Self-Directed Solo 401k bank account and contribution question

QUESTION: I plan to open Solo 401k.  As for the bank accounts, I have multiple accounts at PNC and will likely use them for simplicity to open Solo 401k bank accounts.

I plan to transfer funds out of an ING Savings account and into the self-directed Solo 401k trust account.  Do you see a problem with that?

Thanks,

MG

ANSWER: With respect to transferring funds from ING savings account, only other retirement funds such as former employer 401k plans and IRAs, with the exception of ROTH IRAS, may be transferred to Solo 401k.

With regard to making annual Solo 401k contribution based on self-employment generated in the 2012 tax year, the maximum contribution limit is 50,000 plus an additional $5,500 if you are age 50 or older in 2012. Therefore, if the funds in your ING savings account stem from self-employment income in 2012, then presumably they may be used towards calculating your 2012 Solo 401k contribution limit.

Please use our on-line calculator to calculate your annual Solo 401k contribution.  http://www.mysolo401k.net/solo401kcontributioncalculator.html

Following blog pages from our website contains good information regarding Solo 401k contributions.

http://www.mysolo401k.net/blog-for-mysolo401k.html?entry=self-directed-solo-401k-contribution

http://www.mysolo401k.net/blog-for-mysolo401k.html?entry=self-directed-solo-401k-solo

You can also use our annual Solo 401k contribution form to document your contributions located under following link:

http://www.mysolo401k.net/Free-Solo-401k-Investment-Forms.html