Anyone who earns some form of self-employment income can establish a Solo 401(k) plan. In other words, even if you have a regular 9-5 job but do freelance graphic design on the weekends, you can open a plan. There are only two eligibility requirements:
- You must be self-employed
- You cannot have full-time employees in your small business (excluding yourself, your business partner, and spouse)
Recently, we were inspired by a Forbes article written by our very own Adam Bergman, a leading voice in the self-directed retirement industry and President of IRA Financial. In his article, he explained why the Solo 401(k) should inspire everyone to join the gig economy. But what if you don’t have the skills to be a freelance graphic designer, photographer, or writer? What side hustle can you do?
Before we get into seven side gigs anyone can do, let’s briefly explain why you want to establish a Solo 401(k) to begin with.
Key Takeaways
- You only need self-employment income (even from a small side hustle) to qualify for a Solo 401(k).
- A Solo 401(k) offers unique benefits, including a $50,000 loan option and the freedom to invest in alternative assets like real estate or crypto.
- Whether you drive for Uber, teach online, or rent your car on Turo, these gigs can help you save more for retirement and invest on your own terms.
Why the Solo 401(k)?
A Solo 401(k) offers far more flexibility and control than traditional employer-sponsored plans. It’s designed specifically for self-employed individuals and small business owners who want to save aggressively for retirement, diversify their investments, and maintain complete control over their funds.
Below are the key reasons why establishing a Solo 401(k) could be one of the smartest financial moves you make.
Self-Directed Investing
Unlike a traditional 401(k) that limits you to Wall Street products like stocks, bonds, and mutual funds, a Self-Directed Solo 401(k) empowers you to invest in a wide range of alternative assets. These include real estate, private businesses, cryptocurrency, precious metals, tax liens, and more.
With a self-directed plan, you make the investment decisions yourself—without needing custodian approval. This “checkbook control” feature gives you faster access to opportunities and the potential for higher returns, all while your earnings grow tax-deferred or tax-free (depending on the account type).
Example: You could use your Solo 401(k) funds to purchase a rental property or invest in a startup you believe in, allowing your retirement portfolio to grow outside of the stock market.
Traditional and Alternative Investing
While many investors use the Solo 401(k) for alternative assets, it’s not limited to them. You can still invest in traditional securities like index funds, ETFs, and mutual funds if you wish to maintain a diversified portfolio.
This flexibility means you can blend traditional and alternative investments—balancing stability with growth potential—all within one retirement plan.
Roth Solo 401(k) Option
Another major advantage of the Solo 401(k) is the ability to include a Roth component. With a Roth Solo 401(k), your contributions are made with after-tax dollars, allowing your future withdrawals to be 100% tax-free once you reach retirement age.
This makes the Roth option especially powerful for younger earners or those who expect to be in a higher tax bracket later. You can even contribute to both the traditional and Roth sides of your Solo 401(k), giving you the flexibility to create a personalized tax strategy that fits your long-term goals.
Example: You might contribute $15,000 to the pre-tax portion for an immediate tax deduction and $10,000 to the Roth side to enjoy tax-free growth and withdrawals in retirement.
Access to Emergency Cash When You Need It
Life happens — and sometimes, you need funds fast. Unlike most retirement accounts, the Solo 401(k) includes a built-in loan feature that can serve as an emergency loan when unexpected expenses arise.
If you ever need emergency cash immediately—for example, to cover medical bills, car repairs, or short-term business costs—you can borrow up to $50,000 or 50% of your account value (whichever is less) from your Solo 401(k). The best part? You’re borrowing from yourself, and every repayment (plus interest) goes back into your own retirement account.
This makes the Solo 401(k) not only a powerful retirement savings tool but also a flexible financial safety net. Having the ability to access emergency cash quickly can provide peace of mind while still keeping your long-term goals on track.
Book a free call with a self-directed retirement specialist
- Review your self-directed retirement options
- Learn about investing in alternative assets
- Get all of your questions answered
Easy Administration
Managing your Solo 401(k) is simple. There are no annual filing requirements until your account balance exceeds $250,000, at which point you file a short, one-page IRS form called Form 5500-EZ. IRA Financial provides guidance and resources to make this process seamless.
Additionally, you have complete visibility into your account and investments—no waiting on third-party approvals or dealing with layers of administration. The plan is built for independence and control.
Related: How to Choose the Best Solo 401(k) Provider
7 Side Gigs Anyone Can Do
If you dream of early retirement, then the Solo 401(k) can help you reach your goals faster. However, if you don’t have plans to start your own business, here are seven side gigs anyone can do.
- Lyft/Uber Driver
Ridesharing is a flexible side gig even if you have a full-time job. Your car must pass a basic inspection, and you’ll need to meet age and driving record requirements. Each company has slightly different standards, so visit their websites to review details. - DoorDash or Food Delivery Driver
Food delivery apps like DoorDash, Uber Eats, and Grubhub make it easy to earn extra income on your own schedule. All you need is a car, bike, or scooter, a smartphone, and a few spare hours each week. The flexibility and consistent demand for food delivery make this one of the most accessible and reliable side hustles for individuals of all backgrounds. - Online Tutoring
If you’re proficient in subjects like math or Spanish, you can teach students from home. If you’re fluent in English, you can also teach English to foreign students. Most platforms require a TEFL certification and a bachelor’s degree, but the work is both rewarding and well-paying. - Rent Out Your Car with Turo
Earn passive income by renting out your vehicle on platforms like Turo—the “Airbnb of cars.” You’re covered with up to $1 million in liability insurance, and you can set your own rental prices. - Mystery Shopper
If you love to shop, get paid for it! Mystery shoppers are hired to visit businesses and provide unbiased reviews of their experiences. - Voice-Over Artist
Whether you have a deep, energetic, or unique accent, your voice could be in demand for commercials or digital content. Create a sample reel and post it on platforms like Fiverr to start finding clients. - Translator
If you’re bilingual, you can find freelance translation or interpretation jobs on sites like Fiverr or Freelancer.
Related: Real Estate Investing with a Solo 401(k)
If You Quit Your Side Gig
The good news is that you don’t need to own a full business to establish a Solo 401(k). Any type of self-employment income qualifies. However, if you stop earning self-employment income, the plan must be terminated. If you opened your Solo 401(k) with IRA Financial, our team will assist you through the process and help roll over your funds to another retirement account.
If you enjoyed the freedom of self-directed investing, you can open a Self-Directed IRA to continue investing in alternative assets and stay in control of your retirement future.
Conclusion
Starting a side gig is more than just earning extra cash—it’s a gateway to greater financial freedom. With even a small amount of self-employment income, you can open a Solo 401(k), grow your savings faster, and invest in opportunities that matter to you. Whether you’re driving for Lyft, tutoring online, or renting your car, every gig can help you build a stronger, more independent retirement.
Turn Your Side Gig into Retirement Power
A simple side hustle can qualify you for a Solo 401(k) — meaning bigger contributions, loan options, and alternative-asset flexibility. Let our experts help you get started the right way.
