Solo 401k for Small Business and Self Employed Traders
Put $50,000 into your trading account – Unlike an IRA, you may take loans from your i401k. Make sure to check with your tax professionals at Traders Accounting to find out the limitations and amounts that you can borrow from your i401k plan. Generally, you can borrow a maximum of $50,000 or up to 50% of the plan’s value whichever is less. You can use the borrowed funds for any purpose. Repayment is usually over a five-year period at an interest rate based on the U.S. prime rate plus 1 percent. You can make quarterly or monthly repayments and all of the payments are placed back into your retirement plan. Also, unlike the IRA, a traders 401(k) plan is exempt from the UDFI taxes (unrelated debt-financed income) generally caused by real estate investments. Additionally, we can provide you with guidance in establishing your i401k and show you how to make it part of your trading business. Just click the add-to-cart icon below to get the preliminary questionnaire form and submit it to have one of our business consultants contact you and help you get started today!
IRS CIRCULAR 230 DISCLOSURE: Pursuant to requirements imposed by the Internal Revenue Service, any tax advice contained in this communication (including any attachments) is not intended to be used, and cannot be used, for purposes of avoiding penalties imposed under the United States Internal Revenue Code or promoting, marketing or recommending to another person any tax-related matter. Please contact us directly if you wish to have formal written advice on this matter.