401 K Plan Question??????

Question

Who do I contact to cash in my 401 K and how long does it take to get the return?

Answer 1

oh please oh please do not cash in your 401k.  You will take such a tax and penalties pounding!

But if you're having to do it for like education reasons or something like that, talk to the Human Resources folks at your company.  They're the ones responsible for administering the accounts.  If this is an old 401k that you haven't rolled over into an IRA, you'll have to work with the company that's managing the investments.

You should be able to get a check in hand in about a week.  

Remember to hold out about a third of it to pay taxes and penalties, though.

Answer 2

Contact your 401k plan administrator-most companies use Vanguard or Fidelity.  If you don't know who your adminstrator is- contact your benefits liaison in your HR department.

Without knowing your situation, unless you're at retirement age, I would strongly recommend against cashing out.   The penalties aren't worth it. I have seen refunds posted within 5 business days.

Answer 3

I agree with everyone else - don't do it.  It really is a very bad idea.  Make sure you think long and hard about it.  Is the juice really worth the squeeze?