If you're self-employed or have a small business, the idea of a 401(k) may make you jump to two conclusions: “My company is too small” or “I can’t afford it.” Well, you’re not too small and you can afford it!
A Solo 401(k) is inexpensive to set up and easy to maintain – and it delivers substantial tax and saving advantages. Use a Solo 401(k) plan if you’re self-employed or run an owner-only business. You could add multiple owners and a spouse to a Solo 401(k) plan, but if you add full-time employees you’ll need to convert it to a more traditional IRA plan.
