The self-directed Solo 401k retirement plan offers powerful advantages for real estate investing. The Individual k or Solo 401k is an IRS-qualified retirement plan that has been simplified for the self-employed and small business owner. The structure of the plan gives participants more options than a traditional 401k. The Solo 401k’s investment capability, direct access, loan feature, and tax benefits make it the perfect vehicle for investing in real estate.
Reduce Your Taxes by $10,000 with a Solo 401(k)
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.