Is the $250k threshold for Form 5500 filling based on the balance of the plan or the account?

Updated: Apr 23

When determining if you must file From 5500-SF or Form 5500-EZ or not, it is important to know what funds must be included in the calculation.



To determine if the $250k limit has been met, you will need to add up the value of all assets in the plan, not the accounts individually:


If you participate in multiple solo 401k plans, all the plans' assets must be aggregated to determine if the $250k threshold has been met.

  • The total plan assets for all participants under the Self-Directed Solo 401k plan must be added together to determine if the cumulative balance is over $250k. So, for example, the individual accounts for spouses and partners under the same plan will need to be included in the calculation.

  • All traditional, alternative and cash investments need to be added together to get the total value.

  • If you took a loan out of your solo 401k, the balance of the loan as of December 31st is treated as an asset, not a liability, so it must be included in the calculation to determine if the $250k threshold filing requirement has been met.


IMPORTANT: If you participate in multiple solo 401k plans, all the plans' assets must be aggregated to determine if the $250k threshold has been met.


Visit the Form 5500 Corner webpage, for additional information on one-participant plans and the instructions for Form 5500-SF and Form 5500-EZ.

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