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Ocho Solo 401k vs Fidelity Solo 401k

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Ocho vs Fidelity

Ocho is the most powerful solo 401k plan, allowing you to contribute up to $61,000 for 2022, up to $20,500 into a Roth account, and invest your funds in any asset class – all for just $299/year, with no fees for your assets under management.

How Ocho stacks up against the Fidelity Solo 401k

The Ocho Solo 401k is a premium self-directed solo 401k plan that comes with the ability to invest in any asset class, make Roth contributions, perform a mega backdoor Roth solo 401k, and make all your contributions and investments directly through the Ocho app. The Fidelity Solo 401k is a free solo 401k plan that comes with minimum features. While you can invest in a wide range of traditional assets, there is no Roth option, no mega backdoor, and you have to mail them a physical check if you want to make a contribution.

More investment options

With the Fidelity Solo 401k plan, you can invest in a wide range of traditional assets like stocks, bonds, and ETFs, but not alternative assets. With Ocho, you can invest in any asset class, including alternative assets like real estate and crypto.

Roth contributions & mega backdoor

Fidelity only offers a pre-tax account, while the Ocho Solo 401k plan comes with both pre-tax and Roth options. You can also perform a mega backdoor Roth solo 401k and contribute up to $61,000 into a Roth account for 2022.

Modern interface

Fidelity still requires that you mail in a physical check to make contributions. Ocho is a modern version of the solo 401k where you can make contributions and invest directly within our app using our integrated bank and investment platforms.

FeaturesOcho Solo 401kFidelity Solo 401k
Cost$299/year for unlimited investments.Free to set up.
Roth optionYesNo
Mega backdoor RothYesNo
Investment optionsAny asset classOnly traditional assets like stocks, mutual funds, ETFs, bonds.
Making contributionsOnline through the Ocho appMail in a physical check
Alternative investmentsYesNo
Checkbook controlYesNo
RolloversYes, from most retirement plansYes
Invest in cryptoYesNo
Invest in NFTsYesNo
Invest in real estateYesNo
Invest in private equityYesNo

Why do business owners prefer Ocho?

The Ocho Solo 401k is a supercharged retirement account for business owners with the highest contribution limits, a mega-sized Roth account, and integrated bank and investment platforms that allow you to invest in any asset class.

The highest contribution limits

You can contribute up to $61,000 into your Ocho Solo 401k for 2022 and up to $66,000 for 2023. In comparison, an IRA has a contribution limit of just $6,000 and a 401k has a contribution limit of $20,500.

A modern all-in-one platform

Imagine having to read through and sign 50+ pages of documents. That’s the old way of signing up for a solo 401k. With Ocho, everything is done seamlessly through our app, and creating your solo 401k can be done in under 10 minutes.

Invest in any asset class

Ocho gives you checkbook control over your investment account, allowing you to invest in any asset class from traditional assets, like stocks and ETFs, to alternative assets, like crypto and real estate.

A mega-sized Roth account

When you sign up with Ocho, you get both pre-tax and Roth solo 401k accounts. Contribute up to $20,500 into your Roth solo 401k, or up to $61,000 into your Roth solo 401k with our mega backdoor implementation.

Prototype vs non-prototype plans

A prototype plan is a free or low-cost solo 401k plan offered by some of the major banks, like Fidelity. While you can save money on sign up fees, your account won’t have any of the best features that are supposed to come with a solo 401k like a Roth option, mega backdoor, or the ability to invest in any asset class.

Ocho is a non-prototype plan. Along with a Roth option, mega backdoor, and modern interface, you can sign up, make contributions, and invest your funds all within the Ocho app.

Ocho is trusted and backed by the world’s top entrepreneurs, creators and money experts.

“The level of insight you get in terms of your money management is not something I’ve seen on any other apps I’ve used.”

3500

Early Stage Users

100+

Startup founders have invested in Ocho

$5M+

In preseed funding

Built by the team that built:

“The Ocho Solo 401k is a retirement plan so powerful and flexible that it feels like you’re getting access to a tax loophole.”

Elizabeth Yin
Cofounder, Hustle Fund

“Every business owner, creator, and self-employed person should have one. The benefits and tax savings each year are a no-brainer.”

Sebastian Fung
Owner, Ask Sebby

“Ocho built something I’ve wanted to exist for a long time – the modern solo 401k with all the best features and full admin support.”

Nate O’Brien
Investor & YouTuber

Transparent pricing with no AUM fees

Unlike other money managers, we charge zero fees on your money under management (AUM) and do not receive any kickbacks from any products we recommend.

All income levels and all business entities eligible

Any business owner, freelancer, creator, or even full-time employees with a side hustle can open a solo 401k. The only requirement is that you have no full-time W-2 employees that work over 1,000 hours in your business (excluding your spouse). There are no income limits – you’re eligible whether you make over $1M or operate a small side hustle.

One plan that fits all your needs.

$299 Annually

The Ocho Solo 401k Plan Comes With

  • Ownership of an Ocho Solo 401k Plan.
  • A Roth solo 401k account
  • Security & compliance monitoring.
  • Personalized investment plan & recommendations.
  • Support for a mega backdoor Roth conversion.
  • A delightfully simple all-in-one investment platform.
  • Full onboarding support and account administration assistance.
  • Integrated bank & brokerage accounts (coming soon).
  • Rollover support from other retirement plans that you already own.
  • Access to any investment options, with full checkbook control (coming soon).