Investing Blog Roundup: Solo 401(k) and the “Age 55 Rule”

A question that comes up from time to time regarding solo 401(k) plans is whether self-employed people with such a plan could ever take advantage of the “age 55 rule.” The tricky point is that you have to “separate from service” in order to take advantage of that rule. And, if you have separated from service (i.e., you’re no longer doing the self-employed work in question), would you still count as an “employer” in order to maintain the plan, or does the plan have to be rolled into an IRA?

Sean Mullaney recently did a deep dive into that topic, and I find his reasoning convincing:

• Revisiting Solo 401(k)s and the Rule of 55 from Sean Mullaney (full article here)

Other Recommended Reading

• “Partial” Retirees More Likely To Experience Spending Surge from John Manganaro
• No, The Stock Market is Not Rigged Against the Little Guy from Ben Carlson
• Accumulation is the magic of “one day.” Decumulation is the pressure of “right now.” from Katie Gatti Tassin
• The Tax Trap Inside the BOXX from Daniel Hemel
• Roger Federer vs. the Stock Market from Ben Carlson
• How Do Public Pension Plan Returns Compare to Simple Index Investing? from Jean-Pierre Aubry and Yimeng Yin

Thanks for reading!