E*TRADE vs Fidelity vs Schwab: The Only SEP-IRA Comparison You Need

The quick ranking

Need	Best pick
Just a SEP-IRA, keep it simple	Fidelity or Schwab
Solo 401k with loan feature	E*TRADE
Solo 401k with Roth option	E*TRADE or Fidelity
Already bank with the broker	Consolidate with that broker

The detailed comparison

Fees

Provider	Account fee	Trading fee (stocks/ETFs)	Mutual fund fee
Fidelity	$0	$0	$0 for Fidelity funds
Schwab	$0	$0	$0 for Schwab funds
E*TRADE	$0	$0	Varies by fund

Commissions and account maintenance are free across all three. You'll pay fund expense ratios regardless of where you hold, but those are set by the fund, not the broker.

Solo 401k loans

This is the single most important differentiator. If you might want to borrow against your 401k balance in the future (emergency, business asset purchase, property down payment), E*TRADE is the only major broker that offers it on a free Solo 401k plan.

Fidelity, Schwab, and Vanguard all use "prototype" plan documents that exclude the loan provision. To get a loan with them, you'd have to convert to a customized "non-prototype" plan — which none of the big three offer for free.

Roth option (Solo 401k only)

Both E*TRADE and Fidelity support designated Roth contributions within their Solo 401k plans. Schwab does not — its Solo 401k is pre-tax only.

SEP-IRAs have no Roth option at any provider — this is a plan-level restriction set by the IRS, not the broker.

Online tools / user interface

• Fidelity: Best mobile app. Clean, fast, lots of research tools.
• Schwab: Best desktop interface. Research quality is exceptional. Mobile is okay.
• E*TRADE: Clean interface, especially for active trading. Research tools are solid. Owned by Morgan Stanley (acquired 2020), some post-merger integration friction.

Customer service

• Fidelity: Reliably fast phone support. Retirement specialists available.
• Schwab: Also excellent. 24/7 phone lines.
• E*TRADE: Decent but not as fast as the first two for retirement account questions.

Investment options

All three give you access to essentially the same universe of stocks, ETFs, mutual funds, bonds, CDs. Differences at the margin:

• Fidelity has no-fee zero-expense-ratio index funds (FZROX, FZILX). Unique to them.
• Schwab has its own low-cost index fund family (SWPPX, SWTSX).
• E*TRADE doesn't have house funds at this level but supports Vanguard, iShares, and others with free trading.

The recommendation tree

1. Want a Solo 401k with loan feature? → E*TRADE
2. Want Solo 401k with Roth but don't need loans? → E*TRADE or Fidelity (toss-up)
3. Just a SEP-IRA, no plans to convert? → Fidelity or Schwab (either is fine; pick whichever you already use)
4. You bank with one of them already? → Consolidating makes transfers simpler; pick that one

What about Vanguard?

Vanguard is fine for SEP-IRAs but charges $20/year per fund in a Solo 401k (sub-$50,000 accounts). At high balances, this is trivial. At low balances, it's noticeable.

Vanguard also doesn't support Solo 401k loans or Roth. If you're going Solo 401k, Vanguard is generally not the best pick.

Moving between brokers

If you pick wrong and want to move, it's a standard ACATS transfer — paperless, usually 5–10 business days. No tax consequences.

The only case where moving is more complex is Solo 401k: the plan document changes, and the IRS needs to see proper termination of the old plan and adoption of the new. Specialty custodians handle this smoothly; DIY is possible but fiddly.

Specialty Solo 401k providers (if you want full flexibility)

• My Solo 401k Financial — ~$125/yr after setup. Supports loans, checkbook control, self-directed investing (real estate, private equity).
• Rocket Dollar — ~$15/mo. Similar feature set.
• Nabers Group — ~$600/yr. Includes crypto and self-directed options.

Most solo LLC owners don't need these. If you're going to invest in non-traditional assets (real estate, private placements, crypto) inside your 401k, then yes. Otherwise, the big-box brokers are fine.