Man of Myth and Legend
Depends on what your shooting with.
Cool. Good job exercising discipline and savings.I’ve maxed . . . my 401 and should be able to dive in on the IRS rule of 55 and be reasonably comfortable. Three years 9 months. Then........
Thanks, good to have that knowledge in the back pocket.Cool. Good job exercising discipline and savings.
There are other ways of getting your money out of a 401(k) earlier than 59.5 years of age without a penalty, e.g., 72(t), but for those who do not know what zetor is talking about, I present an article on the Rule of 55.
Retirement accounts exist to help you invest to build wealth for your golden years. That’s why Internal Revenue Service (IRS) rules make it challenging to withdraw money from tax-advantaged retirement accounts early—policymakers want to ensure account holders keep money in the accounts to support thwww.forbes.com
It’s on the plan. I haven’t gotten my second paycheck since the mortgage was paid off but the non-sheltered nest egg is scheduled to grow rapidly.You could invest in non-retirement accounts. If your IRAs and 401(k)s are big enough that you are comfortable not contributing further (high 6 or 7 figures) just start a non retirement investment account- Dave Ramsey calls it a “bridge” account, to bridge the years from not having to work to 59.5.
There are other options. Indeed, I specifically mentioned another tactic for getting at the money early and penalty free, 72(t), and there are others as well.Thanks, good to have that knowledge in the back pocket.
Interesting that you can only do it at 55-59.5 without penalty if you quit your job or get laid off. A retirement at age 55 could use 401k savings off the bat but a retirement at 53 would need 6.5 years of non-401k funding to avoid the penalty.
When my father retired in 1985 he got a lump sum of $24,000. My mom put it all into 5 year CDs. Interest rates were stupid high at the time. At the end of 5 years she moved those funds to other investments. My father died in 1996. My mom died last month. Their $24k portfolio is at $750k today.Time is everything with compound interest and by the time I bothered to really understand how important it was, a lot of that time had elapsed.
Can't do anything about yesterday - only today or tomorrow.Time is everything with compound interest and by the time I bothered to really understand how important it was, a lot of that time had elapsed.
Brother, nonsense. At your age you are well ahead of the game.Same now I’m playing catch up or trying...