There are numerous reasons why you need to switch to the Participant-Only 401k retirement plan and roll over to the Solo 401 k Roth sub account. The main feature of this subcategory in the 401k retirement plan is to enjoy tax freedom on your transactions. It is easier and hassle-free to explore the Individual 401k real estate investment using your retirement savings. Most importantly, you can earn, withdraw, and enjoy your profits from your investments without any tax restrictions.
How the Solo 401 k Roth sub account works?
The idea of the Solo 401 k Roth sub account is to make after-tax contribution in order to enjoy tax freedom when you invest and use your retirement savings. There is no need for you to stress out about huge tax payments when you earn profits from your preferred investments. You can make allowable wealth-building activities in real estate, precious metals, stocks and bonds, hard money lending, and even private businesses using the Solo 401 k Roth sub account. Make sure you do not do any Prohibited Transactions though that may incur penalties and taxes in the long run.
Why choose the Individual k retirement plan?
Aside from the tax exemptions using the Solo 401 k Roth sub account, you can also enjoy other perks when you establish the Solo k retirement plan with the right plan provider. The 401 k Checkbook Control feature is a cost effective plan administration, making the plan owner his plan’s own trustee. It gives the participant total control over his retirement funds and access without any custodian consent and charges. There are no loads of paper works and documents needed to access and invest your retirement funds as well.
The Solo 401 k Roth sub account also offers the highest Self-Directed 401 k contribution, which is 10 times higher than Traditional IRAs. The maximum combined contribution for the plan participant and their spouse is up to $118,000 per year. The entire salary deferral contribution of $18,000 per participant per year can be contributed to the Roth account directly. The rest can be converted into the Solo 401 k Roth sub account later.
Nowadays, it is hard to earn a profit but easy to watch your money slip off your hands especially if you don’t have the right investment options in mind. Put your money in the right wealth-building investment and enjoy no tax obligations when you switch to the Solo 401 k Roth sub account for your retirement plan.
. Individual 401k real estate investment
. Participant-Only 401k retirement plan
. Self-Directed 401 k contribution
. 401 k Checkbook Control