Texas residents with a Self-Directed IRA... How should I structure it and are there any rules to keep in mind?

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Rocket Dollar is headquartered in Austin Texas. With a Texas Self-Directed IRA account purchase, you will receive an IRA, Colorado IRA LLC, and LLC Bank Account, and you can purchase alternative investments in Texas or any other state.


Is Rocket Dollar a Texas Company?

Yes. We are located in Austin, at 211 E 9th St, Austin TX, 78701.

In Rocket Dollar's home state of Texas, we hope to make self-directing and checkbook control cheaper and more accessible.


Why don't I get a Texas LLC automatically with Rocket Dollar?

We do business all across the United States. We wanted a consistent and steady business process for our self-directed customers, no matter where they were located, and have settled on a Colorado LLC. It's affordable, from another business-friendly state, and has a great tech-enabled state department so the Rocket Dollar support can help you service your LLC and make updates.

It's cheaper as well. This allows us to provide a more affordable IRA product and keep fees down.

Texas LLC: $300 ($40 renewal fee)

Colorado LLC: $50 ($25 renewal)

Texas LLC Foreign entity Registration: $750


Do I have to register my LLC as a foreign entity?

If you buying an alternative asset, you do not need to automatically register your LLC as a foreign entity.

If you are buying property, you do not need to automatically register your LLC as a foreign entity.

If you are buying property AND renting it, you should register your Colorado LLC as a foreign entity in Texas. Rocket Dollar requires this for anyone who is renting a property out of their IRA, so they can comply with local rules and regulations.

If you open a Texas LLC, and your Colorado "Umbrella" LLC invests in the Texas LLC, you do not have to register your Colorado LLC as a foreign entity. You will have to open this Texas LLC yourself, but you can save money this way. 


You can read more here. 


How does this structure work?


After I open my Texas LLC, where do I send the money?

You can open an account at our preferred bank partner, or at a local bank. You will then send a bank money transfer from your Colorado LLC bank account to your Texas LLC's bank account We have a preferred bank partner because they are needed to complete a variety of key IRA functions. You can use a local bank. Be aware many banks can open an LLC bank account, but some might not understand how an IRA LLC works. 

How much does it cost to register as a foreign entity in Texas?

It costs $750 to register as a foreign entity in Texas. If you wish to save money, you can open a Texas LLC after your IRA and IRA LLC are created. Your Colorado LLC Rocket Dollar created becomes a full owner of the Texas LLC, and your Colorado LLC remains the "umbrella LLC." The Texas LLC then takes all investment inflows and outflows until they are returned to the LLC bank account.

Rocket Dollar cannot assist with any "downstream" or additional LLCs.

Are there any late fees?

You must register within 90 days of doing business/renting to avoid a potential late fee.


Where do I find more information?

Here is a link to the Texas Secretary of State page which describes additional registration requirements for out-of-state entities.

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