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Can 1099 Contractors Join Delaware EARNS?
Yes, with a caveat. The Delaware EARNS employer mandate does not cover 1099 contractors. The program says self-employed people can open an account, but its eligibility list is written around wages from an in-state employer. Confirm eligibility with the program before you rely on this.
Last verified Oct 27, 2026.
Rules for every state are in all 50 states' auto-IRA rules.
Delaware self-employment tax
Federal self-employment tax is 15.3% of 92.35% of net profit: 12.4% Social Security, up to the $184,500 wage base in 2026, and 2.9% Medicare with no cap. Half of that tax is deductible. Delaware income tax is separate from both that federal tax and from a Delaware EARNS contribution. The program does not withhold either tax.
Delaware tax guide · 1099 estimated tax calculator · Self-employment tax calculator
Does Delaware EARNS cover independent contractors?
No employer mandate in this set covers 1099 contractors. The trigger is W-2 payroll, and nothing is withheld from a contractor's pay. If you're self-employed or don't work for an employer registered with EARNS, you can contribute directly to your own Roth IRA account. The saver page says 18+ with taxable wages from a Delaware employer. The Program Description's self-registration section says only 18+ and Roth-eligible, plus either a $500 initial deposit or a $5 recurring contribution.
For tax pros, here is why the mandate skips 1099 clients (for tax pros).
How to sign up for Delaware EARNS as a self-employed worker
The official page describes opening an account with a Social Security number, date of birth and address, then a bank auto-debit or a one-time deposit. The published minimum is $500 initial deposit or a $5 recurring contribution. The saver page says 18+ with taxable wages from a Delaware employer. The Program Description's self-registration section says only 18+ and Roth-eligible, plus either a $500 initial deposit or a $5 recurring contribution. Confirm eligibility with the program.
Delaware EARNS contribution limits for 2026
The account is an IRA. The 2026 limit is $7,500, or $8,600 at age 50 or older, and you can contribute only up to your earned income. Roth eligibility phases out at MAGI of $153,000 or more (single) or $242,000 or more (joint), as the program pages state. That IRA limit is shared across every IRA you hold.
Default rate, auto-escalation and investments
The default rate is 5%. Auto-escalation: +1% a year up to 10%. Those defaults apply to payroll savers. A self-employed saver picks their own amount.
Delaware EARNS fees
About 0.32% asset-based plus a $22 a year account fee ($5.50 a quarter) plus a $4 a year state fee ($1 a quarter).
The program publishes this figure as approximate.
Who runs Delaware EARNS?
Vestwell Government Savings, LLC and BNY, governed by the EARNS Program Board.
Delaware EARNS vs. Solo 401(k) vs. SEP-IRA for 1099 workers
| Delaware EARNS | Solo 401(k) | SEP-IRA | |
|---|---|---|---|
| Annual limit | $7,500, or $8,600 at 50+. Capped at earned income. | Employee deferral $24,500 in 2026, plus employer contributions, up to $72,000 combined. | Employer contributions up to 25% of compensation, capped at $72,000. |
| Who contributes | You, from your bank. No employer. | You, as employee and as employer. | You, as employer. |
| Roth option | Roth IRA | A Solo 401(k) can include a Roth deferral. Gigaverse's Solo 401(k) is waitlist only. | SEP contributions are usually pre-tax. |
| Setup | Open on the program site if the program confirms you are eligible. | Gigaverse is building this. Join the waitlist. | Gigaverse is building this. Join the waitlist. |
The state program is a low-cost IRA if you want automatic saving and the program confirms you can join. A Solo 401(k) for self-employed workers or a SEP-IRA has a higher ceiling when 1099 profit is large enough to save more than $7,500 a year. Run the numbers in the SEP-IRA contribution calculator.
Where Gigaverse fits
Gigaverse is not Delaware EARNS and is not a registered investment adviser. Plans on the pricing page are Free ($0), Pro ($4.99/mo) and Wealth Builder ($9.99/mo). The PRActicle™ Roth IRA, Solo 401(k) and SEP IRA are waitlist only. Delaware EARNS is a low-cost IRA capped at $7,500 ($8,600 at 50+) for 2026. 1099 workers whose profit supports bigger savings can compare a Solo 401(k) or SEP, which Gigaverse is building.
Questions
Can 1099 contractors and freelancers join Delaware EARNS?
Yes, with a caveat. The Delaware EARNS employer mandate does not cover 1099 contractors, but the program says you can open your own account. The official page says self-employed people can open an account, and it also describes eligibility in a way that may not fit someone with only 1099 income. The saver page says 18+ with taxable wages from a Delaware employer. The Program Description's self-registration section says only 18+ and Roth-eligible, plus either a $500 initial deposit or a $5 recurring contribution. Confirm eligibility with the program before you rely on this.
Does a client who pays me on a 1099 have to enroll me in Delaware EARNS?
No. The mandate is triggered by W-2 payroll, and nothing is withheld from 1099 pay. A client does not enroll you. If you join, you open the account yourself. Confirm eligibility with the program.
How much can I put in Delaware EARNS in 2026?
The program is an IRA. The 2026 IRA limit is $7,500, or $8,600 at age 50 or older, and you can contribute only up to your earned income. Roth eligibility phases out at MAGI of $153,000 or more (single) or $242,000 or more (joint), as the program pages state. That limit is shared across all of your IRAs.
What fees does Delaware EARNS charge?
About 0.32% asset-based plus a $22 a year account fee ($5.50 a quarter) plus a $4 a year state fee ($1 a quarter).
Who runs Delaware EARNS?
Vestwell Government Savings, LLC and BNY, governed by the EARNS Program Board.
Can I contribute to Delaware EARNS and a Solo 401(k) or SEP-IRA in the same year?
The $7,500 IRA limit ($8,600 at 50+) applies to Delaware EARNS together with any other IRA. A Solo 401(k) or SEP-IRA has its own contribution rules, and this page does not say which mix fits you. Use the SEP-IRA contribution calculator to see the SEP number, and confirm with the program.
Is Delaware EARNS a Roth IRA?
Roth IRA
Sources and last verified
Last verified Oct 27, 2026. Checked 2026-10-27.
See all 50 states' auto-IRA rules and the Delaware tax guide.
Other programs: MarylandSaves · Minnesota Secure Choice
Educational information only, not tax or investment advice. Gigaverse AI, Inc. is not a bank and is not a registered investment adviser. We are not affiliated with Delaware EARNS. Program details and fees are set by the program and can change. Confirm eligibility and current terms with the program. Figures above that say "about" are the program's own approximate figures. Anything marked "Not published by the program" was not on the official pages checked 2026-10-27.