An Overview of 401k Fidelity Accounts

For those who are self-employed, opening Fidelity 401k accounts can be a smart strategy to growing your nest egg. Fidelity 401k accounts give you wide access to market investment vehicles, and unlike other institutions, there are not extraneous fees that eat away at your earnings.

What is a 401k Fidelity Account?


A 401k is similar to an IRA in that it is specifically used to save for retirement. However, an IRA can be started by an individual, while a 401k is established by an employer.

If you are self-employed, you can take advantage of Fidelity 401k accounts, opening the account as the owner of the company, listing yourself as the sole employee. Fidelity’s Self Employed 401k accounts can only be opened by business owners.

These accounts follow similar rules to IRAs in terms of tax-deductible contribution limits and regulations on withdrawals. One of the biggest advantages to a Fidelity retirement account is that you can put much more into it each year than you can an IRA. In addition, a 401k Fidelity account is often a better yielding choice than a Profit Sharing Plan.

Why Choose 401k Fidelity Accounts?


Fidelity stands out from the crowd because its 401k Fidelity accounts have no set-up fees or annual account maintenance fees. This is especially advantageous for young savers, as most other institutions charge fees if your balance is below a certain minimum. In contrast, with 401k Fidelity accounts, you are never charged any type of account fee.

In addition, 401k Fidelity accounts give you access to the entire gamut of investment options. Whether you want to trade the market, invest in mutual funds, or buy ETFs, you can diversify to your heart’s desire through 401k Fidelity accounts.

Better still, Fidelity recently launched its commission-free program, wherein you can trade 25 popular iShares ETFs without paying any commissions. From small cap to large cap, as well as international and bond flavors, 401k Fidelity accounts benefit from no commission trades on leading ETFs – which inherently are an instrument that offers tremendous value.

For those who are self-employed, opening a 401k Fidelity account gives you full access to the market, while ensuring that nearly every penny you save for retirement remains yours – and does not get eating in commissions and fees.

Opening a 401k Fidelity Account


To be eligible for a 401k Fidelity account, you must be self-employed, with a registered corporation. You simply need to fill out the 401k Account Application before December 31st and then make the appropriate contribution. Contributions can be made right away once the account is established.

Too many investors are pigeonholed into limited 401k investment choices. If you have the luxury of being self-employed, opening a Fidelity retirement account frees you from the traditional shackles of 401ks, allowing you to invest for your golden years without a bevy of fees or even commissions.
Tim Ord
Ord Oracle

Tim Ord is a technical analyst and expert in the theories of chart analysis using price, volume, and a host of proprietary indicators as a guide...

Tradingsim.com
Day Trading Simulator

Tradingsim.com provides the ability to simulate day trading 24 hours a day from anywhere in the world. TradingSim provides tick by tick data for...

Send this article to a friend.

Enter multiple addresses on separate lines or separate them with commas.