Contribution limits Solo(k)

Personal Finance
3yFollow

Contribution limits Solo(k)

Anthony Freeman
Member since 2023 · 327 posts · 63 votes

I understand the contribution limit is around $60,000 yearly. However, how much can you start the account with?

1Reply
16 views

Most Popular Reply

Ashish AcharyaBusiness Member
CPA, CFP®, PFS · FL · Member since 2017 · 5k+ posts · 3k+ votes
3y
Quote from @Anthony Freeman:

I understand the contribution limit is around $60,000 yearly. However, how much can you start the account with?


 It does not house much you can start with. This depends on how much income you have. What entity have you got? There are limits based on income or wages. The max is around 60k.  

[email protected]941-914-7779
INVESTOR FRIENDLY CPA®5241 Reviews
WebsiteView Page
TaxMD™ | AI-Powered Tax Planning
WebsiteView Page
1Reply
See this reply in the discussion

5 Replies

Jump to latestLatest
  • Chris SeveneyBusiness Member
    Moderator
    Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
    3y

    @Anthony Freeman

    That’s misleading

    An individual has a limit and the company can contribute a percentage of the profits to the employees plan. So total between employee and company is around $60k but make sure to understand the differences between the two

    7e investments53 Reviews
    WebsiteView Page
    0Reply
  • Anthony Freeman
    OP
    Member since 2023 · 327 posts · 63 votes
    3y
    Quote from @Chris Seveney:

    @Anthony Freeman

    That’s misleading

    An individual has a limit and the company can contribute a percentage of the profits to the employees plan. So total between employee and company is around $60k but make sure to understand the differences between the two


    Is there a limit to what you can start the account with?

    0Reply
  • Colleen F.Pro Member
    Investor · Narragansett, RI · Member since 2013 · 8k+ posts · 4k+ votes
    3y

    @Anthony Freeman As for starting the plan that probably depends on the company you use. I don't recall a government minimum.

    0Reply
  • Anthony Freeman
    OP
    Member since 2023 · 327 posts · 63 votes
    3y
    Quote from @Colleen F.:

    @Anthony Freeman As for starting the plan that probably depends on the company you use. I don't recall a government minimum.

    Thank you.

    0Reply
  • Ashish AcharyaBusiness Member
    CPA, CFP®, PFS · FL · Member since 2017 · 5k+ posts · 3k+ votes
    3y
    Quote from @Anthony Freeman:

    I understand the contribution limit is around $60,000 yearly. However, how much can you start the account with?


     It does not house much you can start with. This depends on how much income you have. What entity have you got? There are limits based on income or wages. The max is around 60k.  

    [email protected]941-914-7779
    INVESTOR FRIENDLY CPA®5241 Reviews
    WebsiteView Page
    TaxMD™ | AI-Powered Tax Planning
    WebsiteView Page
    1Reply
Join the conversationCreate a free account to reply, vote on answers and follow this thread.
Log InJoin for Free