Best Response

In a 401k? No. Your employer determines what you can invest in.

In a rollover IRA when you leave your employer? Yes, but you have to be very careful.

-The second you repair anything out of your own pocket rather than the 401k's, it's a distribution. (Subject to 10% penalties if you're under 59.5 and income tax) -The second your cousin rents from it, it's a distribution. -The second it gets involved in anything but an arm's length transaction, it's a distribution. -The second you do any work on it yourself, it's a distribution. -The second you so much as set foot on the property, it's considered a distribution.

Bottom line, make sure it's AT LEAST a couple counties over (ideally a few states over) and that you NEVER visit it, that your friends and family NEVER rent from it, and that ideally, you have somebody else managing and administering everything for you.

It may just be smarter and easier to invest in a private real estate fund or in a REIT. But yes, people have done it and made it work.

 

Suppose a family member owns and operates a number of apartment buildings within a city. Could I simply use the money to purchase a building and, completely hands off, allow her company to run the building while I pay a fee or whatever to keep it compliant

 

This is where it starts to get fuzzy and you need to find yourself a good tax lawyer. It definitely needs to be an arm's length transaction with the tenants, but I'm not so sure about the trustee. If you need help finding one, my Dad handles situations like this fairly often and I can get you in touch.

Tax lawyers typically bill on the order of mid hundreds of dollars per hour, but a good one will get you an answer pretty quick as to whether this is a smart move and how much it's going to cost.

Remember that you have to pull the money out of your 401k and stick it into an IRA first, and you can generally only do that once you've left the firm.

 

Repudiandae sunt sint voluptatem praesentium voluptate eaque. Nulla minima animi beatae aut. Alias ipsam magni voluptates doloremque cupiditate sed. Consequatur perspiciatis earum dicta est quae facilis. Voluptas fugiat ea excepturi aliquid ipsa nihil adipisci nobis. Quaerat sed sunt consectetur dolore eum at assumenda quo. Modi sit veniam dolorum laudantium molestiae.

Vitae et culpa dolor possimus mollitia non quas. Explicabo repellendus consequatur ullam eos nulla consequatur.

Career Advancement Opportunities

March 2024 Investment Banking

  • Jefferies & Company 02 99.4%
  • Goldman Sachs 19 98.8%
  • Harris Williams & Co. (++) 98.3%
  • Lazard Freres 02 97.7%
  • JPMorgan Chase 03 97.1%

Overall Employee Satisfaction

March 2024 Investment Banking

  • Harris Williams & Co. 18 99.4%
  • JPMorgan Chase 10 98.8%
  • Lazard Freres 05 98.3%
  • Morgan Stanley 07 97.7%
  • William Blair 03 97.1%

Professional Growth Opportunities

March 2024 Investment Banking

  • Lazard Freres 01 99.4%
  • Jefferies & Company 02 98.8%
  • Goldman Sachs 17 98.3%
  • Moelis & Company 07 97.7%
  • JPMorgan Chase 05 97.1%

Total Avg Compensation

March 2024 Investment Banking

  • Director/MD (5) $648
  • Vice President (19) $385
  • Associates (85) $262
  • 3rd+ Year Analyst (12) $184
  • Intern/Summer Associate (33) $170
  • 2nd Year Analyst (65) $168
  • 1st Year Analyst (196) $159
  • Intern/Summer Analyst (143) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
Betsy Massar's picture
Betsy Massar
99.0
3
BankonBanking's picture
BankonBanking
99.0
4
Secyh62's picture
Secyh62
98.9
5
dosk17's picture
dosk17
98.9
6
GameTheory's picture
GameTheory
98.9
7
CompBanker's picture
CompBanker
98.9
8
kanon's picture
kanon
98.9
9
bolo up's picture
bolo up
98.8
10
DrApeman's picture
DrApeman
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”