Solo 401k 2015 Max Contribution Limits : Important Facts Participants Fail to Know

Solo 401k 2015 Max Contribution Limits

Solo 401k 2015 Max Contribution Limits

The high Solo 401k 2015 max contribution limits allow plan participants to save more money and enjoy greater financial growth with the right investment. The 401k retirement investment varies according to the permissible activities as per the Solo 401 k rules and regulations. Take note that there are Prohibited Transactions as indicated in the ERISA and Internal Revenue Code. If you want to enjoy the best wealth-building opportunities from the Individual 401 k, make sure you comply with the rules.

Know your Solo 401k 2015 Max Contribution Limits

The Self-Directed 401k for small business and self-employed individuals is a good way to invest your hard-earned money for future financial growth. Aside from knowing the maximum contribution limit, it is also important to comply with the Solo k 2015 contribution deadline. The Solo 401k 2015 max contribution limits are different for salary deferral and profit sharing electives. For salary or employee deferral, the total combined contribution which includes the $6,000 catch up contribution for participants that are 50 years and older is $24,000. Adding the profit sharing contribution, the combined amount is $59,000.

On top of the Solo 401k 2015 max contribution limits, it is also important to note that the deadline for election of the contribution type you prefer to make is the 31st of December of the current year while the actual contribution can be made until the next tax filing period of the following year.

Why choose the Participant-Only 401 k?

There are numerous advantages when you establish the Owner-Only 401k aside from the high Solo 401k 2015 max contribution limits. For instance, you can have total control and access over your retirement savings through the Checkbook Control feature of a self directed Solo 401k plan. Using your money on valid transactions and investments is as easy as wiring funds or writing a check. Depending on your plan provider, you can also enjoy the401 k loan privilege in case you urgently need financial assistance. You pay a minimal Premium Rate + 1% interest in a span of 5 years and at least on a quarterly basis.

With the Solo 401k 2015 max contribution limits that are 10 times higher than IRA plans, you can also enjoy tax freedom if you roll over to the Roth 401k sub account.

It makes wise financial sense to invest on the right money-making ventures right here, right now. The highest Solo 401k 2015 max contribution limits show you why this type of retirement plan is where your hard-earned money should go.

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