Top Reasons to Upgrade Your TD Ameritrade Solo 401k to a Self-Directed Solo 401k

Please check out our webinar as we discuss the top reasons why clients transfer or switch change their “free” solo 401k at TD Ameritrade to a self-directed Solo 401k with us including

  • The process
  • The costs
  • The ongoing compliance support that we provide.

Change TD Ameritrade to Self-directed Solo 401k

  • Reasons to Switch
    • Loans
    • Mega Backdoor Roth
    • Checkbook Control, Alternative Investments & More Reasons
    • Full Compliance Support
  • How to Switch
  • Get more info

TD Ameritrade to Self-directed Solo 401k

How to Change Plan Providers:
TD Ameritrade to Self-directed Solo 401k

  • Process:
    • New Solo 401k Plan Documents (vs. TD Ameritrade “Do it yourself/DIY” plan documents)
      • List the original plan effective date
    • Obtain 401K EIN
    • Close Existing Account and Open New Account(s)
      • Pre-Tax, Roth and Voluntary After-Tax
      • Spouses
    • TD Ameritrade Transfer Form
    • Not Required: No Final 5500-EZ or 1099-r
  • Additional Considerations:
  • If assets exceed $250K:
    • Have you been filing Form 5500-EZ?
    • If not, need to file under the IRS Correction Program
  • Do you wish to keep investments (in-kind transfer)?
    • Confirm that new brokerage account provider offers those funds
  • Are there multiple participants (e.g. spouses)?
    • Segregate the funds and transfer into separate sub-accounts
  • Consider filing an extension to ensure plenty of time to make contributions

Self-directed Solo 401k –
Compliance Support

  • Form 5500-ez
    • If your solo 401k plan balance exceeded $250,000 as of December 31, a Form 5500-EZ is due to the IRS by July 31. 
  • 1099-R
    • Distributions, Rollover, In-Plan Conversions
  • Solo 401k IRS Required Plan Updates
    • IRS-required plan updates with the next required update occurring in 2020 or 2021 once the IRS approves the industry wide update
  • Contribution Calculation
  • Loan Document Preparation
  • Alternative Investments
  • Account Setup Bank, Brokerage, Crypto exchange, etc.

Use Existing TD Ameritrade Solo 401k Brokerage Accounts QUESTION:

If we open a solo 401k with your company, can we use the existing brokerage account that we have at TD Ameritrade for the solo 401k?

Unfortunately, TD Ameritrade will require new brokerage accounts opened at TD Ameritrade for the solo 401k that we offer. 
 The existing solo 401k with TD Ameritrade will then need to get transferred internally to the new solo 401k that we offer. 
This is a TD Ameritrade requirement. It is not our requirement.

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 >>

Post a Comment

Your email is never published nor shared. Required fields are marked *

You may use these HTML tags and attributes <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>