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Taking Loans from Your 401(k)

Q. I’m retired and need a loan. Can I get it from my 401(k)?

A. It depends on your plan and whether it allows you to take a loan in retirement. Typically, loans are taken by employees and repaid with paycheck deductions. But if you’re retired, you don’t get a paycheck. Ask your plan’s administrator if repayment can be set up through your checking account, and ask your financial adviser how the loan could affect your tax and investment situation.

Source: David M. Snetro