Retirement Solutions for Solo Entrepreneurs

A powerful retirement plan for self-employed individuals with no employees other than a spouse. It allows for both employee and employer contributions, often resulting in significantly higher total contribution limits compared to traditional IRAs, making it ideal for high-income solo entrepreneurs.

An easy-to-establish and maintain retirement plan that allows business owners to contribute up to 25% of net earnings or $69,000 (for 2024). While contribution limits are high, it lacks the ability to make employee deferrals, making it best for those who prefer simplicity and consistent annual contributions.

Designed for small businesses with 100 or fewer employees who receive at least $5,000 in compensation. Although often used by small teams, solo entrepreneurs can utilize it, though it requires employer matching contributions or non-elective contributions, which may reduce flexibility compared to a Solo 401(k).

A foundational retirement account offering tax-deductible contributions and tax-deferred growth. For solo entrepreneurs with income below certain thresholds, this provides a straightforward, low-cost way to save for retirement, though contribution limits are much lower than employer-sponsored plans.

Offers tax-free growth and tax-free withdrawals in retirement, funded with after-tax dollars. Solo entrepreneurs with modified adjusted gross income below the phase-out limits benefit from this tax-free advantage, making it an excellent complement to tax-deferred plans like SEP IRAs.

A high-limit retirement plan that allows for massive contributions, often exceeding $200,000 annually, based on a formula that accounts for age and income. Best suited for established solo entrepreneurs with high current earnings who want to catch up on retirement savings quickly and reduce current taxable income significantly.

While primarily for healthcare costs, the HSA is a triple-tax-advantaged retirement vehicle for self-employed individuals. Contributions are tax-deductible, growth is tax-free, and withdrawals for qualified medical expenses are tax-free, effectively serving as an additional retirement savings bucket.

Available if the solo entrepreneur has a spouse who is a W-2 employee of the business, allowing for Roth deferrals. This provides tax-free growth and withdrawals, offering a diversification of tax strategies alongside a traditional Solo 401(k) structure.

If the solo entrepreneur works for a government entity or non-profit organization as an independent contractor or owner, this plan offers deferral limits similar to 401(k)s with no early withdrawal penalties. It is a specialized option with strict eligibility requirements based on employer type.

An IRA that allows investment in alternative assets such as real estate, precious metals, or private equity. It provides greater control and diversification beyond stocks and bonds, appealing to solo entrepreneurs with specialized investment knowledge or specific asset preferences.

Combines the high contribution limits of a Solo 401(k) with the tax-free benefits of a Roth account. Business owners can designate contributions as Roth, allowing for tax-free withdrawals in retirement, which is beneficial for those expecting to be in a higher tax bracket later in life.

Specialized financial institutions that design, establish, and administer Cash Balance Plans for business owners. These services handle the complex actuarial calculations and compliance requirements, ensuring that high-income solo entrepreneurs can maximize their defined benefit contributions legally and effectively.

A comprehensive financial platform offering a wide range of retirement products for solo entrepreneurs, including Solo 401(k)s, SEP IRAs, and Traditional IRAs. Known for its extensive research tools, low fees, and robust customer support tailored to self-employed individuals.

Renowned for low-cost index funds and transparent fee structures, Vanguard offers robust retirement planning tools for self-employed individuals. Their platform supports various plan types, making it a strong choice for entrepreneurs focused on passive, long-term investment strategies.

Charles Schwab provides competitive retirement solutions for solo business owners, including high-yield cash management features within IRA accounts. Their platform is user-friendly and offers a vast selection of no-transaction-fee mutual funds and ETFs for diversified portfolio construction.

An automated investment platform that simplifies retirement saving for solo entrepreneurs by managing portfolios based on goals and risk tolerance. It offers easy integration with business accounts and automated tax-loss harvesting, ideal for those who prefer a hands-off investment approach.

Offers a suite of retirement accounts and trading platforms suitable for self-employed individuals. E*TRADE provides advanced trading tools and educational resources, catering to entrepreneurs who want to actively manage their retirement investments alongside their business operations.

Provides socially conscious, automated investment portfolios for self-employed individuals and small business owners. With no management fees and access to financial planning advice, it appeals to younger entrepreneurs looking for a modern, streamlined approach to retirement savings.

A financial management platform that offers retirement planning and investment tracking for solo entrepreneurs. It aggregates all financial accounts in one dashboard, providing clear insights into net worth and retirement readiness, aiding in comprehensive financial decision-making.

Traditionally focused on academia and non-profits, TIAA now offers retirement solutions for self-employed professionals in various sectors. Known for stable, low-risk annuity options and robust retirement income planning, it is suitable for those prioritizing capital preservation and steady income.