AMA | Everything you need to know about Solo 401(k)s

Welcome everyone. This is the New Retirement Ask Me anything all about 401ks. We have a great agenda for tonight and some excellent guest hosts. We're going to start with introductions. We're going to do a brief overview of New Retirement what's new here. Then we're going to do a five question Q& A with our experts from ubiquity about solo 401ks. And then we will be opening up the webinar to everybody on the call to ask questions live. So you can either do that through the question and answer module towards the bottom of the screen and ask your question or you can just raise your hand and we'll start taking questions live. We'll let you unmute yourself and ask your question and kind of interact with the panel. We're really grateful to have everybody here. And let's get started. So from Ubiquity Retirement Services we have Alyssa who is a client services manager and Ashvin who is a product manager. We also have with us Steven Chen who is the founder and CEO of New Retirement. I'm Michelle Dash. I run our products and services here at New Retirement. To get started, we're just going to turn things over to Steve and do a brief introduction of New Retirement and let him share with you all what is new at the company.

Yeah, thanks Michelle and glad to have the folks from Ubiquiti joining us. So yeah, just real quick, there's a lot going on here. We have been super busy. That's one of the reasons we've had a delay of a couple months since we did the last ama. But we're going to try and pick up the pace again. So big things on the product side, there is a new UX that's live, that is hopefully a lot simpler and cleaner especially for new people to kind of let them navigate around and kind of see the different components of the plan. Very soon there's going to be a new left hand navigation bar that summarizes everything going on in the product. So that should be live in the next couple weeks. And I think that'll complement this update to make it quicker to kind of get around and see everything that's happening inside of the planning platform. This is a design system upgrade. So one thing you're going to see is some fast follows. There's a bunch of features that Michelle has decked up for everybody that has been highly requested. So like month and year control throughout the plan is coming. A better summary of kind of where people stand is in flight. So it'll be easier to kind of see, you know, what the value is for you and focus on like, you know, where's the value in planning for particular people. There's some goal work happening and some customer journey work happening that'll just make it simpler to kind of get through the overall application and pay attention to what matters. So, you know, a bunch of good stuff coming that'll be, you know, that'll be rolling out over the next couple months and then we're in the midst of doing planning for the rest of the year and 2022 other things. You know, we're close to getting some financing put together for our business which will be give us a lot more resources and so you'll see us pick up the pace even faster, build out services. We're also, I think the last big thing is we've been getting traction with companies. So, you know, folks have work at larger companies and they want to roll out this kind of solution as a retirement planning benefit. Just software, not the actual, not like the 401k, which is what Ubiquiti and other firms do, but really just the hey, let's do planning on top of my assets. It is becoming available through more companies now. So that's the quick update here, but glad people could attend and looking forward to this. You're on mute, Michelle.

Great. So the other thing that I wanted to remind everybody is that in addition to the free planner and the paid planner that New Retirement offers, we also offer a lot of free education, including webinars like this and ask me anything on a routine basis. Every two weeks we do free plan demos to help you enter your plan data accurately and and teach you about all the components of the plan. And we also do free office hours where you can come on, jump on a zoom call and ask questions to help you get through the plan or model a scenario that you couldn't figure out. We also have a Facebook group that's free if you want to engage with us on a daily basis and talk about financial concepts with other people who are actively planning like yourself. So lots of different avenues to join our community and continue learning. So for today to Talk about Solo 401ks, we have two folks from Ubiquity, retirement and savings. We have Alyssa Witt, who is a partner success manager who works with clients to help them set up their accounts and learn everything that they need to know about four 401ks. And we also have Ashvin, who works in the product department, kind of leading the direction of the product and partnerships. So I'm Going to turn it over to them to introduce themselves.

Thanks so much, Michelle. Nice to be here. Great to connect with all of you. So Ubiquiti is a company we've been around for over 21 years, and we are solely focused on the underserved small business market. For us, that's under 100 employees, and we are 100% focused on 401 solutions. Some things that I'll mention about our organization, besides our tenure, we partner really well with financial advisors and CPAs and insurance agents on providing these products to their clients. And we also have a proprietary software system that was developed specifically for the small business market. So it's very unique and really caters to the small business owner.

Great.

Ashvin, can I introduce yourself?

Yeah.

Hi, everyone.

I'm Ashvin. I've been with Ubiquiti for a little more than five years now, leading up our product strategy and working closely with Alyssa to make sure we have the products and services to support the partners and advisors that we work with.

Cool. So, you know, maybe some of you on the call have a solo 401k. It looks like that way from the chat, maybe some folks are thinking about it. What we want to do is get everybody up to speed on some of the basics of solo 401ks. So with that, we're going to ask. I'm going to ask Alyssa and Ashvin five questions to give us all the same baseline and starting point before we open things up for a general Q and A. So, Alyssa, maybe you can kick us off and share a little bit about what exactly is a Solo 401K.

Yeah, absolutely, Michelle. It's exactly what it sounds like. It is a 401k that is meant for the business owner. So it's a business owner that does not have any employees, and it can be a business owner plus his or her spouse. And really what it works as, the. The owner wears two hats. They work as the employee and as well as the employer, and they can make contributions on behalf of both. So they get the benefit of a full service 401k, even though they are a small business.

Right.

And who is eligible? I think you kind of said that. Is it any business owner? Are there any specific requirements of your business?

Yeah, again, they typically, the IRS will have you file an EIN number for your business. So you have to have a separate EIN for your business in order to qualify for a solo K. But if you are a business owner with no employees, you are eligible for a solo 401k.

All right. And Ashvin, Maybe you could share a little bit about the advantages of using a Solo 401K.

Yeah, there's some great advantages to using the Solo 401K. I think the biggest one is the contribution limit. So as Lissa mentioned, you can contribute both as an employee and as an employer. So as an employee that means you can put up to 19,500 in 2021 into your 401k. Then as an employer you can also contribute up to 25% or 58,000 as a total bucket amount for 2021. So a large contribution amount that can go in there. Additionally, if you're over the age of 50, you can do a catch up contribution of an additional $6,500. So I think that contribution advantage is one of the biggest selling points of the Solo 401. The last big benefit that we know a lot of small business owners value is is the ability to take out loans. You can generally take out up to about $50,000 of your 401k as a loan and as you pay it back you're just paying yourself the interest. So that's a great feature that comes in handy. Great.

Contrary to those advantages, are there any disadvantages?

Yeah, I think when you compare Solar 401k to some of the other individual products, it does have a few more administrative requirements. For example, if you have more than $250,000 in it or if you're clos it out, you do have to file some additional regulatory forms like a 5500 form annually. So there's a little bit of more admin work that goes into it. Oftentimes that can result in a little bit more cost as well. These products can be more pricey compared to things like an IRA or SEP ira. But generally some of the other benefits we talked about like loans and that high contribution margin usually justify some of the disadvantages.

Great.

And one thing I want to add to that Michelle, as more of an advantage for the solo Katie owner is the ability to invest in pretty much whatever you'd like to. So if you are an individual who works for a big corporation and you have a company sponsored 401k, typically the investment options are pretty strict or stringent. You don't have a lot of flexibility. But with the solo K, oftentimes depending on who your custodian is, you can set up a brokerage account and the investment options are pretty limitless. So oftentimes we have people that call us because they want to invest in gold or they want to invest in real estate and they want to do so through their 401k. And you, you can do that with a solo 401k.

That's a great benefit. All right, so last question here is what is the annual deadline for contributing to a solo 401k?

So I'll answer that, Michelle. I'd say the number one thing to think about is if you're thinking about setting up a solo K, you need to actually set the account up before the end of the year. So December 31st in order to actually fund it and make contributions. It really depends on how you file. If you're an S corp, if you're an llc, it all varies, but at the end of the day it's the typical tax filing deadlines. So for most people it's going to be March 15th or April 15th, and if you extend or request an extension, it's going to be September or October 15th. But that's all very specialized, depending on how you file.

Okay, so the most important day to remember the next couple months is that if you don't have one and you're thinking about setting it up, you really need to do it by the end of the year if you want to make contributions for this year of income.

Absolutely.

All right, well, those were some basic questions to get us started. Now we're going to kind of turn it over to you all and let you ask questions. So one way that you can do that is you can kind of raise your hand. There should be a little option at the bottom of the attendees option to say raise your hand. The next best option is to use the Q and A module to ask your question as a Q and A. So we have one question already from Bill and Bill says that his CPA said to be careful not to go negative tax wise with contributions to a solo 401k. So he's asking in general, what does that mean? What does it mean to not go negative tax wise?

I made a little more clarification. To go negative as in so the IRS specific contribution amounts depending on how much you declare as earned income. So the only thing I can assume that he's talking about is declaring more than you're actually making is maybe he can give us a little more clarification because typically the IRS says for you can do 25% of of compensation. So anything more of that might be negative.

Right.

I would think that's how I would interpret that question as well. So yeah, I think as Alyssa was saying, you know, after you set up the account, you have to work with your CPA to come up with that exact amount so that you can make the appropriate contribution that's within that limit that Alyssa specified.

Right. And I think one of the benefits of being a business owner is you may not know how much you're going to make in a given, given year. So as opposed to doing monthly or quarterly payments into your 401k, you can just do one deferral before March or before April of the tax deadline so that you're making sure you're not going over that 25% income.

Good idea. All right, we have another question from Gary and the question is if you have a 401k with a current employer, can you open a solo 401k for your side business?

This is a great question. I think we're seeing even more of this because there's more entrepreneurs out there. There are a lot of people that are thinking about taking their side business and turning it into a full time business. So the answer to your question is yes, you absolutely can. If you have your own solo business and you've got an EIN set up for that business, you can, you can contribute to either or, or both as long as you're not contributing more than the annual 401k limits.

Great.

So I think we have our first live question from Ricky. So, Ricky, I am going to open things up and let you ask your question. You will have to unmute yourself.

Hey guys, thanks for the little introduction there. Had a question whether you see that the Solo 4.1k has the best in terms of fees. I opened one at Fidelity that was the best my research found, actually had the lowest fees. I don't even think I'm ever really paying anything. But I don't know if you guys recommend any companies with the lowest fees if you're trying to keep it as cheap as possible. I don't need any special bells and whistles.

Yeah. So actually off the top of my head, I don't know which companies have the lowest fees.

So.

But I mean, I think, Ricky, if you've done some research and so I actually welcome your kind of your view as you look across this. I mean, I know Ubiquiti has solutions. Sounds like Fidelity has solutions. So yeah, for what it's worth, I'm actually, I mean, part of the reason we're here is Ubiquiti talked to us, but I've actually did a solo 401 many years ago when they first came out with Ubiquiti, which was pretty interesting. Mostly just be out there early with tax efficiency play and you Know, I always thought the product was useful and, and works as advertised. But yeah, low fees are key. So I don't know actually. Or Ubiquity. If you have commentary on your view.

On fees, I'll, I'll add to that. So our initial 401k solo product was one that Ubiquiti didn't, we didn't have, we weren't custodian of. Right. So we just did the record keeping of the plan document and it's the number one thing that I tell people when they're researching Solo K that they want to invest in. Make sure you're aware of what those fees are because those fees can really add up, especially if you have an advisor attached to it. So you want to make sure you know what the fees are upfront, what if there are advisor fees and what the advisor is doing for those fees. So definitely do some research. I think the cheapest way that you can do it is flat fee. Right. So those fees are disclosed up front. You know what you're signing up for, you know what you're getting out of the product. Traditionally, companies like Fidelity, who are the only four, we're the only 401k provider that we're out there, were probably not the cheapest provider. And that's why companies like Ubiquiti exist because we wanted to create a product that was meant for the small business owner. So I think making sure that the fees are transparent is the number one thing. And Maybe your larger 401k providers aren't necessarily going to be the cheapest option.

Yeah. Actually I have a follow up question. Just like how many custodians do you offer underneath Ubiquiti? So like you can work with Schwab but can you also work with other custodians?

Yeah, absolutely. So our traditional Solo K product was open. So whichever custodian you wanted to work with, you had the ability to work with. We would partner oftentimes with Schwab because Schwab didn't have a Roth option and they also didn't allow loans. So if they had any business owners that were looking for either of those provisions, Schwab would refer them to Ubiquity. But it's pretty wide as when it comes to custodians. We also have a new product that we've introduced that is a bundled product where Ubiquiti does, does take custodial ownership of that. Ashwin, I don't know if you, you want to mention a few things about our, our new bundled product.

Yeah, our Bundled. I mean it's, it's a kind of a one stop service, full, full solution. We custody it with Matrix Broadridge. And so any investment that they Support, which is 30 plus thousand mutual fund categories or mutual fund types, you could easily use those. You can still have the loan provision. So it's just kind of like a robust all in one type of 401k solution compared to the other product which is you get a document, you can take it to any brokerage or custodian that you want to.

So I have one other follow up question here and this. Do any of your custodians support self directed investments?

Yes, most of them do.

So like private investments. So like what a PENSCO or something would do or an Alto ira?

Yes.

Okay, but like companies like Schwab don't do that.

I don't believe they do have a self directed brokerage.

They do.

Okay, interesting. Ricky, did we answer your question?

Yeah, guys, thanks. That was great. And also another question. You guys with your companies that you work with take IRA rollovers. I was about to go to Vanguard actually and didn't choose Vanguard because it didn't accept IRA rollovers. And I wanted to clear my traditional IRA so I could do the backdoor Roth. So I was almost going to do Vanguard, but then Fideli was accepted IRA rollers. I don't know if you guys specifically work with companies that allow IRA rollovers as well, or is this somewhat of a problem with some of the companies that you work with?

No, actually our solo 401k does allow for the Mega Roth backdoor rollover. And so that's something that, yeah, we're able to accommodate with our plan document as well.

We're also following all of the updates very closely because we know that legislation is potentially changing by end of the year.

In what way is it changing?

Well, the Mega Roth backdoor option that Ashwin talked about, there's conversation about maybe limiting that in IRAs and potentially in 401s as well. And dates are pending.

All right, Ricky, any other questions?

I have a ton, but I want to make sure everybody else has. I'm a confused guy. I don't know if anybody else has a question or can I just keep asking?

You can ask one more and then we'll go back to the chat area.

Okay.

All right.

Yeah. So I had a question about the investment. So again, I told you I have my fidelity. So. But the solo 401k had a lot of options, but I couldn't invest in their zero funds. And I was A little disappointed because I like zero expense ratios. But I guess the Solo 4:1ks can invest in a lot but not as much. They still have the limit. I don't know if you guys have in some of the solar 4Ks that you work with a brokerage window because I know my wife's 401k actually for Delta offers a brokerage window and it's as big invest in anything. But my solo 400k does not have that brokerage window option. I don't know if you have companies or ubikerey yourself offers a brokerage window to open up the investment options.

Yeah, our record kept solution, the full service solution that we talked about does have a brokerage window and you can open it. I think it's actually maintained at TD Ameritrade. So you do have the flexibility of investing in any fund that they support. And I think that's a really good point you bring up because a lot of these other providers who do offer free solo 401ks a lot of times there are some strings attached like that where it limits the types of investments that you can access. So I think when you're looking at cost, that's another thing to be careful about what's being optioned as investment. And if you can make loans with their products, those kind of features sometimes are things you want to keep an eye on. But yeah, our product does have the self directed brokerage window as well.

Our initial product did as well. It's just typically there's an extra fee that you're paying for that brokerage window.

But it is really helpful to hear these questions because you can really tell that everybody is opening a solo 401k for a slightly different reason or to get, you know, take advantage of a different reason. So it might be it for like these advanced investments. It might be to increase your contribution rate. But being really clear on your intention or what you're doing can help you pick the right product at the right company.

Right.

So really helpful hear some of your thoughts on this, Ricky. Thank you. All right, I think we're going to go back to the chat window and ask a couple other questions from chat. Anyone else, if you have a question, raise your hand and Ricky, you're welcome to raise your hand again. The next question down is if you have a 401k with. Oh, we just did that one. Let's go to the next one. What are the main differences between a Solo 401K and a SEP IRA?

Alyssa, do you want to take this?

Yeah, absolutely. So the fees for a solo K could be a lot higher.

So.

So that's why we always say, make sure you understand that the fees are understood. And then typically there are rules around withdrawals with the SEP ira very similar to IRA rules where you can take out for hardship withdrawals, which you can't necessarily do with a 401k. The 401k typically has a loan provision where you are paying yourself back versus the IRA option where it is just the withdrawal and then the filing. There's a little bit more paperwork that comes with the 401k. Once you, you hit a certain threshold that doesn't exist in the IRA world. So I'd say those are, those are the primary differences. I don't know if I missed anything Austrian that you want to mention.

I think the one other one is that I think with a SEP IRA you can just make traditional investments and then with the solo, you get the Roth and after tax contributions options as well.

Okay, thank you. And are there any differences in an employer match with a SAP and a Solo 401k?

Give me one second. I know with an ira there are.

I know this F IRA you can actually hire like, if you add people with like full time employees, you can keep that separate. But then you're required to potentially make a match with the Solo 401K. You're not actually allowed to have, in most instances, another full time employee who isn't a spouse or a partner. Is that right, Alyssa?

Yeah, yeah. And I think there's also an income limit when it comes to SEP versus a 401k. The SEP is very similar to a traditional IRA where you can only do plan compensation up to a certain income threshold. And then like Ashwin said, you can add employees with the SEP, whereas with the solo 401k, you cannot.

Okay, great. There is a question about lead time. So when you're thinking about setting up your 401k, you mentioned the deadline at the end of the year. How long does it take to actually get your account set up and in action? Is it a day? Is it a week? Is it a minute? What is the timing on how long the process takes?

So I can speak to the ubiquity experience and I can also speak to some of the experiences that I've had from some of the other entrepreneurs I've worked with. And Steven, I'd love your response to this as well. But we can set up a plan document at ubiquity within 15 minutes. It's very simple. As long as you have Your EIN number registered with the irs. You have all your plan document information. We can input that and have a plan document to you within a 24 hour window. When it comes to some of the other things like I've heard setting up the custodian, I've heard six months for some people. So I think that's really important to understand what custodian you're working with. And Austrian. I don't know if you can speak to the setup of our fully bundled product.

It's pretty quick. I mean we have an automated system. The documents pop up. You can be onboarded within a week into the plan to make contributions.

Stephen, maybe you can answer that. I know it was a few years ago that you set yours up, but do you remember what your experience was like?

I mean, yeah, it was many years ago when you're first getting started and this was for a previous company, but it was relatively seamless. And I also did it through Schwab, so where I was already a customer, so it wasn't too complex. But yeah, it feels like these processes in general are getting quicker and quicker. I just did a test with Robin Hood and some other companies, just kind of see what was going on. It's kind of amazing how fast account setup is now at these different places. And even linking to bank accounts, it's very often real time. You don't have to do the whole deposit a couple transactions and then enter those. That's one way. That's very often you can just do real time linking to get things going, which is pretty interesting.

I think one thing to add to that is a normal cycle, it might take a week, but if you're leaving it to the last minute right before the end of the year, you may want to leave a little bit of extra time due to the holidays just because things tend to move a little bit slower then. So just another helpful thing to be mindful of, we have another question which is about if you have multiple side businesses, can you have a solo 401k for each side business?

So again, the answer is yes. It's just you cannot exceed annual contribution limits. So all three or four businesses can have to be within the contribution limit that the IRS mandates.

And there was a related question about the 25% limit. Is that based on income or the gross receipts of the business?

So for the solo K, it's basically elective deferrals up to 100% of compensation, earned income up to the annual contribution limit.

Oh really? Okay.

And then the non elective contributions are up to 25% of compensation.

Okay.

And that's very specific. Yeah, that's very. Those are IRS rules.

Got it.

All right, the last question we have here is about spouses contributing to solo 401ks. And the question is, if your spouse doesn't have separate earnings, are they able to contribute to the. The solo 401k?

If they are part of the business, so it's the business owner plus the spouse, then yes.

So they have to have earnings from the business in order to make the contributions, or if they have zero earnings, can they still make contributions?

So it's related to the business?

Okay. All right. I don't see any other questions in the chat. Does anybody have any other live questions, questions or want to add to the questions in the chat? All right, Dave, I'm going to allow you to ask your question.

Sorry, mine was in the.

In the chat.

Maybe you answered this already.

But my question is, does the solo 401k require my S Corp to issue salary through payroll? When you mentioned earned income rather than es dross to myself as owner or.

To my wife as spouse, we have no other employees.

That may be more for our solo K technical team. But my understanding of it, if there is earned income and it can be shown in a 1099 form, some sort of tax document, it doesn't have to be through payroll, because this is really going to be something that you do directly with your solo 1K provider. So as long as you can prove that earned income, you can contribute it.

That's my understanding, too, is that you don't have to do it through payroll. You just basically have to be able to tie it all back to your income levels and make sure you don't exceed the limits. And then you publish to the IRS how much you've contributed, and you have to make your contributions on time.

This is a positive and negative of a solo 401k is you are the business owner, you are the administrator, you are the fiduciary. All of the responsibilities really are yours. So companies like Ubiquiti, we're here to guide you and give you examples of what best practices are. But at the end of the day, it's really between you and your tax accountant on how all of this is shared to the irs.

Thank you.

Thank you.

There's another question here from above. We missed some from Teresa Cho. Can a spouse also contribute to the IRA or your own solo foreign key, even though the spouse does not have separate earnings? I believe the answer is no.

Right.

Right.

I'm not a CPA but you basically have to take, you have to have earnings to take the deduction against. So you can create earnings for your spouse in your company. If you own a company that's like an LLC that has two members, both of them can contribute, but they have to have earnings from the, from the company.

Correct.

All right, we're gonna let Ricky ask another question.

Hey guys, sorry, I feel like I'm dominating the conversation here, but I had a tax loss harvesting question. I did some tax loss servicing last year and I tried to avoid having, you know, the substantially identical rule across accounts. I heard that a solo 401k may not be exempt, even though 401ks are usually exempt from the wash sale rules. I don't know if you guys have a thought on like, yes, the Solo 4.1K is almost like an IRA because there's a sort of self directed component and it might be a gray zone where the IRS will go after you for a wash sale. Or it's like, no, this is for 1K. This is under the 401K tax law. You can tax loss harvest in your taxable. And who cares if you have the same in your, in your sole form. It's not going to trigger the wash sale rule.

I'm unfortunately not familiar with that. That's probably a question better geared towards a CPA of what you'd be allowed to defer. But we also have a compliance team that I can run that question by and get back to.

Oh yeah, that would be great. Yeah, thanks.

Yeah, I add that to my follow up for you, Michelle.

All right, perfect. Thanks, Ricky. We do have a follow up question. I think we might have mentioned this earlier, but let's ask again. Just to clarify, are there any kind of payment, like is there a payment cadence that you have to contribute or can you make one big payment at the end of the year out of your paycheck?

So typically with solo ks, it's done once a year because there is no anticipation or expectation of what that monthly income is going to be. So based on income limits, most people are going to do once a year before the tax filing deadline.

So once a year, not during every paycheck. Perfect. Yeah. And then another question to repeat. What the contribution limits are on your gross income.

I will share the IRS website of what those numbers look like and they give a really good illustration of if your income is this, this is what 25% of earned income looks like. I think it's pretty like a good, a good tool to have, especially if you're Thinking about opening a solo K.

That's in the chat right now.

Yeah, it's in the chat right now.

And then, Dave, your hand is still raised. Do you have another question? No. All right, Ricky, do you have another question? All right, this will be the last question of the night. Rick, bring us out.

Okay? Yeah, yeah, I could go all night, but yeah, I don't know if you guys want to go. So for the investment options within the solo 401ks, I know that you're sort of limited to mutual funds, ETFs, but is real estate like also sort of sort of a nuanced thing? Is that where you really can just stick to like REITs or something, like actual property or houses, apartments, that sort of thing? Is that available to invest in?

Yeah. So I'd say the number one question we get when people are inquiring about opening a solo K is can I invest in real estate? Can I invest in gold? So oftentimes these are great vehicles to enable people to invest in sort of unique investment options. So most of the custodians that we work with will have some sort of option for real estate. And again, Ash and I'll ask you to talk about the TD Ameritrade product specifically. But we do have a brokerage window with that. So whatever is available through TD would be available through our full service product. But most of these 401k, look, custodians that we work with are going to have the ability to open up your investment options and include real estate.

Yeah, I mean, one comment that I just saw a headline where in the latest tax bill, they're considering restricting investments that were limited to accredited investors from IRA and 401ks. So that may change. I mean, that would be, you know, because basically that's the whole premise to me. It's a little bit. It doesn't make sense because on the one hand, like with the JOBS act, that's like, hey, we want people to be able to invest in small companies, you know, and startup companies like average people. And if they come in and then. And so people are also now doing these self directed investments through self directed IRAs. But if they come in and say, hey, those are mostly private investments in things like apartment buildings or small businesses or whatnot. If they then say, oh no, that's actually restricted, then, you know, this landscape may change. We'll see if it goes through. But that was put forward.

Well, thank you, Ricky, for all the questions. We got one last question in the chat, so we'll do one more Today. And the question is about restrictions on business types. So are there any specific restrictions on what type of business can Open a solo 401k?

So there are not. From our perspective, again, there just needs to be an EIN attached so it can be an S Corp, an llc, a partnership. It's pretty flexible.

Right.

I also noticed that there was one comment that I quickly saw about a conversion. And I have a mega Roth conversion document that I can share with you as well, Michelle, if you wanted to distribute that about conversions.

I see we have a question about Roth conversions as well. So just address that.

She's going to share a link for a worksheet that they have that we will absolutely share.

Right. I do have one comment. I think we. I think the next day man needs to be just on tax efficiency overall.

Yeah. I mean, this is just one tool in the toolkit to, you know, implement different taxes strategies. Right. So of course there's always questions about Roth conversions. It's a great way to sock away more tax deferred money that then can be later used for Roth conversions. But yeah, I mean, taxes are so important. They play such a big role in, you know, how much we pay every year, but also in future years. So understanding all of the tools available to you to help create the best strategy is so key. So we really appreciate your time, Alyssa and Ashvin, to really help us understand this more unique product that, you know, doesn't get as much attention all the time as the regular 401k, but can be super impactful for, you know, small business or an entrepreneur to really level set the playing field. So we really appreciate all your expertise and your time today answering all of these questions.

We were so happy to be here, especially because we know Stephen is a believer. So what better way to share the word about what's available to entrepreneurs?

All right, awesome. Well, great to see everybody and thanks for your questions.

All right, everyone, thanks for joining us. Hope to see you again soon.