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>> Be very careful about taking stuff out of your 401k. Research what that entails and the rules.
@TheTruthHurts: Whatever you take out, you'll pay about 30% in taxes on. So, $9K early cash-in of 401K, you'll be owing about $3K on taxes next year.
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I've got another 20-25 yrs, to see how the market plays out, so I'm not doing anything with my $ right now. I don't even look at my 401K, except quarterly. No sense getting myself worked up over it now.
@ctl74:
I know, that's why I told her to research everything. I looked into it once or twice and really, it's dumb unless there is some kind of emergency you can't avoid or have no choice. The fees and penalties make it almost totally cost prohibitive in a big way.
I think there are like 3 exclusions to the huge monetary hit, can't remember and she would need to check into that too.
I also had a friend borrow against his 401k through his employer. And that meant if he lost his job, he'd have to come up with all the money to pay off the loan immediately. 4951