Retirement Program for Realtors

Retirement Program for Realtors

The Solo 401(k) can really be an asset to a top-producing real estate agent. If you get 1099-income, we can setup a solo 401(k) for you, either as a sole proprietor or an LLC. As long as you don’t have any other employees that are owners, you can include your spouse in that, that would be fine, you can write-off up to about $58,000-$59,000 a year. You would receive a certain amount of salary, and that can be deferred tax-free into your plan. And then your company, you as sole proprietor or your LLC from your commissions, that is company money, then that can be matched and go in there and be a write-off. So you can shelter a lot of money. And if you hire your spouse, you can actually double all of that.
And then, you have the ability to immediately borrow back up to $50,000 or half of your plan’s worth. So it’s a really nimble way, inexpensively, an independent contractor, like a top-producer, can shelter a lot of money, have instant access to it as a plan administrator, run out and make investments, buy apartments, join ventures with some investors that you know, and really be able to ratchet up the returns in your retirement. Shelter the money you make on commissions, put it into real estate, or loans, or whatever you want to as the plan administrator. It’s a great program for a realtor.