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I do this with my 401ks and IRAs and Roth products too and unlike my non-profit entities in the 501 tax section the big trouble with the 400 tax section is that
by vmception 5y ago
I do this with my 401ks and IRAs and Roth products too and unlike my non-profit entities in the 501 tax section the big trouble with the 400 tax section is that you cant do in-kind contributions
So you cant contribute assets you have to contribute cash and then buy the assets, whereas with nonprofits you can also contribute assets directly
This is just a small administrative hurdle, when you have contractual authority over an organization you can write options agreements and other grants that your 400 section tax deferred entity can afford. Self directed 400 section entities are typically formed as trusts, so it is easy to interact with them as distinct investors even if you are signing both sides of every contract.
I think its funny in the article where the person quoted said they were “in favor of change” to the tax code. Add in kind contribution to tax deferred products like 401ks and IRAs!