When Borrowing Against Your 401(k) is Actually a Good Idea 😲👍 #moneywisdom #401k

Borrowing against your 401(k) is often seen as a financial taboo, but there are actually some situations where it can be a good idea.

In this short, we'll discuss when it may be ideal to borrow against your 401k.

Here are some situations where borrowing against your 401(k) may be a good idea:

*To consolidate high-interest debt: If you have a lot of high-interest debt, such as credit card debt, borrowing against your 401(k) to consolidate it can save you money on interest.

*To cover unexpected expenses: If you have an unexpected expense, such as a medical bill or home repair, borrowing against your 401(k) can be a way to avoid going into debt.

*To invest in yourself: If you're planning to invest in yourself, such as by going back to school or starting a business, borrowing against your 401(k) can be a way to finance your investment.

Watch the entire video, When Should You Take a 401k Loan?

#401k #retirement #retirementstrategy #loan #finance #financialplanning #personalfinance #financialeducation #financialfreedom

⬇️ DISCLAIMER :

[jesselee]

That's why you should have a separate emergency account in a HYSA, so you don't have to touch your retirement.