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Originally Posted by AVGWarhawk
What choice is that? Personally I would like to know how 'moving' a 401K is accomplished without penalty? Move it where? Sell off shaky investments? One can not simply cash out without a substantial tax unless you are of retirement age. A tax of upwards of 30% for early widthdrawl. So really, where is the 401K moved? Why aren't thousands doing it? Why aren't investment advisors doing this automatically for their investors?
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I can change my investments within my 401K once a year, simply change how it's invested from safe to risky, but it's always drawn 10% or more, except for 3 of the last 5 years. However, you certainly can't cash out before retirement without taxes and early withdrawal "fines" unless emergency medical, school, etc..still paying large taxes on it. You can usually move it to another retirement account. 401K's were designed for the rich, but came retirement plans for the middle class, if you don't plan on using it as an retirement account, better to invest elsewhere.