Why Would Anyone ‘Gut’ Their 401(k) and Pay All Those Taxes and Penalties?

Last Tuesday I wrote a post on another blog about a strategy available and attractive to many. This is especially true for those in their 40′s who realize that though they may indeed have a boatload of money in their ‘qualified plan’ at work, they also realize it ain’t gonna be enough when it comes time to retire. This is especially true for those of you who have several hundred grand in your 401(k) — a figure that just a couple years ago was, um, larger by six figures. Ouch.

You realize it can happen again, probably will, and if you’re in your 40′s, the market has 15-20 years to make it happen. Not a happy thought.

Anywho, take a look at the above mentioned post, and don’t forget to read the comments while you’re there.

Tomorrow morning I’ll be publishing a follow-up post inspired by the comments you’ll be able to read in the first post. I’m showing what would happen if 20 years ago you employed the strategy I’m recommending. It’s eye opening, and I suspect many will be nudged to rethink what they’ve been doin’ all these years. Here’s the link to the site. I’m not sure what time it’ll be published.

Meanwhile, gimme a call, as I’m Jonesin’ for a fix. 619 889-7100 will find me. Have a good one.

Related posts:

  1. Realizing Big Time Capital Gain — Payin’ Little Or No Taxes — How He Do Dat?
  2. Retired Real Estate Investors — Lotta Income — Alas, Lotta Taxes Too
  3. Here’s A ‘How To’ For Ya — How To Sell And Pay Taxes Later
  4. The Best Of All Worlds — Sell & Pay No Taxes — No 1031 Exchange
  5. Real Estate Investing — Capital Gains Taxes — The Economy
About BawldGuy

I'm second generation real estate, first licensed in fall of 1969. Having been mentored by several iconic brokers, I'm also CCIM trained, having completed all 200 hours back in 1980. Have successfully executed well over 200 tax deferred exchanges, many of which have been multi-state in nature. Strong points are analysis and the creation and real world application of Purposeful Plans employing several strategies synergistically. The idea is to arrive at retirement with the most after tax income possible, backed by the largest net worth.

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