dmertz
Level 15

Retirement tax questions

Sounds like investment gains to me.

 

Money in the traditional account in your Solo 401(k) grows tax deferred, not tax free, so if this money went into the traditional account in the 401(k), it will eventually be taxed.  In a 401(k), only in a designated Roth account are gains tax free (and not until you have reached age 59½ and have had the account at least 5 years).