Hey I had two quick questions regarding retirement, one is does switching funds in your 401k create any taxes at any point in the future? And the second is with using a Roth IRA is it possible to pull out 4 percent of (YOUR OWN) contributions leading up to 59 1/2 and avoid penalty's?
@Elias French As long as you don't take money out of your 401k or convert anything between traditional and Roth accounts, then it is my understanding you will not trigger a taxable event since you are only moving money around rather than withdrawing. For the Roth IRA, you are allowed to withdraw your contributions tax free at any point. You are only taxed on any gains that you withdraw.
Please note that I'm not a tax advisor or specialist, merely trying to pass along what is my understanding in regards to your questions.
Thank you Scott, you confirmed what I had in mind. Essentially a Roth IRA can be used almost as a bridge account depending how much your contributions are but I figured in my 50's pulling out contributions if needed on top of my pension was a possibility