For many, the last 46 days of 2017 will be filled with shopping, giving, returning and exchanging. Others will spend the next month and a half fighting off extra pounds from a myriad of holiday parties. For some forward-looking folks, however, it will be a time of contributing… to a 401(k).
Business owners and highly compensated individuals can make large year-end deferrals into a 401(k). Now is the time to plan for that contribution. With less than seven weeks to go until 2018, you don’t want those tax advantages to slip away for another year.
If this business owner is you, then fa la la! ‘Tis the season to establish a Solo 401(k). These plans are extremely affordable and provide the opportunity to put away ERISA maximums—$54,000 or $60,000 for those ages 50 or older.
While Solo 401(k) plans are designed specifically for employers with no full-time employees other than the business owner(s) and their spouse(s), they can serve as effective retirement planning tools that can also reduce 2017 taxes.
If 2017 has been a good year for your business, then join the ranks of those making strategic year-end contributions to their retirement. Take action while you still have time.
* “Time flies” ~ Virgil, Georgics
Actify Investor Retirements, LLC dba Corporate Payroll Services. Investment advisory services provided by Actify Investor Retirements, LLC. Actify Investor Retirements, LLC is a Registered Investment Advisor. Information presented is for instructional purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and unless otherwise stated, are not guaranteed. Be sure first to consult with a qualified financial advisor and/or tax professional before implementing any strategy discussed herein.