ForumsSolo 401k – EligibilityDoes a trainee count as an employee and disqualify me from a Solo 401k?

Forums Solo 401k Solo 401k – Eligibility Does a trainee count as an employee and disqualify me from a Solo 401k?

  • Does a trainee count as an employee and disqualify me from a Solo 401k?

    Trucker Trainer replied 3 months, 1 week ago 1 Member · 1 Posts
  • 0 Replies
  • Top SubjectSolo 401k – Eligibility
    Top ForumsSolo 401k – Eligibility

    Trucker Trainer
    Top SubjectSolo 401k – Eligibility

    March 18, 2024 at 3:40 pm

    Self-Employed Truck Driver (w/ LLC) that is also a Trainer. The trainees get paid a flat $900/wk and the training lasts approx 2 months (I sleep while they drive, they sleep while I drive, repeat). The trainee’s pay gets deducted out of my weekly settlement before it gets to me and the W2 paycheck that the trainee receives is *not* from my LLC but from the trucking company I am “leased with” (the one that gives me the loads).

    I heard (from an unreliable source) that since my LLC isn’t on the trainee’s paycheck that I am still eligible for a Solo 401k, but they kinda seem like an employee since they are bringing in revenue to the LLC for those 2 months. They would go well over the IRS max hours of a full/part time employee during those 2 months.

    Trucker Trainer

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