Solo 401K Plans
What is a Solo 401(k)?
A Solo 401(k) (also called an Individual 401(k) Plan) is a retirement plan designed specifically for self-employed individuals who have no full time employees other than themselves and/or their spouse. Key benefits of the Solo 401(k):
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Allows the taxpayer to manage their own account directly without any brokers, banks, or trust companies being the middleman.
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Contribute amounts approximately equal to the 401(k)and profit-sharing amounts combined.
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Legally avoid the UBIT tax that would apply to certain self-directed IRA transactions.
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Participate in Roth contributions to the 401(k) element (not the profit-sharing part) of the plan regardless of the AGI limitations that apply to regular Roth contributions.
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Transfer existing retirement funds into the Solo 401(k).
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Taxpayer can direct his or her investments with absolutely no restrictions on investment choices (including real estate, private companies, foreign assets, precious metals, etc).