🏦 Freelance Retirement Planning 2026
SEP-IRA, Solo 401k, Roth IRA · Updated June 2026 · Tax strategies
No employer 401k? No problem. Freelancers actually have MORE retirement options than employees. Here's how to use them.
💰 Your Retirement Account Options
| Account | 2026 Limit | Tax Treatment | Best For |
|---|
| SEP-IRA | $69,000 | Tax-deductible now, taxed later | High earners |
| Solo 401k | $69,000 | Tax-deductible now, taxed later | Maximizers |
| Roth IRA | $7,000 | Taxed now, tax-free later | Lower earners |
| Traditional IRA | $7,000 | Tax-deductible now, taxed later | Tax deduction |
📊 How Much to Save
- Age 20-30: 10-15% of income
- Age 30-40: 15-20% of income
- Age 40-50: 20-25% of income
- Age 50+: 25-30% of income (catch-up contributions available)
💡 Pro tip: If you save 20% of your income from age 25, you'll likely have enough to retire by 65. If you start at 35, you need to save 30%+. Start yesterday.
🎯 The Freelancer Advantage
Employees are limited to $23,000 in their 401k. Freelancers can contribute up to $69,000 in a Solo 401k or SEP-IRA. That's 3x more tax-advantaged savings.
- Employee contribution: $23,000 (same as everyone)
- Employer contribution: Up to 25% of your net self-employment income
- Total: Up to $69,000 for 2026
💡 Tax Strategies
- Deduct contributions: SEP-IRA and Solo 401k contributions reduce your taxable income
- Roth for diversity: Mix pre-tax and Roth accounts for tax flexibility in retirement
- Quarterly contributions: Make retirement contributions quarterly to smooth cash flow
- Backdoor Roth: If you earn too much for a Roth IRA, use the backdoor method
Built by a freelancer who maxes out his Solo 401k every year. Open source on GitHub.