Welcome to the forum.
Yes, you are correct that while you have two participant accounts (traditional 401k and Roth 401k), you only have one Solo 401k plan. Your business can only sponsor one Solo 401k plan. Only one annual Form 5500-EZ should be filed if the combined account balances at 12/31 are $250k+. If this is your initial plan, the sequence # should be “001” for both accounts.
When you say you have been “funding and reporting two plans to the IRS”:
1) have you contributed more than the annual IRS limits to the two accounts combined?
2) do you mean you have been filing two Form 5500-EZs (one for each account) each year?
3) have you missed filing an annual Form 5500-EZ for any year where the combined account balances at 12/31 were $250k+?
Yes, you are correct that while you have two participant accounts (traditional 401k and Roth 401k), you only have one Solo 401k plan. Your business can only sponsor one Solo 401k plan. Only one annual Form 5500-EZ should be filed if the combined account balances at 12/31 are $250k+. If this is your initial plan, the sequence # should be “001” for both accounts.
When you say you have been “funding and reporting two plans to the IRS”:
1) have you contributed more than the annual IRS limits to the two accounts combined?
2) do you mean you have been filing two Form 5500-EZs (one for each account) each year?
3) have you missed filing an annual Form 5500-EZ for any year where the combined account balances at 12/31 were $250k+?
Statistics: Posted by HomeStretch — Sun Nov 03, 2024 12:06 am — Replies 1 — Views 99