401k Business Financing

In short, no. The purpose of the business financing 401k (aka ROBS 401k) is to finance a C-corporation using your retirement funds that you will operate as a w-2 employee. As a result, any compensation that you receive for the work performed for your ROBS 401k funded corporation needs to be paid as w-2 wages. […]

If the 401k participants takes a home equity loan, she can use the proceeds of the loan to invest in the ROBS 401k funded business. This investment would count as part of the individua’s personal stock investment in the Corporation so shares of stock would be issued to the individual. What is more, the company […]

First, you must meet a triggering event in order to take a distribution from a 401k including a ROBS 401k. Distribution triggering events include retirement age (usually age 59 1/2) and no longer working for the employer that sponsors the 401k. Regarding taking a distribution from a 401k plan and then paying back within 60 […]