Author Topic: Where to put spousal solo 401k contribution? Using free tax usa  (Read 1236 times)

housedress

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Hello! I’m a longtime reader of these forums and finally decided to take the plunge and use free tax usa in order to save the $800 we usually pay H&R Block!
Now I’m trying to figure out where to put my 10k retirement solo 401k contribution. I am a w-2 employee of my sole proprietor husband and thus eligible to contribute and I have … but where do I put it? I contacted the deluxe help at Freetaxusa and honestly they didn’t know, got a supervisor, asked me if I’m self-employed personally and then told me it should be on my w2. I’ve never done that before. I could look through my other tax returns but not sure if that will show me where to put it in Freetaxusa. Thanks so much if anyone has any info!

Archipelago

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Re: Where to put spousal solo 401k contribution? Using free tax usa
« Reply #1 on: May 18, 2023, 11:15:30 AM »
I'm a small business owner / sole operator single member LLC taxed as an S corp. I've been using Fidelity for my Keogh Solo 401(k) since before making the switch to an S corp. Fidelity is reputable, offers tons of flexibility with fund choices, and has good customer service. A Solo 401(k) can be opened up easily online. No annual fees, no set up fees.

The one downside of Fidelity is that as far as I know, they don't offer an automatic payroll deduction for 401(k) contributions. So I have to fill out a remittance form and mail a check each time I want to make a contribution. It's not ideal, but it's not the end of the world since I tend to only make 3 contributions per year.

https://www.fidelity.com/bin-public/060_www_fidelity_com/documents/customer-service/self-employed-401k-contribution-remittance.pdf

Vanguard and Fidelity are the 2 most recommended custodians on these forums. If you come across a more complete solution, please share!

Archipelago

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Re: Where to put spousal solo 401k contribution? Using free tax usa
« Reply #2 on: May 18, 2023, 11:17:06 AM »
Heh, I read "where to put it" as if you were asking how to set up a 401(k) custodian for self-employed persons. Woosh.

But yes, you'd report any 401(k) contributions on your W2.