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Gen Xers: Taking 401(k) loans. A 401(k) loan is often a wiser play than an early withdrawal, which triggers income taxes, plus a 10% penalty tax if you're under age 59 1/2 at the time. These loans ...
Not all retirement plans allow for 401(k) loans, but if yours does, you could be eligible for a loan of up to 50% of your vested balance or $50,000, whichever is highest.
Early withdrawals are less attractive than loans. One alternative to a 401(k) loan is a hardship distribution as part of an early withdrawal, but that comes with all kinds of taxes and penalties ...
Compare two options for accessing the cash in your home — cash-out refinancing or home equity loans — to pay for renovations, consolidate debt or support education expenses. Includes pros ...
When choosing between a 401(k) loan and a withdrawal, it could be useful to have a reference list outlining the benefits and drawbacks for a quick comparison: 401(k) Loan: No immediate taxes or ...
A home equity loan can give you a lump sum at one time, and often carries a lower rate. ... According to IRS rules, a loan must be repaid within five years, unless it’s a loan to buy a principal ...
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