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Before you decide to take money out of your 401(k) plan, consider the following alternatives: Temporarily stop contributing to your employer’s 401(k) to free up some additional cash each pay period.
Based on 401(k) withdrawal rules, if you withdraw money from a traditional 401(k) before age 59½, you will face — in addition to the standard taxes — a 10% early withdrawal penalty. Why?
Early withdrawals from a 401(k) will likely present long-term financial downsides. Usually withdrawing from your 401(k) prior to turning 59 1/2 results in a 10% early withdrawal penalty. The ...
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In Most Cases, You’ll Take a Big Hit for Tapping Your 401(k) Early. When you reach the age of 59 1/2, you can start withdrawing from your 401(k) worry-free, but until you reach that magic ...
There are certain circumstances which allow you to make early withdrawals from a 401(k) or an IRA without penalty, but even in those instances the withdrawal is subject to regular income tax. The ...
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