Updated about 6 years ago on . Most recent reply

Solo 401K loans - what are the limits?
So I have a Solo 401K plan where I am the trustee, since the IRS allows loans on the Solo 401K to the participant. I have some questions on the IRS rules for loans from a Solo 401K?
Is there a maximum term length? (i.e. 5 years, 10 years, 30 years, etc)
Is there a maximum percentage of the total value that can be loaned? (10% of total value, 20%, etc)
Is there a minimum interest rate that needs to be charged on the loan?
Thank you in advance for any responses.
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Yonah Weiss
Tax & Financial Services
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@Anthony Smoke great questions. I hope an expert like @Bernard Reisz can chime in with some answers for us all.