One of the most common requests we get from the Republic community is to make it easier to invest in startups through a self-directed IRA. Investing through a tax-advantaged vehicle like an IRA can have substantial long-term benefits.
In a traditional IRA, contributions are tax-deductible, and taxes are only collected when the money is withdrawn (during retirement). This allows your investments to grow and compound for a much longer period of time before taxes are taken out, and can significantly boost after-tax returns - if any are realized. If you invest through a Roth IRA, gains can be completely tax free, although the money you contribute to the Roth IRA is taxed. For more information on the basics of investing through an IRA, see our post from a few weeks ago.
We’re happy to announce an important step towards making investing through an IRA simple and affordable. Republic is now integrated with AltoIRA, a leading provider of self-directed IRA services.
Our goal is to make the experience of using an Alto IRA seamless and streamlined. Alto’s platform-driven approach has reduced the time to process transactions from 1-2 months to just 1-2 days. We also appreciate that Alto has clear and transparent pricing, and think our members will too.
To invest through Alto on Republic, simply select "IRA" as a payment method and connect your Alto account in a few clicks.
Post-investment our system will then guide you through the process of investing.
Please let us know if you have any questions, comments, or feedback by emailing us at [email protected].