Tag Archives: cashing out 401K

I’m Thinking of Taking Money Out of My 401(k) to Pay Down Debt

“Dear Steve, Hi – I am a 50 yearld old man with a good income but I am in a financial pinch for sure. I have 2 kids in college right now – one is freshman and the other is a junior – both a tier 1 schools (not cheap). In 2009 I changed jobs [...]

I’ve Got a Military Retirement And a Fair Amount of Credit Card Debt. What Should I Do? – Jay

Jay “Dear Steve, I’ve read every argument against cashing out a 401k/IRA and current savings money to pay off debt, but I think each situation has its own merits. Here is mine: 70k in CC debt 95K in IRA/401k/Investments We have changed our spending habits and have aggressively been paying down the CC debt, but [...]

We Are Flat Broke And Need to Drain Our 401(k). – Susan

“Dear Steve, Currently collecting unemployment after being laid off from my job back in Feb 2009. It is exactly enough to pay my rent. My husband’s income is mostly from tips and some side jobs he does. We have very poor credit and our utilities are behind and have no savings. We have 2 children, [...]

We Make Too Much Money and Have Too Much Debt. I Want to Raid My 401(k). – Paul

“Dear Steve, My wife and I have a tremendous amount of debt. We make a lot of money by most standards, and that makes bankruptcy virtually impossible. Our credit card debt alone is more than 50% of our yearly income ($130,000 in credit card debt, plus $60K in student loans, plus $370K in mortgage debt, [...]

Should I Cash Out my 401K to Pay Off My Credit Card Debt. – Taneah

“Dear Steve, I am a 27 yr old single working mother and I have appr 25K in 401k funds. I also have appr 15K in credit card debt that is making it tough to pay monthly bills. At this age, should I consider cashing out my 401K and paying my ccard debt off. I also [...]