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#solo-401-k

Solo 401(k)

One-participant 401(k) plans for self-employed individuals, contribution limits, and Roth options

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Your Business Is Not a Retirement Plan: Why 34% of Owners Save Nothing and How to Fix It in 2026
·mike

Your Business Is Not a Retirement Plan: Why 34% of Owners Save Nothing and How to Fix It in 2026

34% of U.S. small business owners have no retirement plan, and more than 80% of a typical owner's net worth sits inside the business. This guide compares the SEP IRA, Solo 401(k), and SIMPLE IRA at 2026 limits ($72,000, $24,500 deferral, $17,000), explains the SECURE 2.0 credits worth up to $5,000 a year for three years, and gives a five-step plan to start saving this quarter.

retirement-plans
retirement-savings
sep-ira
The IRA Contribution Limit Hits $7,500 for 2026: Your Freelancer and Small-Business Owner's Guide to the First Big Increase in Years
·mike

The IRA Contribution Limit Hits $7,500 for 2026: Your Freelancer and Small-Business Owner's Guide to the First Big Increase in Years

The IRA contribution limit rises to $7,500 for 2026 — the first base increase since 2023 — plus a new $1,100 catch-up at 50+. Learn who qualifies, how it stacks with Solo 401(k) and SEP, and how freelancers can capture the extra room before April 15, 2027.

ira
retirement-savings
retirement-planning
Fix Your Own 401(k) Mistakes: A Small Business Guide to IRS Self-Correction
·mike

Fix Your Own 401(k) Mistakes: A Small Business Guide to IRS Self-Correction

EPCRS gives small business 401(k) sponsors three ways to fix plan mistakes — self-correction with no fee, no filing, and no IRS contact through the third plan year for significant errors, a voluntary filing with IRS approval, or a negotiated closing agreement on audit — with standard fixes for late deferral deposits, missed eligible employees, plan loan failures, and missed RMDs.

retirement-plans
solo-401k
tax-compliance
TrumpIRA.gov and the Federal Saver's Match: What Self-Employed Workers Should Know Before 2027
·mike

TrumpIRA.gov and the Federal Saver's Match: What Self-Employed Workers Should Know Before 2027

TrumpIRA.gov, a Treasury-run IRA marketplace launching January 1, 2027, will list providers capped at a 0.15% expense ratio with no account minimums and connect eligible savers to a Federal Saver's Match of up to $1,000 a year — a 50% match on the first $2,000 contributed. Here is how it fits alongside a SEP-IRA or Solo 401(k), and why accurate books determine the contribution you can actually make.

ira
retirement-savings
self-employment
Solo 401(k) for Self-Employed Owners in 2026: How to Actually Max It Out
·mike

Solo 401(k) for Self-Employed Owners in 2026: How to Actually Max It Out

In 2026 a Solo 401(k) lets a self-employed owner shelter up to $72,000 ($83,250 with the ages 60–63 super catch-up) across a $24,500 employee deferral and a 25%-of-compensation employer contribution. This guide covers the two-bucket math, the new mandatory Roth catch-up for W-2 wages over $145,000, first-year vs. ongoing deadlines, and the $250,000 Form 5500-EZ filing trigger.

solo-401k
retirement-plans
self-employment
The Mega Backdoor Roth for the Self-Employed: How a Solo 401(k) Reaches $72,000 in 2026
·mike

The Mega Backdoor Roth for the Self-Employed: How a Solo 401(k) Reaches $72,000 in 2026

A Solo 401(k) with voluntary after-tax contributions lets self-employed owners shelter up to $72,000 in 2026 — or $83,250 with the age-60-to-63 catch-up — by converting after-tax dollars to Roth with no income limits. Here's how the three contribution buckets work, a worked example at $150,000 of net earnings, and what your plan document must allow.

solo-401k
401k
retirement-planning
QLACs in 2026: How the $210,000 Qualifying Longevity Annuity Contract Limit Shrinks Your RMDs
·mike

QLACs in 2026: How the $210,000 Qualifying Longevity Annuity Contract Limit Shrinks Your RMDs

A QLAC lets you move up to $210,000 — the 2026 SECURE 2.0 lifetime limit — from a traditional IRA, SEP-IRA, or 401(k) into a deferred annuity the IRS excludes from RMD calculations until payments start, as late as age 85. Here are the rules, a worked example, and the break-even math showing when to skip it.

retirement-planning
tax-planning
ira
The Roth Catch-Up Mandate Arrives: 2026 401(k) Rules for High Earners and Business Owners
·mike

The Roth Catch-Up Mandate Arrives: 2026 401(k) Rules for High Earners and Business Owners

Starting January 1, 2026, SECURE 2.0's Section 603 requires workers 50 and older with over $150,000 in prior-year FICA wages from the same employer to make 401(k) catch-up contributions — $8,000 standard, $11,250 for ages 60–63 — as after-tax Roth. Plans without a Roth option must amend by December 31, 2026 or bar catch-ups entirely; W-2 S-corp owners are in scope while K-1 partners are not.

401k
retirement-plans
tax-planning
The Mega Backdoor Roth for Business Owners: How a Solo 401(k) Can Move $47,500 a Year Into Tax-Free Growth
·mike

The Mega Backdoor Roth for Business Owners: How a Solo 401(k) Can Move $47,500 a Year Into Tax-Free Growth

For 2026 the IRS caps total 401(k) contributions at $72,000 versus a $24,500 employee deferral limit; business owners can convert the after-tax gap between the two into a Roth account tax-free using the mega backdoor Roth strategy.

solo-401k
retirement-savings
retirement-planning
Solo 401(k) vs SEP-IRA in 2026: Contribution Limits, Super Catch-Up, and Mega-Backdoor Roth for the Self-Employed
·mike

Solo 401(k) vs SEP-IRA in 2026: Contribution Limits, Super Catch-Up, and Mega-Backdoor Roth for the Self-Employed

Compare the 2026 Solo 401(k) and SEP-IRA limits side by side — when each plan wins, how the SECURE 2.0 super catch-up adds $11,250 for ages 60–63, the mega-backdoor Roth strategy for after-tax conversions, the 20% versus 25% Schedule C calculation, and the Form 5500-EZ filing required once plan assets cross $250,000.

solo-401k
sep-ira
retirement-planning
Section 414 Controlled Group and Affiliated Service Group Rules: How Multiple Businesses Can Sabotage Your 401(k)
·mike

Section 414 Controlled Group and Affiliated Service Group Rules: How Multiple Businesses Can Sabotage Your 401(k)

Section 414(b), (c), and (m) treat related businesses as one employer for retirement-plan testing. This guide explains controlled-group and affiliated-service-group rules, the spousal and minor-child attribution traps, and the steps multi-business owners should take before opening a 401(k).

retirement-plans
solo-401k
tax-compliance
Section 4975 Prohibited Transactions: How Self-Directed IRA and Solo 401(k) Owners Avoid the Disqualified Person Trap
·mike

Section 4975 Prohibited Transactions: How Self-Directed IRA and Solo 401(k) Owners Avoid the Disqualified Person Trap

Section 4975 of the Internal Revenue Code defines disqualified persons and the six categories of forbidden transactions with self-directed IRAs and Solo 401(k)s. Violations trigger a 15 percent annual excise tax — and, for IRAs, deemed distribution of the entire account back to January 1.

ira
solo-401k
retirement-plans
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