Those in the gig economy need ways to plan for retirement too
CHARLOTTE, N.C. (PRWEB) May 15, 2019
Those investors who want to use the tax protections of a retirement account but want more freedom and choices often turn to a Self-Directed IRA for their retirement planning purposes. But what about those who work within the so-called “gig” economy? One option is the Self-Directed Solo 401(k), a vehicle that allows people to use tax-deferred money to fund retirement, which creates immediate tax savings on income they currently earn.
The Self-Directed Solo 401(k) is “a defined contribution small business retirement plan,” according to a recent post at American IRA’s blog, “specifically designed for sole proprietorships and small businesses with just one employee—the owner, or the owner and his or her spouse.”
People who work within this context can put money aside for retirement, and the act of putting money toward a 401(k) plan would then count as a deduction from the overall income on which they are taxed. This frees up more money for retirement, which is a retirement benefit for those who work as independent contractors in the “gig” economy.
“Those in the gig economy need ways to plan for retirement too,” said Jim Hitt of American IRA. “And the Self-Directed Solo 401(k) is one such option. These come with high contribution limits which makes it possible to contribute a hefty sum to one’s retirement and yield a whole range of benefits.”
The possibility of self-direction also means that gig economy workers might have more options for retirement investing than they first imagined. With high contribution limits and plenty of freedom for one’s investments, it can be a very attractive option for independent contractors who need to maximize every dollar earned.
The article at American IRA’s blog also highlighted other options, such as Self-Directed Roth 401(k) plans, while also highlighting the contribution limits for Self-Directed Solo 401(k). For more information on these plans and how they might fit in with the gig economy, visit http://www.AmericanIRA.com or call 866-7500-IRA.
American IRA, LLC was established in 2004 by Jim Hitt, CEO in Asheville, NC.
The mission of American IRA is to provide the highest level of customer service in the self-directed retirement industry. Jim Hitt and his team have grown the company to over $400 million in assets under administration by educating the public that their Self-Directed IRA account can invest in a variety of assets such as real estate, private lending, limited liability companies, precious metals and much more.
As a Self-Directed IRA administrator, they are a neutral third party. They do not make any recommendations to any person or entity associated with investments of any type (including financial representatives, investment promoters or companies, or employees, agents or representatives associated with these firms). They are not responsible for and are not bound by any statements, representations, warranties or agreements made by any such person or entity and do not provide any recommendation on the quality profitability or reputability of any investment, individual or company. The term "they" refers to American IRA, located in Asheville and Charlotte, NC.