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Forex Trading with Your Solo 401k

forex trading solo 401(k)

You can investment in FOREX trading with a Solo 401k if you are eligible for the retirement plan. Eligibility requirements are the lack of full-time employees if you are a small business owner and you generate self-employment income, which includes side gigs. 

The foreign exchange market, also known as Forex, allows individuals to exchange currencies around the world. Currency trading is one of the safest investments since fluctuations in the price of currency are very small (less than one cent per day). You can open and close positions in hours or hold them for as long as you want. Trading is done electronically, and the market is open 24 hours a day for five and a half days. It is also the largest market in the world, much bigger than the stock exchange.

FOREX Trading With a Solo 401k

A Solo 401k gives you the ability to invest in currencies at your leisure. Solo 401k plans from traditional financial institutions do not usually allow you trade currencies. They push their products on you (typically stocks, bonds, mutual funds). However, with a Checkbook Control Self-Directed Solo 401(k) plan from IRA Financial Group, you are not limited in your investment options. You have the ability to use your retirement funds any way you see fit, such as Forex trading.

A Solo 401k is perfect for sole proprietors, small businesses and independent contractors. With a “checkbook control” Solo 401k Plan you will never have to seek the consent of a custodian to make an investment or be subject to excessive custodian account fees based on account value and per transaction.

By having “checkbook control” over your retirement funds you will gain the following advantages:

Solo 401k “Checkbook Control”

You will no longer need each investment approved by the custodian of your account. Instead, all decisions are yours. To make an investment or perform Forex trading with your Solo 401(k), you can write a check and use the funds straight from your Solo 401(k) Plan bank account.

When making a Solo 401(k) real estate investment or purchasing foreign exchange with “checkbook control”, you are manager of the LLC, and as manager, you gain the ability to write a check (or wire funds) from your Solo 401(k) Plan bank account.

No Custodian Fees or Transaction Fees

The most significant cost benefit of the Solo 401(k) plan is that it does not require the participant to hire a bank or trust company to serve as trustee. In other words, there are no custodian fees or transaction fees when establishing a Solo 401(k) Plan with the IRA Financial Group. This flexibility allows the participant to serve in the trustee role. This means that all assets of the 401(k) trust are under the sole authority of the Solo 401k participant. A Solo 401(k) plan allows you to eliminate the expense and delays of an IRA custodian, enabling you to act quickly when the right investment opportunity presents itself.

Speed in Forex Trading with Solo 401k

Because you don’t have to wait on custodial consent, you can act quickly on a great investment opportunity. This enables you to act quickly when the right investment opportunity presents itself. The ability to make investments quickly is important in any market, including Forex trading.

Offset the Cost of Your Plan with a Tax Deduction

By paying for your Solo 401(k) with business funds, you are eligible to claim a deduction for the cost of the plan, including annual maintenance fees. The deduction for the cost of the Solo 401(k) Plan and ongoing maintenance will help reduce your business’s income tax liability, which will offset the cost of adopting a self-directed Solo 401(k) Plan. The retirement tax professionals at the IRA Financial Group will help you take advantage of the available business tax deduction for adopting a Solo 401(k) Plan.

Cost Effective Administration

If you are eligible for the Solo 401(k), it is easy to operate. There is generally no annual filing requirement unless your Solo 401K plan exceeds $250,000 in assets, in which case you will need to file a short information return with the IRS (Form 5500-EZ).

Get in Touch

If you want to learn more about Forex trading with your Solo 401(k), contact IRA Financial Group directly at 800-472-0646. Our certified 401(k) specialists are happy to assist you.

You can also get in touch by filling out our contact form.


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