JPMorganChase introduces new retirement solution
JPMorganChase has launched Solo 401(k), a retirement solution designed for solo entrepreneurs and self-employed individuals with no full-time employees.
Solo 401(k) allows small business owners to set up a 401(k) plan online, offering flexible investment options, including J.P. Morgan Asset Management’s ready-to-use solutions or customized plans. Vestwell will continue to be the recordkeeper for this Everyday 401(k) expansion.
“The launch of the Solo 401(k) marks a significant milestone in our commitment to enhance retirement planning for solo entrepreneurs. We are excited to help solo entrepreneurs and small business owners with the resources needed to secure their financial future, empowering them to confidently achieve their retirement goals. This offering underscores our dedication to improving retirement outcomes and guiding plan participants through the complexities of retirement planning.” – Steve Rubino, Head of Retirement at J.P. Morgan Asset Management.
“Today’s economy is powered by self-starters – consultants, creators, contractors – who have redefined what it means to work. Solo 401(k), our new retirement solution for small business owners, provides a flexible way to save for the future while growing their business, wherever they may be in their retirement planning journey.” – John McCourt, Head of Client Relationships at Chase for Business.
Key Features of Solo 401(k) include:
- Eligibility: Tailored for sole proprietors and self-employed small business owners with no employees, other than a spouse, who can be included in the plan if employed by the business.
- Unmatched Flexibility and Savings Potential: To help maximize retirement savings potential, small business owners can save up to $70,000 annually (or more for those aged 50+) for themselves, and up to an additional $70,000 for their spouse, if employed by the business.
- High Contribution Potential and Tax Advantages: Acting as both employer and employee, individuals benefit from high contribution limits and tax advantages, including pre-tax and Roth contributions and tax-deferred growth.
