I have already taken a portion of my 401K during hard times, but can another be taken out knowing fees that go along with it?
- ErikLv 75 months ago
Yes, but they will BEND YOU OVER. They really don't want you to do that, it's why the penalties are so severe.
- JudyLv 75 months ago
Ask the custodian of your 401K.
- babyboomer1001Lv 75 months ago
You can deplete it entirely if they will allow you to. It's your money so apply and see if you qualify. Of course, you will have to pay taxes on the amount you take out, because putting it in the 401k means that you did not pay taxes on it already.
- .Lv 75 months ago
No. You always pay fees for early withdrawal.
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- Anonymous5 months ago
That depends on the rules set up by your employer for your company's 401K plan.
There is often a waiting period between hardship withdrawals. You also need a qualifying reason for a hardship withdrawal.
You need to call the company holding your 401K funds and talk with a banker there to find out how your 401K has been set up. Different companies can create different sets of rules for their employee plans as long as those rules don't violate any federal rules.
Also - have you ever asked about a 401K loan. If your plan allows it, you can take a loan from your 401K and then pay yourself back through payroll deductions back into the 401K account. The benefit of this is that the fees for doing this is MUCH LOWER than the tax penalty for doing a hardship withdrawal. Also, you are paying back in the money you took, so it isn't hurting your 401K balance.