I opened a Fidelity solo 401K account on the theory that competition with Vanguard would force Fidelity to keep the fees on the Spartan Funds equal to the fees on the Admiral Shares. Essentially, I think Fidelity has to match Vanguard's low cost offerings to keep business, but because fewer Fidelity customers care about low fees, Fidelity has more profits to reinvest in its website and customer service. On to the question:
Now that I have the solo 401K opened, I find out that the only way I can contribute to it is via check mailed to Fidelity (why wasn't this mentioned in any of the zillion reviews out there). There is not electronic funds transfer available for my Keogh profit sharing account. The representative said that this was to prevent over-contribution. The representative offered the work around that I could open a separate taxable Fidelity account, contribute to that via ETF, and then call Fidelity and have a representative make the transfer from the taxable account to the retirement account, which makes the bookkeeping really screwy for my business.
So my two options to contribute apparently are:
(1) mail them a check.
(2) deposit the money to the wrong account and then call them to transfer it to the right account.
It's 2014 and ain't nobody got time for that.
Do any other providers of low cost index funds allow ETF to a solo 401K? Schwab, Vanguard?