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Solo 401(k) Annual Compliance Service

Solo 401(k) Annual Compliance Service
4 Minute Read

IRA Financial has over 17,000 clients who have chosen us to help set up and administer their Self-Directed Solo 401(k) plan. This affords them the ability to take advantage of our Solo 401(k) Annual Compliance Service. This allows us to ensure that your Solo 401(k) plan always remains in IRS compliance. For a small annual fee, you get the peace of mind knowing your plan will remain in good standing. The only thing you need to worry about is picking the right assets to invest in!

Why You Need It

The IRS requires every 401(k) plan to have a prototype document sponsor. If you are a Solo 401(k) client of ours, IRA Financial serves as the IRS approved prototype document sponsor for your plan.

As trustee of your Solo 401(k) plan, you have a fiduciary responsibility to make sure your plan documents are current and up to date. Each year or so, the IRS updates the plan documents with new provisions that reflect changes in the law, which, in 2020, includes new COVID-19 law changes.

By having outdated plan documents, you run the risk of the IRS not respecting your 401(k) plan contributions and investments and potentially triggering a taxable event or plan disqualification in an audit.

Of course, we do not want any of our clients to lose the tax advantages of the Solo 401(k) plan. Afterall, you made the decision, as a self-employed individual, to proactively start and maintain a retirement plan. Our Solo 401(k) Annual Compliance Service will ensure that everything is up to date, including any changes in the law with respect to the plan.

Solo 401(k) Annual Compliance Service – What Do You Get?

Our annual compliance service allows you to ensure your Solo 401(k) plan remains within the rules. Our knowledgeable staff of tax attorneys and ERISA experts are here to help you navigate the complexities of the IRS Code and other laws.

Here are the main aspects of our service:

  • Solo 401(k) plan document updates & amendments as required by law (Including COVID-19 updates)
  • One-on-one tax support on Solo 401(k) Plan from in-house tax professionals and attorneys
  • Individualized consultation on the Prohibited Transaction & UBTI Tax Rules
  • Assistance with preparation of IRS Form 5500-EZ
  • Assistance with filing IRS Form 1099-R
  • Customized support with Solo 401(k) Plan contribution rules
  • Free access to our bestselling Solo 401(k) books
  • Free access to our exclusive webinars, podcasts, newsletters, Forbes articles, etc.

You get all of this annually for one low price. Our compliance service is always optional! As good as we think it is, not everyone needs it. The service is intended for those who don’t fully understand the laws of the Solo 401(k) plan. If you are well-versed in tax laws, this service is probably not needed. Therefore, there’s no reason to sign up for it. However, if you are like millions of people who are dumbfounded by these rules, our compliance team will do everything for you! All you need to do is sign up!

Let IRA Financial Help You with Your Solo 401(k)!

As mentioned above, we are here to keep your Solo 401(k) plan in total IRS compliance. We can help you navigate the complicated prohibited transaction rules. When you invest in something prohibited by the IRS, it may end up costing you your plan due to disqualification. Other times, the prohibited investment may have to be distributed, with taxes due. We will keep you up to date on any new rules and laws set forth by the government. Even the smallest change could affect you.

Worried about or facing an IRS audit? We can help your through that difficult time. By utilizing the Solo 401(k) Annual Compliance Service, we’ll be there every step of the way and provide the needed documents. We’ll also help complete and file necessary IRS forms. These include the information form 5500-EZ and the 1099-R. The latter is needed once your 401(k) balance reaches $250,000 in total assets.

Remember, knowledge is power! We will help educate you on all Solo 401(k) plan rules. Further, we’ll make sure you have the most tax-efficient retirement plan you can have. Of course, retirement planning is a team effort. Each individual must set his or her own goals when it comes to saving and investing. Your risk tolerance, age, and finances all play a major role in how one invests. While we do not offer investment advice, we can determine if your investment is allowed by the IRS. It’s up to you to find the right investments for yourself.

Get Started Today!

If you are already a Solo 401(k) client at IRA Financial, all you need to do is sign up for this service. Unlike other companies, we will never force you to pay for these things if you don’t want to. We won’t bundle it into your plan. Again, the Solo 401(k) Annual Compliance Service is completely optional. However, we find clients that take advantage of the service to be better prepared for retirement.

If you are not already a client, what are you waiting for? If you’re stuck paying for needless services that you don’t ever use with your current provider, maybe it’s time for a change. Are you self-employed and don’t already invest with a Solo 401(k) plan? Now’s the time to start doing so. It’s up to you to plan ahead for your future. IRA Financial is there when you need us. We have tons of educational material at your fingertips, either through our blog, YouTube page or podcast. Our simplest goal is to make sure everyone knows their options when it comes to saving for retirement.

If you have any questions about the Solo 401(k) and the annual compliance service, including cost, please contact one of our team members at 800.472.0646. We thank you and look forward to serving you!

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[10:44 PM] Valerie Marszalek-Boik