it has a 8 percent interest rate
2006-12-10 16:48:21 · 5 answers · asked by brianlr2000 2 in Business & Finance ➔ Personal Finance
It depends on the plan rules. It may be a good idea from the standpoint that most 401k loans are setup to pay you the interest. Most plans that I have seen though limit your contributions until the loan is repaid. If the plan allows you to take a loan out on it, you might as well....8 percent paid to you is better than 8 percent paid to the bank.
2006-12-10 16:56:52 · answer #1 · answered by Some Like 1 · 0⤊ 0⤋
Because the payment of alimony will help to offset the taxes due on the distribution of 401k, then this might be viable.
Are you able to borrow against your 401? Ask your plan's adminstrator if you can. Then you pay yourself back, in this way you will avoid the 10% penalty and the associated income taxes.
2006-12-10 22:22:37 · answer #2 · answered by Gem 7 · 0⤊ 0⤋
How much is in 401k? is this alimony ck finalized after you pay off this witch (most women become this)??
If it finalized the misery I would suck it up pay her *** off and take the tax hit. Where else will you get the money?? from a home eq loan?
Firstly, speak with your accountant. Don't remarry either. too many guys are getting beat like this.
2006-12-10 16:52:30 · answer #3 · answered by godzillasagoodman 2 · 0⤊ 0⤋
never pull out of your 401k itll hurt you in the long run
2006-12-10 16:56:21 · answer #4 · answered by Anonymous · 0⤊ 0⤋
That would depend on your spouse if that will take the settlement or not. Contact her or her lawyer to inquire of this.
2006-12-10 16:59:08 · answer #5 · answered by audrey_halley2004 4 · 0⤊ 0⤋