Can I contribute to a retirement plan when I’m self-employed?
Yes, you have many of the same options to save for retirement on a tax-deferred basis as an employee who participates in a company plan.
Options for a self-employed individual with no employees:
- One-Participant 401(k) Plans, also called a solo 401(k) or individual 401(k)
- Traditional IRA
- Roth IRA
Options for a small business owner with employees:
- 401(k) plan
- Simplified Employee Pension (SEP) Plan
- Savings Incentive Match Plan for Employees (SIMPLE IRA Plan)