401k Participant Loan from Solo 401k and Full-Time Employer 401k Plan

[Andrew G.]

If I were to take a $50,000 loan from an individual 401K from my W2 employer, would that preclude me from taking a $50,000 loan from my Solo401K as well?

Andrew G.

Contact

[Mark Nolan]

Good question and no it would not, as you can borrow from both your full-time employer 401k since you don’t own that business as well as your solo 401k plan. This means you could possibly borrow up to $100,000 from both plans combined so $50,000 from each 401k plan.

When determining how much you can borrow from your solo 401k through a participant loan, you only look at the balance of the solo 401k not your day-time employer job 401k to determine if you can borrow the full $50,000. See the following for more information. https://www.mysolo401k.net/solo-401k/solo-401k-loan/

Mark Nolan

Compliance Officer

Contact

1-800-489-7571 www.mysolo401k.net