At 591/2 can I withdraw all of my 401K savings and pay off bills, reinvest etc?

  1. profile image47
    lshallposted 8 years ago

    At 591/2 can I withdraw all of my 401K savings and pay off bills, reinvest etc?

  2. SimeyC profile image96
    SimeyCposted 8 years ago

    not sure what you mean by 591/2> However, you can usually apply to liquidate your 401k but there are usually restrictions - normally they are hardship releated and you have to prove this hardship. Note that if you do this, your company willhold back taxes and also a 10% penalty for early withdrawal.

    A better option is to take out a loan on your 401k which you then pay back to your 401k over time....

 
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