Solo or Individual 401(k) Plan for Self-Employed Business Owners

Contributions you make as the business owner are generally tax deductible by your business. You may also contribute as an employee, reducing your personal taxes. Total contribution limits, as an employee and employer, are nearly 10 times higher than a Traditional IRA.

Access your money when you need it

Loans and withdrawals are available if you choose these features in your plan, giving you peace of mind knowing your money is available if you need it. Always be sure to understand the tax implications before taking a loan.Footnote ²

Contribute as your cash flow allows

With an Individual (or solo) 401(k), you decide how much to contribute, and you can choose to contribute as your cash flow allows. You can also make contributions whether or not you have a profit.

Get advice and guidance

Funds and model portfolios — selected and managed by Morningstar Investment Management LLC — help take the guesswork out of investing. You also have access to educational call-center support from Plan Administrators, Inc. (PAi) and a suite of online investor‑education resources.Footnotes ^{1, 3}

Interested in learning more? Read the Individual 401(k) fact sheet (PDF)

Contribution
limits nearly

10x

a Traditional IRA

Pricing and fees

Straightforward, low-cost pricing for your businessFootnote ⁴

One-time setup fee*:

$100**

Monthly administration:

$20 or $25Footnote ^†

* Setup fee is non-refundable
** $150 if converting an existing 401(k) plan to Merrill Edge
Footnote ^† Businesses with less than $250,000 in plan assets will pay $20. Businesses with more than $250,000 in plan assets will pay $25.

Fees paid by each individual participating in the planFootnote ⁵

Monthly recordkeeping feesFootnote ¹:

Annual asset-based costsFootnotes ^††:

0.52%

Footnotes ^†† For investment fiduciary services (0.07%); participant servicing through the call center (0.20%); and account services for the ongoing product management, vendor oversight, trading and custodial services (0.25%)Footnotes ^{1, 3}

Fees example: Molly has $10,000 in her account. This year, she will have approximately $52 withheld to cover the asset-based fee and $36 ($3 x 12 months) withheld for recordkeeping fees.

How to open a 401(k)

Answer a few questions

Tell us about yourself and your business, and we'll customize a plan to fit your needs.

Review your proposal

You can modify the features, if you wish, before purchasing.

Purchase your plan

After reviewing your proposal, you can purchase your plan online in just a few minutes.

Request a 401(k) proposal Request a 401(k) proposal

Receive a custom proposal online in as little as 5 minutes. Need help? Step-by-step guidance is available by phone from a PAi^{Footnote 1} 401(k) Consultant.

FAQs

Can I start a 401(k) if I'm self employed without employees?

How much can I contribute annually?

What are the potential tax benefits?

Can I withdraw funds or take a loan from my Individual 401(k) account?

See all Individual 401(k) FAQs

More about small business retirement plans

Self employed

SEP IRA

Compare self-employed plans

Employer

Small Business 401(k)

SEP IRA

SIMPLE IRA

Let us help you find your best options

More about small business retirement plans

Self employed

SEP IRA

Compare self-employed plans

Employer

Small Business 401(k)

SEP IRA

SIMPLE IRA

Let us help you find your best options

Need help setting up your plan?

Call 866.890.4177866.890.4177

Mon-Fri 8 a.m. - 5 p.m. CT to speak with a PAiFootnote ¹ 401(k) Consultant

Find a local
Financial Solutions
Advisor

Important disclosures

Footnote ¹ Plan- and participant-level administrative and recordkeeping services for Merrill Edge Individual 401(k)s are provided by Plan Administrators, Inc. (PAi). Investment advisory and fiduciary services are provided by Morningstar Investment Management LLC, a registered investment advisor and wholly owned subsidiary of Morningstar, Inc. Morningstar Investment Management LLC is a provider of investment management solutions, including investment advisory and retirement plan services. Educational call center support will be provided by PAi. Bank of America Corporation, PAi and Morningstar Investment Management LLC are not affiliated.

Footnote ² Please consider the advantages and disadvantages of taking a loan before initiating one.

Footnote ³ Morningstar Investment Management LLC selects the investments and is responsible for the ongoing monitoring and maintenance of the investments and model portfolios. Merrill Lynch is responsible for ongoing product management and vendor oversight, as well as trading and custodial services of plan assets and monthly transaction statements.

Footnote ⁴ Fees will be deducted from the business account.

Footnote ⁵ Fees will be deducted from each participant's account.

Footnote

Contribution and compensation limits are subject to a cost-of-living adjustment annually pursuant to the Internal Revenue Code. Contribution and compensation limits for subsequent years may vary.

ARNHNJVK-EXP123118

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Investing in securities involves risks, and there is always the potential of losing money when you invest in securities.

Neither Merrill Lynch nor any of its affiliates or financial advisors provide legal, tax or accounting advice. You should consult your legal and/or tax advisors before making any financial decisions.

Merrill Edge is available through Merrill Lynch, Pierce, Fenner & Smith Incorporated (MLPF&S), and consists of the Merrill Edge Advisory Center (investment guidance) and self-directed online investing.

Banking products are provided by Bank of America, N.A. and affiliated banks, Members FDIC and wholly owned subsidiaries of Bank of America Corporation.

Investment Products:

Are Not FDIC Insured

Are Not Bank Guaranteed

May Lose Value

MLPF&S is a registered broker-dealer, Member Securities Investor Protection Corporation (SIPC)Member Securities Investor Protection Corporation (SIPC) and a wholly owned subsidiary of Bank of America Corporation.

© Bank of America Corporation. All rights reserved.

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Merrill Edge was one of 19 brokers evaluated in the Barron's 2018 Best Online Broker Survey, March 26, 2018. Barron's evaluated firms in—Trading Experience & Technology, Usability, Mobile, Range of Offerings, Research Amenities, Portfolio Analysis & Reports, Customer Service, Education, Security and Costs-to rate the firms. Merrill Edge earned the top overall score of 32.7 out of a possible 40. Learn more at http://webreprints.djreprints.com/54692.html. Barron's is a trademark of Dow Jones & Co., L.P. All rights reserved. Reprinted with permission of Barron's. The ranking or ratings shown here may not be representative of all client experiences because they reflect an average or sampling of the client experiences. These rankings or ratings are not indicative of any future performance or investment outcome.

J.D. Power 2017 Certified Contact Center Program^SM recognition is based on successful completion of an audit and exceeding a customer satisfaction benchmark through a survey of recent servicing interactions. For more information, visit www.jdpower.com/ccc. The ranking or ratings shown here may not be representative of all client experiences because they reflect an average or sampling of the client experiences. These rankings or ratings are not indicative of any future performance or investment outcome.

Investing in securities involves risks, and there is always the potential of losing money when you invest in securities.

The performance data contained herein represents past performance which does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. For performance information current to the most recent month end, please contact us.

Returns include fees and applicable loads. Since Inception returns are provided for funds with less than 10 years of history and are as of the fund's inception date. 10 year returns are provided for funds with greater than 10 years of history.

Before investing consider carefully the investment objectives, risks, and charges and expenses of the fund, including management fees, other expenses and special risks. This and other information may be found in each fund's prospectus or summary prospectus, if available. Always read the prospectus or summary prospectus carefully before you invest or send money. Prospectuses can be obtained by contacting us.

Expense Ratio – Gross Expense Ratio is the total annual operating expense (before waivers or reimbursements) from the fund's most recent prospectus. You should also review the fund's detailed annual fund operating expenses which are provided in the fund's prospectus.

Neither Merrill Lynch nor any of its affiliates or financial advisors provide legal, tax or accounting advice. You should consult your legal and/or tax advisors before making any financial decisions.

Merrill Edge, available through Merrill Lynch, Pierce, Fenner & Smith Incorporated ("MLPF&S"), consists of Merrill Edge Advisory Center (investment guidance) or self-directed online investing.

Banking products are provided by Bank of America, N.A. and affiliated banks, Members FDIC and wholly owned subsidiaries of Bank of America Corporation ("BofA Corp.").

Merrill Lynch Life Agency Inc. and MLPF&S, a registered broker-dealer and Member Securities Investor Protection Corporation (SIPC), are wholly-owned subsidiaries of BofA Corp.

Investment products offered through MLPF&S and insurance and annuity products offered through Merrill Lynch Life Agency Inc.:

Are Not FDIC Insured	Are Not Bank Guaranteed	May Lose Value
Are Not Deposits	Are Not Insured by Any Federal Government Agency	Are Not a Condition to Any Banking Service or Activity

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576BDC19 (SCD*******801)

Small Business Individual 401(k)

Reduce your business & personal taxable income