Self-employed Solo 401k FAQ- Do I need to pay taxes on funds I rollover from my IRA to my solo 401k?

Please check out this good question from our Daily Live Zoom call. Subscribe to our YouTube Channel to get notifications of our Daily FAQs.

Self-employed Solo 401k Question: I am looking to set up a Solo 401k in order to invest in real estate.  If I rollover funds from my rollover IRA to the Solo 401k, will I need to pay taxes on the amounts rolled over?

Great question!

No – the funds will be transferred as a non-taxable direct rollover (i.e. the transfer is reportable but not taxable).

One of the most popular ways to fund the solo 401(k) is to rollover money from a pre-existing retirement account like a former employer plan or non-Roth IRA.

As part of our Solo 401k establishment process, we guide our clients through the transfer process: whether that’s preparing transfer paperwork, providing online instructions etc.

We have deep experience having helped 1000s of clients rollover funds from 100s of different financial institutions (e.g. IRA at Vanguard, former employer plan at Fidelity, etc.) and we can leverage that experience to make the process easy for our clients.

Tags: , , , ,

About George Blower

I have the privilege of educating our clients about our products and services so that they can make informed and confident decisions about their financial future. Prior to joining My Solo 401k Financial, I served as the general counsel for a subsidiary of a Fortune 500 financial services company. Learn more about George Blower and My Solo 401k Financial >>


  • Popular Video

  • ROBS 401k Funding Process

  • Solo 401k Contributions Including Mega

  • Checkbook IRA LLC

  • About MySolo401k

    We help our clients take control of their retirement money. Our products and services provide our clients the freedom to invest their retirement savings in their own business as well as alternative investments such as real estate, private companies, promissory notes, precious metals, tax liens and equities.
    Learn more

    Connect with us

  • We’re here to help.

    Call: 800-489-7571


    8:00 am - 4:00 pm PT

    Why us?