Solo 401(k) minimum income to max MBDR?

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groceryguy
Posts: 11
Joined: Thu Dec 08, 2022 9:54 am

Solo 401(k) minimum income to max MBDR?

Post by groceryguy »

I am wondering what the minimum income is to max out a MBDR solo 401k. I am in a job where I have some control as to when I receive compensation so I want to figure out how I should best allocate it between this year and next.

I am a sole proprietor and cannot file as an S corp or LLC. I plan to max my personal contribution in a w-2 job so my whole solo 401k contribution will be employer contributions + voluntary after tax.

What is the minimum I should aim to receive while still being able to hit the 66,000 limit. Is it just simply 66,000? Can I use cash reserves to fund this amount so as to account for taxes owed? Or do I need to earn enough to both pay the taxes AND make the full after tax contribution?

Any help appreciated.
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