How do I send, or return, investment income or rent to my IRA?

Many clients mistakenly confuse returning investment proceeds or dividend income with making an IRA contribution. However, returning funds from an open investment is not a contribution—it is simply returning IRA-owned funds to your account. Understanding the correct process ensures compliance with IRS regulations and helps maintain your IRA’s tax-advantaged status.

When Should Funds Be Returned to Your IRA?

If an investment has:

• Reached maturity and returned principal or earnings
• Generated dividend or interest income
• Been liquidated or sold, including the sale of real estate

Then, those funds must be returned directly to your Self-Directed IRA (SDIRA) at American Estate & Trust (AET) rather than your personal bank account. Depositing funds into your personal account could result in unintended tax consequences.

Instructions for Returning Funds to Your IRA

To properly return funds to your IRA, instruct the asset sponsor or paying entity to remit payment directly to AET using one of the following methods:

Check Payments

If the funds are being sent via check, please ensure they are made payable as follows:

Mailing Address:
American Estate & Trust
6900 Westcliff Dr. Ste. 603
Las Vegas, NV 89145

Make checks payable to:
American Estate & Trust, FBO (Client Name)
(Note the property address if applicable, such as when tenants are sending rent payments or when the asset sold is real estate)

Wire Transfers

For faster processing, funds can be sent via wire transfer using the details below:

Bank Name: Wells Fargo
Account #: 3393886381
Routing #: 121000248
Account Name: American Estate & Trust, FBO (Client Name)

Important Notes

✅ Ensure Proper Titling
All funds must be made payable to American Estate & Trust, FBO (For Benefit Of) [Your Name], as listed on your SDIRA account.

✅ Provide Clear Instructions
Inform the investment sponsor or paying entity that funds should be returned directly to AET, not to your personal account, to maintain the IRA’s tax-advantaged status. If you're dealing with rental income or the sale of real estate, ensure your tenants or buyers are instructed to note the property address on the check or in the wire reference.

✅ Include Reference Information
When possible, ask that the check memo or wire reference field includes details about the investment, such as the asset name, number, or property address if applicable.

By following these instructions, you ensure that your IRA remains in compliance with IRS regulations. If you have any questions or need further assistance, please contact AET Support.