4 Women Explain Why They Liquidated Their 401(k)s — & If It Was Worth It – Refinery29

In the long term, you’ll have spent money that will be necessary to support yourself down the line. (And as many as one-third of Americans has $0 saved for retirement.) In the short term, those who cash out before the designated age of 59 1/2 face steep costs — an immediate 10% penalty, and taxes “that can approach 50% for people in the top income bracket.” Taking out a loan is a somewhat better option, but if you don’t pay the money back within the designated time, you’ll be hit with all the same fees and penalties.

Source link

0 0