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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?
A 401(k) is an employer-sponsored retirement account. Like other tax-advantaged savings accounts, 401(k) accounts offer a way to invest money without paying taxes. However, if you withdraw funds...
In exchange for its generosity, the IRS wants you to leave your 401(k) plan untouched until retirement age, which it defines as age 59 1/2. As such, if you take a 401(k) withdrawal before reaching ...
The post Can You Retire at 62 With $400,000 in a 401(k)? appeared first on SmartReads by SmartAsset. ... However, age 62 is still considered early retirement. Your savings will have to last longer ...
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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.
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