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 2009 up to IRS maximum of $49,000 ($54,500 if age 50+).
  
  
• Total contributions may equal 100% of your 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 may contribute in 2009 the IRS maximum of $49,000 to your 401(k) account on as little as $49,000 in gross wage.
  
  
• Or, if age 50+, 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.

Two Investment Options

• Managed Funds Portfolio – Unless instructed otherwise, Solo W-2, Inc. will make tax-deferred contributions into a professionally managed, risk-adjusted portfolio of 19 mutual funds offering optimal diversification and security.
  
  
• 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. As of 2008, it appears that the maximum contribution limit to a Roth IRA in 2009 will be $5,500 ($6,500 if age 50+). The maximum contribution limit to a Roth 401(k) account in 2009 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.