Form 5500 Plan Characteristic Codes

[jsmith1985]

For a solo or self employed 401k plan with only 1 participant (sole proprietor), what are the Plan Characteristic Codes that need to be entered in the form?

Seems out of - 2E, 2J, 3B, 3D, 3E

Any thoughts?

Thanks,

[Bird]

Probably not 3E - A one-participant plan that satisfies minimum coverage requirements of Code section 410(b) only when combined with another plan of the employer.

[jsmith1985]

thanks for the comment. does make sense.

[jsmith1985]

Vanguard documentation sugests using - 2E, 2J and 3D for individual 401k plans.

why not 3B as well? Or is 3B only for Self-Employed i.e. Sole-Proprietor (which I am).

[Bird]

Yes, 3B is for Self-Employed; generally sole prop or partner.

[jsmith1985]

ok, then for sole proprietor/self-employed 1-participant plan, the following codes seem accurate. thanks everyone for their assistance.

2E, 2J, 3B, 3D