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Updated about 3 years ago,
Correcting Solo 401K slip up
I was looking for some advice on an issue I’ve run into with our solo 401(k).
- 1. We initially set up a Individual 401K with E*Trade under BizName. Let's call this Plan A.
- 2. Eventually we organized as an S-corp, BizName, Inc and I applied for a new Federal EIN. Since we had a new FEIN, I started a new E*Trade Individual 401k with this FEIN. Let's call this Plan B.
I have only recently come to learn about controlled group rules, that the fact that we incorporated and got a new FEIN didn’t mean we were a new employer in the eyes of the IRS. Do you have suggestions on how to resolve?