Forums
New posts
Search forums
What's new
New posts
New media
New media comments
Latest activity
Classifieds
Media
New media
New comments
Search media
Log in
Register
What's New?
Search
Search
Search titles only
By:
New posts
Search forums
Menu
Log in
Register
Navigation
Install the app
Install
More Options
Advertise with us
Contact Us
Close Menu
JavaScript is disabled. For a better experience, please enable JavaScript in your browser before proceeding.
You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an
alternative browser
.
Forums
The Water Cooler
General Discussion
401k contribution - Yay or Nay
Search titles only
By:
Reply to Thread
This site may earn a commission from merchant affiliate links, including eBay, Amazon, and others.
Message
<blockquote data-quote="OKRuss" data-source="post: 3891209" data-attributes="member: 41777"><p>While this does exist, taking a loan against your 401K is a HORRIBLE idea! Unless there's a catastrophic reason, leave it alone. What old John doesn't mention is the market increases that you miss out on. Prior to the pandemic, the DOW has a lifetime average return around 10%. Keeping it to a round number for ease in discussing.</p><p></p><p>If your 401K charges 5% for the loan and you lose 10% by not being in the market, you in effect have a 15% interest rate on your loan. BAD IDEA!</p><p></p><p>Not taking money OUT of your 401K due to penalties and such, GOOD IDEA!</p></blockquote><p></p>
[QUOTE="OKRuss, post: 3891209, member: 41777"] While this does exist, taking a loan against your 401K is a HORRIBLE idea! Unless there's a catastrophic reason, leave it alone. What old John doesn't mention is the market increases that you miss out on. Prior to the pandemic, the DOW has a lifetime average return around 10%. Keeping it to a round number for ease in discussing. If your 401K charges 5% for the loan and you lose 10% by not being in the market, you in effect have a 15% interest rate on your loan. BAD IDEA! Not taking money OUT of your 401K due to penalties and such, GOOD IDEA! [/QUOTE]
Insert Quotes…
Verification
Post Reply
Forums
The Water Cooler
General Discussion
401k contribution - Yay or Nay
Search titles only
By:
Top
Bottom
