by
Garrett Clark
Retirement Planning
What Is a Solo 401(k)?
When you’re self-employed, building your own future means wearing a lot of hats—business owner, marketer, accountant… and yes, retirement planner. That’s where the Solo 401(k) comes in. It's a powerful, flexible retirement savings plan designed specifically for business owners with no full-time employees (other than a spouse). Whether you’re a freelancer, contractor, or running your own LLC, the Solo 401(k) could be your best-kept financial secret.
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Solo 401(k) Basics
A Solo 401(k), also known as an individual 401(k) or self-employed 401(k), is a retirement plan that offers the same features as a traditional 401(k), but it's tailored for one-person businesses. You get to contribute in two roles:
As the employee, you can contribute up to 100% of your earned income, up to the annual limit ($23,000 for 2025, or $30,500 if you're 50 or older).
As the employer, you can also contribute up to 25% of your net self-employment income.
Combined, this allows for up to $69,000 in total contributions for 2025 (or $76,500 if you're 50+). That’s a massive opportunity for tax-deferred growth.
Why Choose a Solo 401(k)?
Higher contribution limits than SEP IRAs or traditional IRAs
Tax advantages: Contributions may be tax-deductible, lowering your taxable income
Roth option: Some Solo 401(k)s offer a Roth feature for after-tax contributions
Loan feature: Many Solo 401(k)s allow you to borrow up to $50,000 or 50% of your balance
Checkbook control: Self-directed versions let you invest in alternative assets like real estate or precious metals
No corporate red tape: You control the plan, not a big employer or HR department
Who Qualifies?
You must have self-employment income (freelancing, consulting, small business income, etc.)
You can’t have any full-time employees, except for a spouse who works in the business
Even if you have a side hustle while working a traditional job, you may still be eligible based on your side income.
Solo 401(k) Basics
A Solo 401(k), also known as an individual 401(k) or self-employed 401(k), is a retirement plan that offers the same features as a traditional 401(k), but it's tailored for one-person businesses. You get to contribute in two roles:
As the employee, you can contribute up to 100% of your earned income, up to the annual limit ($23,000 for 2025, or $30,500 if you're 50 or older).
As the employer, you can also contribute up to 25% of your net self-employment income.
Combined, this allows for up to $69,000 in total contributions for 2025 (or $76,500 if you're 50+). That’s a massive opportunity for tax-deferred growth.
Why Choose a Solo 401(k)?
Higher contribution limits than SEP IRAs or traditional IRAs
Tax advantages: Contributions may be tax-deductible, lowering your taxable income
Roth option: Some Solo 401(k)s offer a Roth feature for after-tax contributions
Loan feature: Many Solo 401(k)s allow you to borrow up to $50,000 or 50% of your balance
Checkbook control: Self-directed versions let you invest in alternative assets like real estate or precious metals
No corporate red tape: You control the plan, not a big employer or HR department
Who Qualifies?
You must have self-employment income (freelancing, consulting, small business income, etc.)
You can’t have any full-time employees, except for a spouse who works in the business
Even if you have a side hustle while working a traditional job, you may still be eligible based on your side income.
“A Solo 401(k) isn’t just for retirement, it’s a roadmap to freedom, built one smart decision at a time.”
Garrett Clark
Director of Sales
When Should You Set It Up?
To make contributions for the current tax year, you must set up the Solo 401(k) by December 31st. Contributions can usually be made up until the tax filing deadline the following year (including extensions).
Real-World Example
Let’s say you’re a 40-year-old self-employed graphic designer making $100,000 in net income. You could contribute:
$23,000 as an employee
$25,000 as an employer (25% of $100,000)
That’s $48,000 in total tax-deferred contributions—nearly half your income invested in your future and cutting your taxable income dramatically.
Is It Right for You?
If you’re self-employed and serious about saving for retirement, the Solo 401(k) is one of the most powerful tools available. It’s especially attractive for high earners, side hustlers, and small business owners who want to take control of their financial future.
Take the Next Step:
Don't wait until it’s too late. Whether you're starting a side business or scaling your solo empire, setting up a Solo 401(k) can help you build lasting wealth—and potentially retire earlier than you thought possible.
Visit survival401k.com to learn more.
When Should You Set It Up?
To make contributions for the current tax year, you must set up the Solo 401(k) by December 31st. Contributions can usually be made up until the tax filing deadline the following year (including extensions).
Real-World Example
Let’s say you’re a 40-year-old self-employed graphic designer making $100,000 in net income. You could contribute:
$23,000 as an employee
$25,000 as an employer (25% of $100,000)
That’s $48,000 in total tax-deferred contributions—nearly half your income invested in your future and cutting your taxable income dramatically.
Is It Right for You?
If you’re self-employed and serious about saving for retirement, the Solo 401(k) is one of the most powerful tools available. It’s especially attractive for high earners, side hustlers, and small business owners who want to take control of their financial future.
Take the Next Step:
Don't wait until it’s too late. Whether you're starting a side business or scaling your solo empire, setting up a Solo 401(k) can help you build lasting wealth—and potentially retire earlier than you thought possible.
Visit survival401k.com to learn more.
Solo 401(k) Basics
A Solo 401(k), also known as an individual 401(k) or self-employed 401(k), is a retirement plan that offers the same features as a traditional 401(k), but it's tailored for one-person businesses. You get to contribute in two roles:
As the employee, you can contribute up to 100% of your earned income, up to the annual limit ($23,000 for 2025, or $30,500 if you're 50 or older).
As the employer, you can also contribute up to 25% of your net self-employment income.
Combined, this allows for up to $69,000 in total contributions for 2025 (or $76,500 if you're 50+). That’s a massive opportunity for tax-deferred growth.
Why Choose a Solo 401(k)?
Higher contribution limits than SEP IRAs or traditional IRAs
Tax advantages: Contributions may be tax-deductible, lowering your taxable income
Roth option: Some Solo 401(k)s offer a Roth feature for after-tax contributions
Loan feature: Many Solo 401(k)s allow you to borrow up to $50,000 or 50% of your balance
Checkbook control: Self-directed versions let you invest in alternative assets like real estate or precious metals
No corporate red tape: You control the plan, not a big employer or HR department
Who Qualifies?
You must have self-employment income (freelancing, consulting, small business income, etc.)
You can’t have any full-time employees, except for a spouse who works in the business
Even if you have a side hustle while working a traditional job, you may still be eligible based on your side income.
“A Solo 401(k) isn’t just for retirement, it’s a roadmap to freedom, built one smart decision at a time.”
Garrett Clark
Director of Sales
When Should You Set It Up?
To make contributions for the current tax year, you must set up the Solo 401(k) by December 31st. Contributions can usually be made up until the tax filing deadline the following year (including extensions).
Real-World Example
Let’s say you’re a 40-year-old self-employed graphic designer making $100,000 in net income. You could contribute:
$23,000 as an employee
$25,000 as an employer (25% of $100,000)
That’s $48,000 in total tax-deferred contributions—nearly half your income invested in your future and cutting your taxable income dramatically.
Is It Right for You?
If you’re self-employed and serious about saving for retirement, the Solo 401(k) is one of the most powerful tools available. It’s especially attractive for high earners, side hustlers, and small business owners who want to take control of their financial future.
Take the Next Step:
Don't wait until it’s too late. Whether you're starting a side business or scaling your solo empire, setting up a Solo 401(k) can help you build lasting wealth—and potentially retire earlier than you thought possible.
Visit survival401k.com to learn more.