Solo practitioners in the legal field have options for retirement planning, including setting up a solo 401(k), according to Christopher Siwik, Regional Vice President with the ABA Retirement Funds Program. In a statement released on Mar. 23, Siwik said that many attorneys assume they cannot access retirement plans after leaving larger firms, but the Internal Revenue Service allows self-employed individuals without employees to establish tax-advantaged solo 401(k) accounts.
The topic is important as many lawyers transitioning from larger firms may not realize they can still save for retirement efficiently while practicing independently. Solo 401(k)s offer features such as contributions by both employer and employee and flexibility for spouses employed by the firm to participate.
Siwik outlined that eligibility requires income produced by the attorney’s own firm, which can be structured in various ways including sole proprietorships or partnerships. Setting up a plan involves obtaining an employer identification number and working with brokers or financial service providers like the ABA Retirement Funds Program.
Solo practitioners can choose between traditional pre-tax savings or Roth after-tax options within their solo 401(k). Compared to other plans such as SEP IRAs or SIMPLE IRAs, solo 401(k)s generally allow higher contribution limits and more investment choices. They also permit borrowing from one’s account and provide significant tax benefits due to dual employer-employee contributions.
Siwik emphasized that “the Program distinguishes itself through its dedication to serving the legal profession exclusively,” offering tailored support at lower costs than general financial institutions. The ABA Retirement Funds Program is a not-for-profit corporation organized by the American Bar Association and currently services nearly 3,800 law firm retirement plans with over $8 billion in assets as of December 31, 2025.
Looking ahead, Siwik encouraged attorneys interested in establishing a plan to reach out directly for guidance on creating customized solutions suited to their practices.
