Megiddo said:
Depending how your 401k is codified it may be considered a retirement account, and if you do withdraw money from your 401k and it is considered a retirement account, then you will be hit a very heavy tax (around 35% if I remember correctly). Just FYI. |
No that only applies if I cash out. If take loan can only take half of your balance and you payback (you borrowed from your own money) through your paycheck. To do this Fidelity charges about 2 or 3 percent interest to borrow own money (edit- just looked it up and apparently it is 6.5% which kind of sucks, apparently they might have raised the rate). I figure if stocks tank than so what I buy back in at lower price while repaying my loan. Sure I could put into bonds which could crash too or straight cash to safeguard but fuck it I want the money.
Last edited by sethnintendo - on 25 May 2019