MBO's E*TRADE Partnership

Maximize your retirement savings through MBO's partnership with E*TRADE.

Depending on your corporate structure, you may be eligible to enroll in either a Simplified Employee Pension Individual Retirement Account (SEP-IRA) or an Individual 401(k) to set aside money for retirement.
MBO selected E*TRADE as the partner of choice for providing maximum flexibility and personalized customer experience.

Have questions or interested in enrolling?
Contact the Tax & Retirement Group for inquiries regarding Individual/Roth 401(k) account applications at 1-888-402-0654. E*TRADE can advise you on which plan may be available to you depending on your business setup.

Please find more information on each retirement plan below.

E*TRADE SEP-IRA

The SEP-IRA retirement plan offers:

• No minimum initial deposit
• No annual fees and no account minimums
• Flexibility in building your portfolio
• Pre-tax contributions providing tax advantages to your company
• Roll-over pre-tax contributions from a traditional retirement account
• Brokerage options to manage your investments
• Access to a personal financial advisor

HOW DO I ENROLL IN THE SEP-IRA?

Navigate to E*TRADE's SEP-IRA webpage and click the 'Open an account' button, then follow the steps below to enroll.

You can also contact an E*TRADE support specialist to learn more or enroll at 1-888-402-0654.

WHAT ARE THE CONTRIBUTION LIMITS?

Contributions to a SEP-IRA cannot exceed the lesser of:

1. 25% of your net adjusted self-employed income, or
2. 2026 annual limit: $72,000 total retirement contributions

Note that elective salary deferrals and catch-up contributions are not permitted in SEP plans. Loans from SEP plans are also not permitted.

WHAT ARE THE BASIC DISTRIBUTION RULES FOR A SEP-IRA?

You can take distributions from your SEP-IRA at any time. There is no need to show a hardship to take a distribution. However, your distribution will be included in your taxable income and it may be subject to an additional tax if you are under age 59½.

E*TRADE INDIVIDUAL 401(K)

An Individual 401(k) is a retirement savings option that qualifies as an IRS-approved and ERISA-governed platform. It is designed for self-employed individuals or the sole owner-employee of a corporation where there are no full-time employees other than themselves and their spouse. An Individual 401(k) is sometimes referred to as a Solo 401(k), a Uni 401(k), or a one-participant 401(k).

Additionally, MBO has negotiated exclusive savings with E*TRADE, including:

• Special pricing with stock and ETF trades, along with low transaction fees on leading mutual funds
• Ask about other incentives, including sign-on bonuses, when setting up your account with E*TRADE

HOW DO I ENROLL IN THE INDIVIDUAL 401(K)?

To learn more or enroll, please contact an E*Trade Tax & Retirement Specialist at 1-888-402-0654.

PERSONAL CONTRIBUTIONS

• Contributions are made at the personal level as a payroll deferral.
• Contribution is either made pre-tax into a traditional 401(k) or post-tax into a Roth 401(k) account.
• 2026 annual limit is $24,500 ($32,500 for ages 50 - 59 and 64+ or $35,750 for ages 60 - 63).

INDIVIDUAL 401(K) CONTRIBUTION LIMITS?

The contribution limits in an Individual 401(k) with one participant are the same as a traditional 401(k) plan. The personal deferrals can be split between traditional pre-tax and Roth after-tax contributions. Consult with your financial advisor to determine your optimal retirement contribution strategy.

See below for a few scenarios to consider, based on 2026 values. Please consult with E*TRADE to determine if you are eligible for profit-sharing contributions in your plan.

Scenario 1: Maximum Personal Deferral, Maximum Profit-Sharing

Total maximum retirement contributions

• $24,500 ($32,500 for ages 50 - 59 and 64+ or $35,750 for ages 60 - 63)
• Up to $72,000 max profit-sharing contributions (not to exceed 25% of gross compensation)

Scenario 2: Zero Personal Deferral, Maximum Profit-Sharing

Total maximum retirement contributions = $72,000

• $0 personal deferral
• $72,000 max profit-sharing contributions (not to exceed 25% of gross compensation)

Scenario 3: Maximum Personal Deferral, Zero Profit-Sharing

Total maximum retirement contributions = $24,500 ($32,500 if age 50 and up)

• $24,500 ($32,500 for ages 50 - 59 and 64+ or $35,750 for ages 60 - 63)
• $0 profit-sharing contributions

TAX COMPARISON: TRADITIONAL VS. ROTH 401(K) CONTRIBUTIONS