QUESTION: Thank you for taking the time to speak with me today. Of course, I am a lay person, so I have to read much about this solo 401k plan. Can I use my initials to set up the plan, i.e., (TLW Trust or WLT Trust, or a separate company name such as Pago Nature Trust. If I used a fictitious company name, would I need to register it, or do you assist with this as well? I will apply for the Tax ID once I resolve the business name, and I will contact you to assist with setting up the solo 401k account and advise where possible.
Thank you. Tanya L in Maryland
ANSWER: Assuming you are self-employed with no full-time employees you would most likely qualify to setup a solo 401k. Further, yes the solo 401k may be titled/named pretty much any name you wish. Using your initials and then adding an additional word followed by the the word “Trust” at the end of the name suffices. The word “Trust” instead of 401k is added after the main part of the name for anonymity and for ease of opening the solo 401k’s bank account(s).
Lastly, the name assigned to the solo 401k is not registered per se, but rather recorded with the IRS during the Solo 401k EIN establishment process. We will gladly walk you through the process of setting up the EIN for the solo 401k once you are ready to set up a solo 401k.