Help for 401k plan sponsors, retirement professionals, small business, employee and 401(k) rules

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FAQ - ANSWER

Can you use 401k assets to purchase a home without an early withdrawal penalty?

There are two general methods of getting funds from a 401k for the purchase of a home: (1) Loan -- no income tax or penalty, or (2) hardship withdrawal -- income tax and penalty will be owed.

Here are two links that give you full details on both of these methods:

http://www.401khelpcenter.com/loans.html
http://www.401khelpcenter.com/hardships.html

 


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