Into 401(k) Money Tax-Free for Startups
- ivankirigin 16y agoHere’s how it typically works: An investor sets up a corporation, establishes a new 401(k) plan there, rolls over his or her existing 401(k) or Individual Retirement Account, and then uses part or all of the plan’s assets to buy shares of the new company. This funds the new business, while keeping the tax- advantages of the retirement plan. Brilliant
- hga 16y agoMaybe ... as noted in the article: If you can't convince others that your venture is worthwhile that should tell you something. This may or very probably will put you under IRS scrutiny, in which case you had better have done everything just right.