The total contributed amount cannot exceed $51,000 per year.

As employer, you can contribute a further 25% of your earned income into the account.

As employee, you can defer up to 100% of your earned income into your account, up to $17,500 per year (or $23,000 if you are over age 50).

You can set up an individual 401k (also known as a one-participant or solo- 401k) plan through your bank or another financial institution in order to contribute pre-tax funds into a savings, mutual fund, or money market account of your choosing.Īs both employer and employee, you can make two kinds of contributions to your 401k account. Just because your business is a one-person operation doesn’t mean you (and your spouse) have to miss out on the benefits of saving for retirement with a 401k account. Whether you run your business alone or have a few employees at your back, there is a 401k plan available that can help you ensure that your golden years are stress-free.

However, there is one risk – not saving for retirement – that you don’t have to subject yourself to. We are not affiliated with or endorsed by any government entity or agency.īy using this site, you acknowledge that you have read and agree to the Privacy Policy and Terms & Conditions.Starting your own business as an entrepreneur puts you at significant financial and personal risks. We encourage you to shop around and explore all of your options.

Descriptions are for informational purposes only and subject to change. Possible options that may be offered include, but are not limited to, ACA-Qualified Plans, Medicare Plans, Short Term Plans, Christian/Health Sharing Plans, and Fixed Indemnity Plans. Products and services are provided exclusively by our partners, but not all offer the same plans or options.

By completing the quotes form or calling the number listed above, you will be directed to a partner that can connect you to an appropriate licensed insurance agent who can answer your questions and discuss plan options. We connect individuals with insurance providers and other affiliates (collectively, “partners”) to give you, the consumer, an opportunity to get information about insurance and connect with licensed insurance agents. | We are not an insurance agency and are not affiliated with any plan.

Caterpillar 401k your benefits resource