Covid19 need vs 401K
Hi Terry,
I’ve been a school bus driver for over 20 year’s. First company I worked for offered an IMRF Account and since I’m over 55 I am collecting my “pension” it’s not Alot but will increase every year. Started working for a different company (same job) No IMRF instead they offer a 401K. I jumped on board since COVID my hour’s (If Any) are drastically reduced! I can no longer make my contributions. There’s Not alot in the account and I will not be penalized (other than 10% that goes to Fed) is it a good idea To close this account and receive the less than $2000.00 Available To Me?
Thank You!
Terry Says
You may not have a lot saved for retirement, but every little bit helps. Unless you have a real need for this money (paying down high rate credit card debt would qualify at this stage of your life), I’d let it keep growing tax deferred for a real retirement emergency.
