In this episode of the Directed IRA Podcast, Mat Sorensen and Mark J. Kohler dive into the Top 10 Mistakes in Self-Directing Your IRA —and how to avoid them. Whether you're just getting started or already managing self-directed investments, this episode outlines the most common pitfalls that can derail your retirement strategy, including prohibited transactions, improper deal structuring, and UBIT traps. Mat and Mark not only break down each mistake but also provide practical guidance on how to structure deals the right way to stay compliant and protect your tax-advantaged account. They also highlight a critical bonus topic on Required Minimum Distributions (RMDs) for illiquid assets that every older investor must understand. If you’re looking to confidently navigate self-directed retirement investing, this episode is for you. 00:00:08 – 00:01:50 – Intro, Past Events, & Empowering You to Self-Direct Your IRA 00:01:50 – 00:04:15 – Breaking Out of the Brokerage Box (Disney Analogy): Investment Freedom Explained 00:04:15 – 00:04:18 – Top 10 Mistakes in Self-Directing Your IRA 00:04:18 – 00:06:30 – Mistake 1: Early Commitment to Deals 00:06:30 – 00:07:54 – Mistake 2: Buying Assets You Already Own 00:07:54 – 00:08:36 – Mistake 3: Transacting with Disqualified Persons 00:08:36 – 00:11:30 – Mistake 4: Violating the 50% Rule in Business Ownership 00:11:30 – 00:13:12 – Mistake 5: Providing Services to IRA-Owned Assets 00:13:40 – 00:16:50 – Mistake 6: Personally Profiting from IRA Transactions 00:16:50 – 00:21:30 – Mistake 7: Using IRA-Owned Assets Personally 00:21:30 – 00:23:04 – Mistake 8: Improper Flow of Funds with IRA LLCs 00:22:55 – 00:24:20 – Mistake 9: Underfunding Investments and the Need for Capital Planning 00:24:20 – 00:31:04 – Mistake 10: Ignoring UBIT and UDFI Tax Traps 00:31:04 – 00:32:30 – Bonus: RMD Pitfalls with Illiquid IRA Assets 00:32:30 – 00:34:15 – Conclusion: Knowledge is Power—Avoiding Pitfalls with Confidence Directed IRA Homepage: https://directedira.com/ Directed IRA Explore (Linktree): https://linktr.ee/SelfDirectedIRA Book a Call: https://directedira.com/appointment/ Other : Mat Sorensen: https://matsorensen.com & https://linktr.ee/MatSorensen KKOS: https://kkoslawyers.com Main Street Business https://mainstreetbusiness.com
