Learn the power of a Solo 401k for self-employed Realtors, Real Estate Agents, and Real Estate Brokers including:
- Mega Backdoor Roth Solo 401k
- Real Estate and Alternative Investments
- Solo 401k Loans
Can a Realtor Open a Solo 401k?
Yes, realtors, real estate agents, and real estate brokers who are self-employed with no full-time employees are eligible to set up a solo 401(k).
What is the solo 401(k) setup process?
We draft the Solo 401k establishment documents within the same day or 24 business hours of submitting our online application and payment.
We will then draft the documents to open accounts at the bank or brokerage of choice where the solo 401k owner will have direct checkbook control. We have helped clients open accounts at 100s of different banks and many brokerages such as Fidelity and Schwab.
For clients who wish to rollover funds from existing retirement accounts such as a former employer plan and/or non-Roth IRA, we will leverage our experience helping clients transfer funds from 100s of different retirement plan administrators including helping clients fill out the applicable transfer paperwork, etc.
What compliance support does My Solo 401k provide for the Solo 401k?
We provide all of the ongoing compliance support for the Solo 401(k) including the following among other Solo 401k compliance support services:
- Form 5500-EZ: Form 5500-EZ is an annual tax return that must be filed by all retirement plans with assets over $250,000. For clients who need it, we prepare this form as an optional free service.
- 1099-R: Form 1099-R is a tax form that is used to report distributions and conversions. For clients who need it, we prepare this form as an optional free service.
- Solo 401(k) loan documents: For clients who need to take a loan from their solo 401(k), we prepare the required loan documents including drafting the loan agreement, promissory note, and other necessary paperwork.
What are some of the top benefits of a Solo 401k for Realtors?
Overall, a solo 401(k) can be a great retirement savings option for realtors. It offers high contribution limits, the ability to invest in real estate and the ability to take a loan:
- High contribution limits: For 2023, realtors can contribute up to $66,000 (or $73,500 if age 50 or older) to their solo 401(k) plan. This is the highest contribution limit for any defined contribution plan for self-employed persons.
- Ability to invest in real estate: Real estate can be a great investment for realtors, and a solo 401(k) plan allows you to invest in real estate tax-deferred (or tax-free if made with Roth Solo 401k funds).
- Ability to take a solo 401(k) loan: If you need access to cash, you can take a loan from your solo 401(k) plan. This can be helpful if you need to purchase a new investment property in your name personally, cover unexpected expenses, or consolidate debt.
Deep Dive Webinar: The Power of the Solo 401k For Realtors, Real Estate Agents, & Real Estate Brokers
To learn more about the benefits of a Solo 401k for self-employed Realtors, Real Estate Agents, and Real Estate Brokers, please check out the deep dive webinar at the link below including:
- How Much Income Do I Need to Maximize Solo 401k Contributions?
- Mega Backdoor Roth Solo 401k
- Do’s & Don’ts of Real Estate Solo 401k Investing
