My understanding is that one change with the Covid 19 relief act is that you can withdraw up to $100,000 penalty-free from your 401K (still taxed income of course).
I have a good bit of debt, like many Americans. I am considering withdrawing the maximum and using it to pay off the cars, whatever we have on credit cards, pay down the house and refinance what home debt remains at the current low interest rates.
I am retired military, 50% VA disabled, with a good job and am about 10 years from retirement.
Am I crazy for being tempted, or should I stay the course and trust the market will recover?
Andy
P.S. I did not move my investments to bonds ahead of the crash and I understand withdrawing would "lock in" the loss in my 401K's value.
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