The incredibly powerful Solo W-2, Inc. Roth 401(k) Retirement Savings Plan with 200% employer match (funded by the revenues that you generate) lets you load your tax-deferred retirement account up to the absolute IRS limits much faster and with lower gross revenues than a typical self-employed person can. Read about the amazing Solo W-2, Inc. $81,000 advantage in the Solo W-2 Blog.

Key features of the Solo W-2, Inc. Roth 401(k) Retirement Savings Plan include:

• Automatic enrollment.
  
  
• Immediate vesting.
  
  
• Contribute in 2010 up to IRS maximum of $49,000 ($54,500 if age 50+).
  
  
• Total contributions may equal 100% of your YTD gross wage up to IRS maximum.
  
  
• Roth 401(k) option allows tax-free retirement distributions.

Accelerated Contributions
Your 401(k) account may receive combined contributions up to 100% of your YTD gross wage up to the IRS maximum. This means that, as a Solo W-2, Inc. employee:

• You and your division of Solo W-2, Inc. may contribute in 2010 the IRS maximum of $49,000 to your 401(k) account on as little as $49,000 in gross wage.
  
  
• Or, if age 50+, you and your division of Solo W-2, Inc. may contribute $54,500 on as little as $54,500 in gross wage.

Reporting the Employer and Employee Contributions

• Employer contributions from your Solo W-2™ Division are reported as a division expense on your Division Report.
  
  
• Employee contributions are reported as a payroll deduction on your pay stub.

Three Investment Options

• Lifecycle Portfolio – Unless instructed otherwise, Solo W-2, Inc. will make tax-deferred contributions into a professionally managed, risk-adjusted portfolio of pre-selected mutual funds offering optimal diversification and security. Our dedicated Solo W-2, Inc. Chartered Financial Consultant (ChFC) is available to assist you in selecting the best Lifecycle Portfolio for your particular situation.
  
  
• Managed Funds Portfolio – Select from a diverse assortment of professionally managed mutual funds to create your own personalized investment portfolio. Choose from 19 mutual funds in several categories, including Money Market, Fixed Income, Specialty Funds, Domestic Equities, International Equities, Strategic Dimension, and General Account.
  
  
• Opt-in Self-directed Account – Alternatively, you may instruct Solo W-2, Inc. to make tax-deferred contributions into a self-directed brokerage account where you may select from a wide universe of load and no-load mutual funds, plus stocks and bonds available on the major exchanges.

• Annual Fee: $74 per employee when you join Solo W-2, Inc. and at the beginning of each year thereafter.
  
  
• Rollover Contribution: No charge to roll funds from another tax-advantaged retirement plan into your Solo W-2, Inc. 401(k) retirement account.
  
  
• Loan Fee: $50 upon approval of the loan from your 401(k) account.
  
  
• Termination Fee: $25 to roll over the funds in your Solo W-2, Inc. 401(k) account to another institution or to cash out completely when you terminate your employment with Solo W-2, Inc.

Allows Tax-free Retirement Distributions

• Elective deferrals to a traditional 401(k) account are made with pre-tax dollars. Investment growth is tax-deferred, and retirement distributions are taxed as ordinary income.
  
  
• Elective deferrals to a Roth 401(k) account are made with after-tax dollars. Investment growth is tax-deferred, and qualified retirement distributions are tax-free.
  
  
• The Solo W-2, Inc. Roth 401(k) Retirement Savings Plan has a Roth component, giving you the flexibility to designate your 401(k) elective deferrals from wage as:
  
  
  • Traditional (pre-tax) 401(k) contributions.
    
    
  • Roth (after-tax) 401(k) contributions.
    
    
  • Or a mixture of both Roth and traditional.
    
    
• Only elective deferrals may be made to a Roth account. Employer contributions, including the 3% safe harbor contributions and matching contributions, are pre-tax by their nature, and must be made as tax-deferred contributions to a traditional 401(k) account.

More Advantages of the Solo W-2, Inc. Roth 401(k)

• You can contribute more to a Roth 401(k) account than to a Roth IRA..The maximum contribution limit to a Roth 401(k) account in 2010 is $16,500 ($22,000 if age 50+); in other words, you may contribute your entire elective deferral to a Roth 401(k) account.
  
  
• Unlike a Roth IRA, a Roth 401(k) has no Adjusted Gross Income limitation. You can make Roth 401(k) contributions regardless of how much money you earn.
  
  
• Roth 401(k) contributions grow tax-deferred, but withdrawals of contributions and investment growth are tax-free, provided the recipient is at least age 59.5 and the account has been held for at least five years.
  
  
• A Roth account provides a one-third higher tax shelter value for an employee who is taxed at a 33.33% rate both today and at the time of a future distribution from the 401(k). The Roth is even more valuable if there is a risk of higher taxes on retirement distributions, however the opposite is also true.
  
  
• Roth investments provide tax-free retirement income during years when your tax rate may be high.

Securian Financial Services

• Solo W-2, Inc. has partnered with Securian Retirement to offer this very aggressive 401(k) Retirement Savings Plan, which is specifically designed for highly compensated employees.

Online Access Twenty-four Hours a Day, Seven Days a Week

• Solo W-2™ employees may access their plans through a dedicated Internet site at www.securianretirementcenter.com and check the status of their investments online at any time.
  
  
• Solo W-2™ employees may also call (800) 233-2881, enter their Social Security number and press * (the star key) to speak with a Customer Service representative.

Free Financial Advice

• Solo W-2, Inc. has appointed Wayne C. Deutscher, CLU, ChFC to assist employees of Solo W-2, Inc. with their Solo W-2, Inc. Roth 401(k) Retirement Savings Account and with their personal finances.
  
  
• This service is available at no charge to Solo W-2™ employees.