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    dennis1957's Avatar
    dennis1957 Posts: 3, Reputation: 1
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    #1

    Mar 18, 2010, 10:21 AM
    401k early withdrawal
    I want to buy a house. Is there a penalty to use my 401k money for the closing or down payment?
    ebaines's Avatar
    ebaines Posts: 12,131, Reputation: 1307
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    #2

    Mar 18, 2010, 11:20 AM

    If you are under 59-1/2 years of age (or under 55 and still employed) you will ave to pay both regular income tax and a 10% early withdrawal penalty for any withdrawals you make from your 401(k).
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