Individual 401(k) featuring
Vanguard investments

An Individual 401(k)—or Individual(k)TM—is a retirement plan designed for owner-only organizations that can maximize your savings if you're self employed, allowing you to contribute as both the employer and the employee.

Who can participate?

The Ascensus Individual(k) with Vanguard investments is available for:

  • Self-employed individuals and business owners with no common-law employees and their spouses who are employed by the business.
  • C corporations, S corporations, and limited liability companies (LLCs), with no common-law employees, can also participate.

How much can you contribute?

Review the contribution limits and key highlights below to determine if the Individual(k) featuring Vanguard investments is the best fit for your business. This plan allows both pre-tax and Roth (after-tax) contributions.

Employer contribution limits

Employers can contribute up to 25% of compensation, not to exceed $69,000 for the 2024 tax year.

Employee contribution limits

Employees can defer 100% of their compensation, up to $23,000 for the 2024 tax year ($30,500 for employees age 50 or older). Roth contributions are accepted.

Total contributions

As a business owner, you can contribute both as an employer and employee. The combined amount of employer plus employee contributions can’t exceed $69,000 for the 2024 tax year ($76,500 if age 50 or older).

Start your plan now.

Exclusively Vanguard funds

With the Ascensus Individual(k) featuring Vanguard investments, you can choose from a variety of Vanguard 
mutual funds.

There is a $20 annual fee per Vanguard fund per account holder in this Individual(k) plan and a $20 annual fee per participant for custodial services.

To establish an Individual 401(k) plan, an employer identification number (EIN) is required. If you do not have an EIN, you can apply for one online at

For one-participant plans, annual filing of IRS Form 5500 is required once the plan's assets reach $250,000 at the end of your plan year or you terminate your plan. We'll provide you with information each year to help you complete the form.

Plan administration may require occasional duties, such as periodically updating or restating the plan—and we can help you complete those tasks, too.


  • You may only take withdrawals when you’ve reached a specified event—such as reaching age 59½, terminating the plan, separating from service, or experiencing another event as identified by the plan.
  • You may be allowed to take a hardship withdrawal, which may be subject to a 10% penalty if you’re under age 59½.


  • Loans from the Individual(k) plan featuring Vanguard investments are not allowed.

You will pay ordinary income tax on any taxable distributions.

Roth distributions are tax- and penalty-free if taken after age 59½ and you’ve had the Roth Individual 401(k) for more than five years.

Ready to get started?

Explore more plans featuring Vanguard investments