Comparing the Best Solo 401k Options for 2025
Find the right Solo 401k provider for your retirement needs
Prototype vs. Non-Prototype Plans
Solo 401k plans fall into two main categories: prototype and non-prototype plans. Understanding the differences can help you choose the right provider for your needs.
Prototype Plans
These are pre-approved, standardized plans offered by major brokerages like E*TRADE, Fidelity, and Schwab.
Pros:
- Free or low-cost setup and maintenance
- Simple administration and compliance
- Established financial institutions with strong customer support
- Digital platforms for easy account management
Cons:
- Limited flexibility and features
- May not offer Roth options or loan provisions
- Often lack after-tax contribution capabilities
- Restricted to their investment platforms
Non-Prototype Plans
Custom-designed plans offered by third-party administrators that can be tailored to your specific needs.
Pros:
- Maximum flexibility and customization
- Checkbook control for direct investment management
- Alternative investment options (real estate, private equity, etc.)
- Advanced features like after-tax contributions and Mega Backdoor Roth
Cons:
- Higher setup and annual maintenance fees
- More complex administration
- Greater responsibility for compliance
- May require more financial knowledge
What to Look for in a Solo 401k Provider
- Contribution Types: Availability of both Roth (post-tax) and Traditional (pre-tax) options
- After-Tax Contributions: Ability to perform a Mega Backdoor Roth IRA
- Loan Options: Availability of plan loans
- Investment Flexibility: Range of investment options including alternatives
- Rollover Options: Ability to roll assets into or out of the plan
- Costs: Setup, maintenance, and investment fees
Top Solo 401k Providers
1. E*TRADE Solo 401k
Pros:
- Offers both Traditional and Roth contributions
- Allows loans
- No setup or maintenance fees
- Wide range of investment options
Cons:
- Limited in-service distribution options
Best For: Individuals seeking robust features and low costs.
2. Fidelity Solo 401k
Pros:
- Low trading fees ($0 for stocks, ETFs, and options)
- Full range of investment options
- Accepts rollovers for backdoor Roth IRA strategies
Cons:
- No Roth or loan options
Best For: Long-term investors prioritizing low costs and comprehensive investment choices.
3. Ascensus (Formerly Vanguard) Solo 401k
Pros:
- Offers Traditional and Roth contributions
- Recently added rollover options
Cons:
- No loan options
- Limited to Vanguard mutual funds
- Annual custodial and per-fund fees can add up
Best For: Investors loyal to Vanguard's low-cost mutual funds.
4. Charles Schwab Solo 401k
Pros:
- Offers both Traditional and Roth contributions
- Wide range of investment options
- No setup or annual fees
Cons:
- No loan or after-tax contribution options
Best For: Investors seeking a straightforward, low-cost plan.
Non-Prototype Solo 401k Providers
If the "free" prototype plans from major brokerages don't meet your needs, consider a third-party provider. These plans offer full customization, including:
- Checkbook control
- Alternative investments (e.g., real estate, startups, cryptocurrency)
- Mega Backdoor Roth IRA options
| Provider | Setup Fee | Annual Fee | Total First Year |
|---|---|---|---|
| MySolo401k | $525 | $125 | $650 |
| Nabers Group | $499 | $348 ($29/month) | $847 |
| RocketDollar | $600 | $480 ($40/month) | $1,080 |
| Ubiquity Single(k) | $285 | $228 ($19/month) | $513 |
| Ubiquity Single(k) Plus | $350 | $450 ($37.50/month) | $800 |
Setup Fee: $525
Annual Fee: $125
Total Cost: $650
Summary:
MySolo401k offers one of the most cost-effective options with a one-time setup fee of $525 and the lowest annual fee of $125. Their plan documents are IRS-approved and allow for a wide range of alternative investments including real estate, cryptocurrency, and private investments. They can help clients establish accounts at major brokerages like Fidelity or Schwab while maintaining full self-direction capability. A distinctive feature is their support for voluntary after-tax contributions (mega backdoor Roth strategy).
Features:
- Full customization
- Comprehensive plan support
- Helps setup trust accounts at the brokerage of your choice
Best For:
Hands-on investors who want long-term stability, maximum control, and IRS help included without extra costs.
Setup Fee: $499
Monthly Fee: $29 ($348/year)
Total Cost: $847
Summary:
The Nabers Group has been in business since 2006 and charges a $499 setup fee with a $29 monthly fee ($348 annually). They feature instant document preparation for loans and IRS Form 5500-EZ. Their plan allows investment in almost any asset class including loans, real estate, hedge funds, and cryptocurrency. They operate as an SEC registered investment advisory firm, providing competent advice on alternative investment choices.
Features:
- Instant document preparation
- Investment advice
Best For:
People who want education + a supportive community and are fine paying a bit more annually.
Setup Fee: $600
Monthly Fee: $40 ($480/year)
Total Cost: $1080
Summary:
RocketDollar charges a higher setup fee of $600 and a monthly fee of $40 ($480 annually). Their Solo 401(k) comes with a trust checking account allowing for unlimited fee-free transactions. They emphasize their expertise in real estate investments (rentals and fix-n-flips) and provide domestic investment options only. For clients opening multiple accounts, RocketDollar offers discounts on both setup fees and monthly subscriptions
Features:
- Modern online dashboard
- Concierge support
Best For:
People who prefer a modern online dashboard and want concierge support.
Pricing:
| Plan | Setup Fee | Monthly Fee | Annual Cost | Total First Year |
|---|---|---|---|---|
| Single(k) | $285 | $19 | $228/year | $513 |
| Single(k) Plus | $350 | $37.50 | $450/year | $825 |
Summary:
Ubiquity offers a streamlined Solo 401(k) with their Single(k) Plus plan starting at $37.50 per month. Unlike most other providers, they function as both a third-party administrator and recordkeeper. Their plan includes professional 3(38) investment oversight with their CensiblyYours fund list and model portfolios. Ubiquity's pricing structure is transparent with no hidden costs and no Asset Under Management (AUM) fees.
Features:
- Low-cost entry
- Professional oversight and record-keeping
- CensiblyYours fund list and model portfolios
Best For:
Those who prioritize compliance and simple administration over checkbook investing speed; good for those planning to grow into a traditional 401k with employees.
Conclusion
A Solo 401k can be a powerful tool for maximizing retirement savings and reducing taxes for self-employed individuals. Carefully consider the features and costs of each provider to find the best fit for your financial goals.
Whether you choose a free prototype plan or a customizable non-prototype option, the right Solo 401k can set you on the path to a secure retirement. Learn more about eligibility requirements and contribution limits to get started.