What is the best retirement plan for solopreneurs? It’s high time to implement best retirement plan you’ve never heard of: the Solo 401k. So, you’ve got a high cash flowing business and you know you need to take the next step to make certain that you keep as much control…

A solopreneur has a significant advantage when it comes to retirement planning.  Unlike an employee, a solopreneur has wide latitude with what kind of plan they may use.  They also have the ability to be very generous to themselves or skip the plan altogether, and they may change their minds…

If you are a solopreneur who fell in love with another solopreneur then congrats!  You are well on your way to a spousal Solo 401k.  You can both set up your own Solo 401k and build tax-advantaged wealth faster than your friends who are employees.  But what if you are…

Your contributions to your Solo 401k don’t just reduce your taxable income, they are make you eligible for extra tax credits and deductions.  Adjusted Gross Income (“AGI”) is often the input in determining whether you are eligible for tax credits and deductions.  Accordingly, the lower your AGI the more likely…

Do you know how to pick a 401k plan administrator? This post will teach you exactly what you need to consider to make your choice. Your Solo 401k comes with additional responsibility compared to other retirement plans (like IRAs and SEP IRAs).  One additional responsibility is plan administration.  The administrator…

Your Solo 401k contribution due date depends on whether you have a sole proprietorship or a corporation.  If you have a corporation the employee deferral and the employer profit share are due at two different times.  It is very important to make your contributions by the correct due date to…

Have you ever asked how to manage your investments yourself?  Look no further.  You are about to learn how to manage your investments with eight important steps to build wealth and reach your goals. Remember, it’s not just about learning these techniques, but using them effectively.  All the knowledge in…

Asset location is a high value way of increasing your after-tax return by holding investments in accounts with optimal tax treatment.  The term is often confused with asset allocation (which involves the selection of the investments).  Asset location only considers where those investments are held.  The three groups of tax classification…

When you choose to work with a financial advisor you make a HUGE decision about the direction of your life.  You must be careful and thoughtful when you make this decision.  There are endless lists of questions you could ask, but this would take a considerable amount of time.  Fortunately,…

How your financial advisor is paid is one of the most important things to know about them.  It’s important to know not just to know the cost, but to understand how they are incentivized to give to advice.  In this article you will first learn the three ways nearly all…

The Solo 401k loan is a very important benefit of a solopreneur’s retirement plan.  IRAs (even SEP IRAs) do not permit loans!  It’s important to follow the rules if you ever need to use this benefit.  In this post, we will explore the specific benefits, pitfalls, and rules of the…

Some people get this wacky idea to pay down their mortgage faster than their original schedule of payments.  This is a bad plan in many cases!  Why? Let’s assume some variables first: Original mortgage balance – $500,000 Remaining mortgage balance – $478,804 Interest rate – 3% Monthly payment – $2,108.02…

The advantages of hourly financial planning are becoming apparent to more people.  As more financial advisors slowly adopt this fee structure it is important to examine those advantages and how they serve clients better.  Let’s take a look at how hourly planning financial works, three important advantages, and the best…

You have probably heard that having an S-Corp or an LLC taxed as an S-Corp is superior to a sole proprietorship.  Usually, the supporting example is related to self-employment tax and limited liability.  There is also one other element that is rarely discussed: retirement plan efficiency. An S-Corp Solo 401k…

You probably hear about S-Corp tax savings all the time, as a solopreneur.  Has anyone ever broken it down for you?  Look no further.  Here is how S-Corp owners pay less tax than sole proprietors. It most comes down to self-employment taxes, although there are some opportunities for tax savings…

If you want to open a Solo 401k you must be certain that you are not violating the controlled group rule. A Solo 401k is a retirement plan for self-employed individuals or small business owners with no full-time employees other than themselves or their spouses. However, not everyone who is…

People get excited when they find out they can hold real estate in their Solo 401k.  You can combine the benefits of tax-advantaged accounts along with real estate, but you must understand the whole story before you commit.  Real estate in your Solo 401k comes with additional risks and pitfalls. …

Term life insurance is better than whole life insurance.  Any argument made in the case for whole life is easily rebutted in favor of term life.  This is precisely what we will examine here.  Term life is better than whole life, but the incentive structure for insurance agents is to…

This post shows you how to fill out a 5500-EZ for your Solo 401k.  You may be aware of this from the documents you received from your custodian or Solo 401k administrator.  If not, this is a form that you file with the government every year showing the value of…

A 529 plan is a tax-advantaged investment plan designed to help families save for a beneficiary’s (typically one’s child or grandchild) future higher education expenses or private K-12 expenses. There are two basic types of 529 plans: educational savings plans and prepaid tuition plans. 529 plans are sponsored and run…

A Health Savings Account (HSA) is a tax-advantaged account that can help you save for medical expenses.  You can only use it if you have a high-deductible health plan (HDHP).  HDHPs are defined as health plans that have a deductible of at least $1,500 ($3,000 for a family) and total…

Here we will go over the basics of your estate planning, along with any special context for you as a solopreneur. Living trust How it works A living trust is a legal instrument that you establish while you are alive to protect your assets and simplify their distribution after you…

It’s a great question nowadays: What happens to my social media when I die?  It’s a question none of our ancestors had to deal with, but is now an important part of your estate plan.  So, what actually happens to your social media when you die? Passwords Keeping a list…

It’s something that every business owner must grapple with at some point.  What happens to my business when I die?  It depends on a lot of factors, but when it comes to solopreneurs there are potentially even greater stakes.  Often your active contribution is what drives the business’s value.  Without…

Welcome!  You’re here because you’ve asked yourself, “Why should I hire a financial planner?”  There are plenty of good reasons why you should hire a financial planner.  Many people think that a financial planner helps them make more money.  This is typically true, but there is so much more to…