How it Works

To understand how you can finance your new business with your 401k rollover or other qualified plan, you must understand how to access your savings without taxes, penalties, or interest; you must understand two bodies of law. The two bodies of law that govern the BORSA™ structure are the:

 

• Employee Retirement Income Security Act of 1974 (ERISA)
• Internal Revenue Code of 1986 (IRC)

For purposes of the BORSA™ structure, ERISA governs who is eligible and what you can or can not do in a qualified retirement fund, while the IRC addresses what is deductible going into the plan and how money is taxed when it is taken out of the plan.*

The graphic on the right depicts how assets move within the BORSA™.

 

For further information or questions, please call or email Suzy Granger.