Solo 401(k)

You own the company and you're self-employed.

You might wanna look at a Solo 401k because in that you can, with the catch-up provision, you can do $80,000 in a Solo 401k.

So if you've, if you're self-employed, you've had a really good year, you need to work with somebody who can talk to you about either a Solo 401k or a SEP IRA, S-E-P IRA.

Okay.

Well, if you're still working, if you're a pre-retiree, Tom, uh, you know, obviously just check the little things too, right?

And that goes for people that are self-employed as well.

We didn't really talk about that, but if someone wants to set up their own plan as an individual employee, you know sole proprietor or business owner there's a lot of different options that people can have without going through the big you know master document of setting up a 401k plan design so with that thank you i'm going to interrupt you go right ahead you brought that up

so it's called a solo 401k it is and so um very easy for you to create and um to manage so again this is It can

give people a tremendous amount of flexibility and opportunity to not only save in tax deferred, but also Roth.

Right.

There's a potential tax to the IRA that 401ks are exempt from that specific UDFI portion of UBIT.

So there's some benefits for real estate investors to have a the solo 401 product versus an IRA.

There's the benefit of being able to make more contributions.

So if you're somebody that hasn't got your retirement account going and you're self-employed and you fit that box where you don't have other employees, W2 employees that is, you can contribute a lot more to it and there's a lot more flexibility.

And just to use myself as an example, I have one of these solo 401k plans that our company has.

I have a bank account that I use for like notes and trustees.

I have a brokerage account that I have set up at Schwab just because I knew Schwab's platform that I have traditional securities and stocks mostly in mine.

Because you could have, for instance, if you're in the real estate industry and you're a broker, you could have licensed agents who are able to be 1099 and not W-2.

We are happy to have you in our contestant pool.

Moving on to our next contestant, we have...

Solo 401k.

How are you doing

today? Sarah, why save a little when you can save a lot? I like to describe myself as very ambitious.

I'm Mr.

Steady, but I'm not flashy.

I'm not like that old solo 401k over there.

I reached out to him.

Actually, I should back up again.

I started a solo 401k with Sense Financial through Dimitri in 2014 when I got my real estate license.

So I met him through that real estate company he was working for.

He branched off from there in 2010, started Sense Financial.

I went to Sense Financial in 2014, started the solo 401k because now I was self-employed.

I could qualify for one.

And then I didn't really, we didn't have a lot of communication for several years.