Could Using 401(k)s as Down Payments Make Saving for Retirement Even Harder?

Key Takeaways A Trump administration advisor floated a plan this month to allow people to use 401(k) funds for down payments on homes. However, Trump said late last week that he is not a strong supporter of tapping 401(k)s early because of the recent rise in the value of many Americans' 401(k)s. Experts warn that withdrawing from a 401(k) early could shrink your retirement savings in the long run, even if doing so helps you buy a home. As the federal government looks to make housing more affordabl ...