The IRS/DOL has established the following individuals as disqualified individuals to any plan (e.g., IRA, 401(k) that must not participate in any Prohibited Transactions with the plan and its assets. They are:
1) The 401(k) account holder and his/her spouse;
2) The 401(k) account holder’s ancestors, lineal, blood-line descendents and their spouses;
3) Investment advisors and managers to the plan;
4) Any corporation, partnership, trust or estate in which the 401(k) holder has a 50% or greater interest; and,
5) Anyone providing services to the 401(k) such as a trustee or custodian.
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