Fit
Who it is for
- Self-employed people and 1099 professionals with earned business income.
- Real-estate agents, brokers and investors running their own business.
- Consultants, independent contractors and owner-only service businesses.
- Owner-only businesses where a spouse also works in the business.
Eligibility is subject to review. Employee, controlled-group and affiliated-service-group facts can change the answer.
You are both the employee and the employer
In a one-participant plan the owner may contribute as the employee, through elective deferrals, and as the employer, through a profit-sharing type contribution. Both parts count toward one combined annual additions limit, and the employer portion is calculated from your compensation as defined by the plan and IRS rules.
2026 figures
How the 2026 limits fit together
Your own limit depends on age, compensation and the plan's calculations. These are ceilings, not targets.
Contribution breakdown
- Employee elective deferrals$24,500
Shared across all of your 401(k)/403(b) plans.
- Employer contribution (balance of the limit)up to $72,000 combined
Employee plus employer annual additions are capped at $72,000 for 2026, before catch-up.
- Catch-up, eligible participants age 50+$8,000
- Higher catch-up, eligible participants ages 60–63$11,250
The ages 60–63 amount applies instead of, not in addition to, the general age-50 catch-up for those who qualify.
Last reviewed September 2026. Figures are from the IRS and depend on your individual facts. See the IRS 2026 limits.
Traditional and Roth features
Plans may be written to allow pre-tax deferrals, designated Roth deferrals or both. Roth deferrals are made after tax and are subject to their own distribution rules. Which mix suits you is a tax question for your adviser.
Participant loans
Where the plan document includes a loan provision, loans are generally limited to the lesser of $50,000 or 50% of the vested account balance, with a written note, interest and a repayment schedule. Missed payments can create a taxable deemed distribution.
Eligible rollovers
Subject to plan terms, a Solo 401(k) may accept rollovers from:
- A traditional IRA or SEP IRA
- A SIMPLE IRA after the required participation period
- A former employer's 401(k), 403(b) or governmental 457(b) plan
- A Roth IRA cannot be rolled into a 401(k) plan.
Timing depends on the releasing institution. We provide instructions and coordination help; we do not move your money for you.
Alternative investments
Where the plan document permits and the bank or custodian supports it, plan assets may include real estate, private lending, private companies and funds, precious metals, conventional market assets and, in some cases, digital assets.
Prohibited-transaction rules restrict dealings between the plan and disqualified persons, including you, close family members and entities you control. A prohibited transaction can disqualify the plan and create taxes and penalties. Review any planned transaction with your own tax or legal adviser before it happens. All investing involves risk, including loss of principal.
Employees and related businesses
A one-participant plan is designed for a business with no eligible common-law employees other than the owner and a spouse working in the business. Controlled- group and affiliated-service-group rules can combine separate companies you own or control, which may bring their employees into the coverage picture. If you own part of another business, or expect to hire, that should be reviewed first.
Form 5500-EZ basics
A one-participant plan generally must file Form 5500-EZ once plan assets reach $250,000 or more at the end of the plan year, and a final return can be required when the plan is terminated. The filing responsibility stays with the plan sponsor. We provide reminders and education; we do not prepare or file returns.
Educational comparison
Solo 401(k), SEP IRA, SIMPLE IRA and IRA
Different structures suit different businesses. This table is educational and does not identify a best choice for you.
| Feature | Solo 401(k) | SEP IRA | SIMPLE IRA | Traditional / Roth IRA |
|---|---|---|---|---|
| May fit | Owner-only businesses with no eligible employees | Businesses that want employer-only contributions | Small employers with staff who want a simple plan | Individuals saving outside a business plan |
| 2026 contribution ceiling | Up to $72,000 in annual additions, before catch-up | Up to $72,000, employer contributions only | $17,600 employee deferral plus required employer contributions | $7,500 |
| Employee deferrals | Yes, up to $24,500 | No | Yes | Not applicable |
| Roth feature | Available where the plan document provides for it | Available in some arrangements | Available in some arrangements | Roth IRA, subject to income limits |
| Participant loans | Permitted where the plan includes a loan provision | No | No | No |
| Alternative assets | Possible when the plan and institution allow | Possible with a self-directed custodian | Possible with a self-directed custodian | Possible with a self-directed custodian |
| Annual filing | Form 5500-EZ generally at $250,000 in assets | Generally none for the employer | Generally none for the employer | None |
Figures are 2026 IRS amounts and are subject to eligibility, compensation and plan terms. Source: IRS.
Last reviewed September 2026. Figures are from the IRS and depend on your individual facts. See the IRS 2026 limits.
Engagement
Exactly what our setup includes
Included
- Customized plan document package
- Traditional and Roth provisions where selected
- Participant-loan provision where selected
- Rollover and account-opening instructions
- Initial implementation meeting
- Access to ongoing support
Not included
- Investment selection or recommendations
- Legal, tax or accounting advice
- Custody of plan assets
- Preparation or filing of your tax returns
- Any guarantee of tax or investment outcomes
Solo 401(k) Plan Setup
Starting at $1,200 one time
Plan document package, implementation assistance and your initial working session.
Ongoing Annual Support
$200 per year
Continued administrative support, plan-document upkeep and educational guidance.
Plan Reinstatement
$250 when applicable
For plans that lapsed out of ongoing support and need to be brought back current.
Prices shown are published Survival 401K service fees. State and government filing fees, registered-agent renewals, custodian, bank, payroll, legal, CPA, investment and lender charges are separate where applicable, and government fees can change.
Survival 401K provides plan-document setup, implementation assistance, education and ongoing administrative support. We are not a bank, custodian, registered investment adviser, law firm, CPA firm, lender or fiduciary.