Which of the following statements concerning individual 401(k)s is false?
A) In general, individual 401(k)s have higher administrative costs than SEP IRAs.
B) Employees cannot participate in individual 401(k)s.
C) Individual 401(k)s are available only to self-employed taxpayers with 100 or fewer employees.
D) Individual 401(k)s have contribution limitations.

Question

Quizplus · Accepted Answer

Individual 401(k)s, also known as solo 401(k)s, are designed for self-employed individuals and business owners with no employees, not for those with up to 100 employees.

Which of the Following Statements Concerning Individual 401(k)s Is False