Related Posts
More Posts
Does anyone know avg salary of TPM at Amazon?
WTF does this mean?
Is an MBA really worth it for a career pivot?
Can anyone refer me to @shell for BA profile
I can’t anymore. 🏳️🏳️🏳️🏳️🏳️
Additional Posts in Consulting
How’s EWR terminal C looking?
BOS - ORD Worst delay I’ve ever had
Best games to play on a Mac?
Do I actually hate my job, or is it the pandemic?
New to Fishbowl?
unlock all discussions on Fishbowl.
Heard of VIX? Short it.
can’t be short in a retirement account
You can roll your 401k into an IRA after you leave. Are you looking for a no risk strategy to invest the money in the 401k plan? That would be a money market fund. What is the goal for keeping it short term as you won't be able to touch the money till your 59 1/2 years old or loan on it for a first time home purchase.
Are you never coming back to the US? Are you under 59 1/2? You will pay a 20% tax penalty if you cash out plus capital gains tax. You might want to stop putting $ into your 401k if that's the case.
Why do you want to cash out your 401(k)? My investment advice that has a guaranteed 10% return in one year is to not cash out your 401(k) and instead keep it invested until retirement, even if that retirement is in another country
Define “somewhere else” ... as others have suggested, if that means moving it to an IRA, that’s fine as it doesn’t incur any penalties. If it means taking it out in cash, paying the 10% tax penalty, and taking it to another country to invest in the local retirement scheme, then I don’t think it makes sense unless that scheme can make up for the massive withdrawal penalty (unlikely)
Are you retiring?
If you take a loan, it’s due in full if you leave your company. If not repaid promptly, it’s considered a withdrawal with associated penalties. Not a good idea