I was an independent contractor and opened up and contributed into my solo 401K account. I recently accepted a paying job which doesn't have a retirement plan (no contribution at all). I'm wondering if I would be able to use this new income for my solo 401K? If not, what should I do?===>>
The Solo 401(k) is unique because it only covers the business owner(s) and their spouse(s), thus, not subjecting the 401(k) plan to the complex ERISA (Employee Retirement Income Security Act of 1974) rules, which sets minimum standards for employer pension plans with non-owner employees. There is no requirement to liquidate, nor roll over the plan. You can keep it and change the investments as you see fit, but unable to make additional contributions unless it is earned income.
Can I even keep my solo 401K account now that I'm employed? I haven't given up my own business. I work a few days a week with this company and the rest of the time is dedicated to my own business. ====>You can just leave it, you don't need to terminate it.
Can I contribute into my solo 401K or must I show proof of income from my own business to be able to contribute into it? =======>I guess you can not contribute your W2 income to the solo401K; W2 income cannot go into the solo 401k. mp self employer income no contribution t o solo4-1k. you may contact your plan admin