Infographic: Contribute Additional $1,000 with 2017 Solo 401k Limits
“You can be young without money, but you can’t be old without it.” ~ Tennessee Williams
Saving money might not be an attractive idea but it’s definitely a smart one. Your regular annual contributions, even in small amounts, allow you to accumulate substantial retirement savings in the longer run. With that being said, the IRS announced cost-of-living adjustments affecting the dollar contribution limits for different retirement plans for 2017. Our team has put together a short Infographic presenting the Solo 401k contribution limits for 2017.
Who can open a Solo 401k?
In order to open a Solo 401k retirement account, you must be involved in some sort of profitable self-employment activity. It doesn’t matter whether you practice part-time self-employment or have an owner-only business.
What are the benefits of opening a Solo 401k retirement plan?
- Higher contribution limits: You can contribute up to $60,000 to your retirement plan in 2017, allowing you to speed up your retirement savings.
- Alternate investments: If you choose a self-directed Solo 401k plan, you can invest in alternate investments starting with real estate, precious metals, mortgage notes, tax liens, tax deeds, and even private equity.
- Participant loan: Depending upon your plan document and Solo 401k provider, you can borrow up to $50,000 or 50% of your retirement fund, whichever is lower, for any financial need.
- Easier maintenance: You don’t need to file any returns for retirement funds valuing less than $250,000, making it easier to manage the plan.
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