BACK

Who can help me set up and administer a plan?

Here's some advice to consider as you shop for a plan provider:

  • Check out investment options. Unlike corporate 401(k)s, which often offer dozens of funds from multiple fund families, many solo 401(k) providers restrict you to one fund group. You'll find the widest range of investment choices at fund "supermarkets" like Schwab.
  • Keep a lid on costs. Fees vary widely among 401(k) providers. Set-up charges and annual fees depend on the amount of advice offered. Many firms will waive some expenses for larger accounts.
  • Consider your borrowing needs. Although the law allows you to borrow as much as 50% of the assets in your individual 401(k) (up to a loan limit of $50,000), not every provider offers a loan option. While it's certainly not advisable to raid your retirement plan for cash, you may want the financial safety net that a loan feature provides.

To jump-start your search, go to 401khelpcenter.com, which lists individual 401(k) providers. Or ask your accountant or financial adviser for plan recommendations. To top of page

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer.

Morningstar: © 2014 Morningstar, Inc. All Rights Reserved.

Factset: FactSet Research Systems Inc. 2014. All rights reserved.

Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved.

Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor’s Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2014 and/or its affiliates.