401(k)
Loopholes Tagged "401(k)"
Plain-English guides to U.S. legal rights and workarounds related to 401(k).
Lost 401(k) Search — Track Down Old Employer Plans Before Fees or Forgetfulness Eat Them
Can recover forgotten retirement balances plus years of growth
401(k) Auto-Enrollment Opt-Out Window — Stop Deductions Before They Snowball
Can prevent unwanted payroll deductions or restore cash flow quickly
Solo 401(k): Self-Employed Retirement Contributions Up to $69,000/Year
$10,000–$20,000+ per year in tax-deferred or tax-free retirement savings vs. a SEP-IRA on the same income
Retirement Plan Startup Tax Credit — Let the IRS Subsidize a New Small-Business 401(k), SEP, or SIMPLE
Up to $5,000 per year for startup costs, plus additional related credits in some cases
Rule of 55 — Take 401(k) Money Penalty-Free Years Before Age 59½
Avoids the 10% early-distribution penalty on tens of thousands of dollars
401(k) Hardship Self-Certification — Access Funds Faster if the Plan Allows It
Provides faster access to funds in real hardship, though taxes may still apply
Mega Backdoor Roth — Contribute Up to $43,500 Extra to a Roth Account
$10,000–$50,000+/year in future tax-free growth
Net Unrealized Appreciation (NUA) — Turn Part of a 401(k) Stock Distribution Into Capital Gains
Can convert large embedded gains from ordinary income treatment to long-term capital gain treatment
Plan Loan Offset Rollover — Save a Defaulted 401(k) Loan From Becoming Taxable
Avoids ordinary income tax and possibly the 10% early-distribution penalty on the offset amount