401k plans for minors in california

[maynard]

Can a 17 year old in California set up a 401k plan in California? He is a successful businessman and needs an investment plan. Any advice on whom to contact would be appreciated. Most companies will not sign up a minor to a plan that entails risk. Are there plans with no initial risks that can be converted to a more dynamic investment after he becomes of age? Also at what is the legal age to start a 401k. 21?

 

[cbg]

The laws regarding 401k's are Federal, not state.

To the best of my knowledge, a minor cannot set up a 401k plan. However, a minor can set up a Roth IRA. You might want to look into that option.

 

[rmet4nzkx]

Another option if they plan on attending college in the future is the California Golden State ScholarShare College Savings Trust
http://www.scholarshare.com/
http://www.scholarshare.com/program_info.html

 

[tonymarq1]

401(k) Company Sponsored

401(k) plans are company sponsored plans offered only to its employees. Only individuals working in the company can have the plan. Outsiders are not offered the plan. Outsiders must go for an IRA, or similar plans offered to the public.