Tidbit - Borrowing from your 401k

The Word on Wealth Tidbit, where John takes a fun approach to the serious matter of your money.

We are starting to see that states are beginning to open up - here in Arizona, Governor Doug Ducey has a plan to open business slowly. However, with all of the challenges facing COVID-19, people may be financially strapped to pay bills. An option is to borrow money from your 401k - which the government has eased the restrictions on this.

Without looking at your individual needs, it's hard to suggest what you should do; however, we do not think you should borrow from your 401k! Long-term, this could be harmful to your investment, and you may not be fully aware of all the risks of doing this. 

Take caution when thinking about utilizing your 401k for anything other than what it's purpose is - which is to provide income for you ultimately in retirement.

Visit our website at www.grandcanyonplanning.com and call to schedule a complimentary retirement assessment with John at (480) 991-1055.

Don't run out of money, before you run out of time.


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