metsfan026 Posted September 2, 2021 Share Posted September 2, 2021 This one I'm pretty sure is easy, but I just wanted to make 100% sure since someone asked me. Can a sole prop, schedule-C have a solo-k AND cash balance plan? Link to comment Share on other sites More sharing options...
shERPA Posted September 2, 2021 Share Posted September 2, 2021 Yes. Mike Preston and Bill Presson 1 1 I carry stuff uphill for others who get all the glory. Link to comment Share on other sites More sharing options...
metsfan026 Posted September 2, 2021 Author Share Posted September 2, 2021 What I thought, just wanted to confirm. Thanks! Link to comment Share on other sites More sharing options...
Mike Preston Posted September 2, 2021 Share Posted September 2, 2021 But be aware that it is highly likely that the employer contribution to the K plan must be 6% or less of net compensation or else the plan sponsor will run afoul of 404(a)(7). Link to comment Share on other sites More sharing options...
CuseFan Posted September 2, 2021 Share Posted September 2, 2021 Exactly - we do these all the time: deferrals, catch-up if eligible, 6% PS (be careful to use correct "compensation") and max CB. And if they have the income to support it, do some voluntary after-tax up to the DC 415 limit and then in-plan conversion to Roth. Kenneth M. Prell, CEBS, ERPA Vice President, BPAS Actuarial & Pension Services kprell@bpas.com Link to comment Share on other sites More sharing options...
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