Thank you cares act!!!! 401k is mine

[Faceplanted]

I believe you can spread the tax liability out over 3 years

yup this was an option. I had them take out 24% of my 401k and obviously none from my Roth portion. Rather pay it now and not worry later.

if you live in a bishass state, you can also tell prudential to pull state taxes out.

 

[oldngray]

I believe you can spread the tax liability out over 3 years

You still have to pay the taxes sometime.

 

[IVE GOTTA PACKAGE 4U]

You still have to pay the taxes sometime.

I choose to pay the taxes when I'm in a much lower income tax bracket

 

[IVE GOTTA PACKAGE 4U]

yup this was an option. I had them take out 24% of my 401k and obviously none from my Roth portion. Rather pay it now and not worry later.

I won't have taken any out right now
But good luck to you brother

 

[Overpaid Union Thug]

If you or your wife were affected by covid19. Either by actually being sick, being laid off, work slowed down ect. They don’t ask for proof, but I was being honest.

all you have to do is call the 1800 number, answer yes to the 2 questions and you can withdraw everything. No 10% penalty. Just remember to have them withhold 24% or so for taxes. They will ask you if you want any withheld.

I googled it right after I asked and was wondering about the taxes. Where did you come up with 24%? Just curious.

I love that free money. Those reward points gives us a few extra bucks to take a little weekend getaway every now and then

The “Chase Trifecta” is absolutely the best system for the averages family with decent-high income. Spouses can even link their individual cards and transfer the points to pad the rewards.

 

[oldngray]

I choose to pay the taxes when I'm in a much lower income tax bracket

That is the whole plan for 401k's. Pay the taxes later when you are in a lower bracket.

 

[IVE GOTTA PACKAGE 4U]

I googled it right after I asked and was wondering about the taxes. Where did you come up with 24%? Just curious.


The “Chase Trifecta” is absolutely the best system for the averages family with decent-high income. Spouses can even link their individual cards and transfer the points to pad the rewards.

I have a couple different credit cards that I use for different things.
Like right now I'll discover card is giving 5% cash back on dining and it's something we use a lot in the summertime

 

[IVE GOTTA PACKAGE 4U]

That is the whole plan for 401k's. Pay the taxes later when you are in a lower bracket.

And to let that money to continue to grow so you have extra money in your retirement

 

[oldngray]

And to let that money to continue to grow so you have extra money in your retirement

By design that money is hard to get to. So people will still have it when they retire.

 

[IVE GOTTA PACKAGE 4U]

By design that money is hard to get to. So people will still have it when they retire.

I know lots of people complain about our 401k plan do you currently get money out for a few specific reasons.
but I know too many other people that work at other places that use your 401k like a piggy bank to finance vacations and home improvements and things like that

 

[Overpaid Union Thug]

I have a couple different credit cards that I use for different things.
Like right now I'll discover card is giving 5% cash back on dining and it's something we use a lot in the summertime

I get 5% on Chase freedom sometimes. If not I use one of the other two cards. But the extra 25% on travel more than makes up the difference.

 

[IVE GOTTA PACKAGE 4U]

I get 5% on Chase freedom sometimes. If not I use one of the other two cards. But the extra 25% on travel more than makes up the difference.

Why not take the free money?

 

[Faceplanted]

I won't have taken any out right now
But good luck to you brother

My crypto gains are much much more than I ever would see from the s&p 500. I got my check from prudential and spent half on physical PMs. Put the rest to add to my liquidity. looking at buying a property in southern Appalachia and retiring in the next year or possibly too. I might see something I fall in live with and need the down payment, very soon. Also tossing a business ideas around using my trade skills. We will see what happens.

 

[IVE GOTTA PACKAGE 4U]

My crypto gains are much much more than I ever would see from the s&p 500. I got my check from prudential and spent half on physical PMs. Put the rest to add to my liquidity. looking at buying a property in southern Appalachia and retiring in the next year or possibly too. I might see something I fall in live with and need the down payment.

That's why you save cash also my friend

 

[Johney]

Well look at that. Good call on his end for sure

Yea he got a few others in on it and they are all doing really well, I unfortunately am not very well versed in moving my money around my 401K. My loss.

 

[Faceplanted]

I googled it right after I asked and was wondering about the taxes. Where did you come up with 24%? Just curious.


The “Chase Trifecta” is absolutely the best system for the averages family with decent-high income. Spouses can even link their individual cards and transfer the points to pad the rewards.

The 24% is based on my wife and My income level per tax brackets.

 

[Faceplanted]

That's why you save cash also my friend

I had a good amount of cash as well, many many months of income sitting for a rainy day, just added to that stack.

 

[Overpaid Union Thug]

Why not take the free money?

Chase Freedom, Chase Freedom Unlimited, and Chase Sapphire = FREE MONEY


I don’t think I have the guts or patience, not to mention financial savviness, to accomplish what the OP is talking about. And I’d be worried about that resulting in me losing quite a bit.

 

[IVE GOTTA PACKAGE 4U]

I had a good amount of cash as well, many many months of income sitting for a rainy day, just added to that stack.

Hopefully you don't regret this decision

 

[IVE GOTTA PACKAGE 4U]

Chase Freedom, Chase Freedom Unlimited, and Chase Sapphire = FREE MONEY


I don’t think I have the guts or patience, not to mention financial savviness, to accomplish what the OP is talking about. And I’d be worried about that resulting in me losing quite a bit.

My philosophy is if I don't understand something I don't invest in it