02-14-2022, 04:01 PM
401k with match and then take early withdrawal?
<!-- SC_OFF --><div class="md"><p>Does anyone do this? I'm not big into retirement accounts but this came to mind. Lets say the company you work for offered a 10% match, you contribute up to the 10% amount for a full year, lets just say the market breaks even, if you factor in a pre-payment penalty of 10% along with paying a 20% tax, you still make about 35% on your money and get to put it to work elsewhere. I'm building to purchase more real estate so I haven't contributed a lot to my 401k but this may convince me to do by paying a penalty and tax and still coming out ahead?</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/Crazy3rdgen"> /u/Crazy3rdgen </a> <br/> <span><a href="https://www.reddit.com/r/investing/comments/srvza8/401k_with_match_and_then_take_early_withdrawal/">[link]</a></span> <span><a href="https://www.reddit.com/r/investing/comments/srvza8/401k_with_match_and_then_take_early_withdrawal/">[comments]</a></span>Kind Regards R
<!-- SC_OFF --><div class="md"><p>Does anyone do this? I'm not big into retirement accounts but this came to mind. Lets say the company you work for offered a 10% match, you contribute up to the 10% amount for a full year, lets just say the market breaks even, if you factor in a pre-payment penalty of 10% along with paying a 20% tax, you still make about 35% on your money and get to put it to work elsewhere. I'm building to purchase more real estate so I haven't contributed a lot to my 401k but this may convince me to do by paying a penalty and tax and still coming out ahead?</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/Crazy3rdgen"> /u/Crazy3rdgen </a> <br/> <span><a href="https://www.reddit.com/r/investing/comments/srvza8/401k_with_match_and_then_take_early_withdrawal/">[link]</a></span> <span><a href="https://www.reddit.com/r/investing/comments/srvza8/401k_with_match_and_then_take_early_withdrawal/">[comments]</a></span>Kind Regards R