When you create a Solo 401k plan where you are your own administrator, custodian, and trustee, part of the plan documents is a 401k trust. You choose the name of the trust before creating the plan.
But what happens if you want to change the trust name later on? Perhaps you no longer like the name, or it was related to a business you no longer run. It is possible to change your trust name with the IRS and keep the same EIN number and same Solo 401k plan.
Before changing the name of your trust, you'll want to consider the implications of doing so. If you already have bank or brokerage accounts for your Solo 401k, you'll most likely need to change the trust name on each account once the name has been updated with the IRS.
If you own any assets such as a real estate, or have any contracts such as a private loan contract, or tax liens, then the trust name will need to be updated on the title/loan/legal document.
Per the IRS, a change of the name of the trust requires "copy of the amendment to the trust instrument, or a resolution to amend the trust instrument, showing the effective date of the change of name and signed by at least one trustee."
We recommend that clients send a resolution to amend the trust, signed by at least one trustee (you). An example Resolution letter can be found here.
Fax or mail this to:
Mail: Internal Revenue Service
Mail Stop 6273
Ogden, UT 84201
You'll also need to make sure to follow up with the IRS directly. After your notice has been received, the IRS states the timeframe to update your name is 30-60 days. They won't send you an updated EIN letter automatically, so you'll need to call them at (877) 829-5500 to request an updated EIN letter after this timeframe has passed.
Once your name has been updated in their system, please let us know and we will update your plan documents accordingly. If you have any bank accounts you'll need to update that name as well as an assets you may be currently holding in the name of the trust.