The Self-Employed 401(k), also known as a Solo 401(k) is designed for self-employed individuals and owner-only businesses who can now save more for their retirement through a 401(k) plan. Self-Employed 401(k) is available to self-employed individuals or business owners with no employees other than a spouse, including sole proprietors, partnerships, corporations, and "S" corporations.

A Self-Employed 401(k) may substantially reduce your current income taxes because generally, you can deduct the entire amount of your plan contributions from your taxable income each year. If your business is unincorporated, you can deduct contributions for yourself from your personal income. If your business is incorporated, you can generally deduct contributions as a business expense.