Early 401(k) Withdrawals Could Cost You $100K—Here’s How to Protect Your Retirement

Maskot / Getty Images Taking money out of your retirement plan prematurely might provide short-term relief, but it sacrifices substantial long-term growth. Key Takeaways Borrowing or withdrawing from your 401(k) leads to missed potential market returns. A withdrawal or loan reduces your investment base, forfeiting decades of compounding growth. Recovery takes time—rebuilding your retirement nest egg after a withdrawal is more difficult than it seems. The rising cost of living is one of the biggest ...