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Discuss Tax Fairy's answer to: Im 53 years old and Im getting itchy about my 401k ...

Im 53 years old and Im getting itchy about my 401k money.I have 165k thats got to stay in my 401 for another 6 years.I dont think its going to be there when I can get it.What are the taxes on that and ...

Tax Fairy Answered:

You will lose at least 40% of it to federal taxes (10 % penalty + your income tax rate) + whatever your state rate is. Don't do it. If you are concerned about the market, move the funds to less risky investments, but don't take them out of the 401k.