401(k) for a foreign company?

[gdlfa]

Hi,

I was wondering if anyone knew whether a 401(k) could be set up for a US satellite office of a foreign company? There is only one US employee, and he is not the owner of the company so I believe a solo 401(k) isn't an option.

Thank you!

[Griswold]

Check out IRC 406.

[gdlfa]

Check out IRC 406.

Thanks, I just did, but it sounds like 406 covers foreign affiliates of an American employer? My question is about an American affiliate of a foreign employer. Please correct me if I am wrong.