Withdrawing funds out of a 401(k)

[Yuliany W.]

Hi all,

How do you withdraw the money in your current employer's 401(k)? I don't have a financial hardship, and I don't want to take out a 401(k) loan. Is this possible at all?

I know there are penalties for withdrawing early, but I am willing to pay these.

Many thanks!

[Jon Klaus]

Matty M Aside from the tax efficiency, matching, and higher contribution limits, I am in favor of self directed 401Ks. If the stock market can (or might) give me 10% annual return over time, self directed real estate investing can give me 20% a year over time. Do the math on a few decades growth, tax deferred, at 20% and you can see why I'm a fan.