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Subject:  Re: Uni-K retirement plan Date:  3/29/2004  1:35 AM
Author:  cali4en Number:  40047 of 88435

My wife and I have had a "solo" 401K for two years now. Our plan is a combo product in that one company handles the investment services part and another handles all of the necessary IRS/DOL paperwork. In our case, the investment provider is SafeCo and American Express handles all of the paperwork. We pay a flat annual fee of $150 for our plan and generally our share of the paperwork amounts to checking, signing, and mailing all the forms that AmEx prepares for us. Pretty simple...

SafeCo offers us a decent choice of mutual funds, but will also allow for direct investing in almost anything via a deal they have with ShareBuilder. Most of the funds they offer are of the type that carry higher load fees, but they waive all loads for transactions within the 401K account. They even have a nice online portal where you can view your account, change investment options, and any of the other common things you would do with an investment account (statements, transaction history, etc.).

By the way, you will need an "administrator" for a solo 401K. As with any 401K plan, you have to do annual compliance testing for the IRS and the DOL. Granted, as a solo 401K owner you are only going to be covering 1-2 people and this type of testing is a joke, but it is still required by law.

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