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/biz/ - Business & Finance

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56163124 No.56163124 [Reply] [Original]

Why shouldn't I just withdraw my 401k and buy BTC post tax penalty?

>> No.56163194

Because usually the megacorp's "Plan" doesn't allow it. You can take out 50% of your 401(k) with the rest being collateral for a loan.

Plus the company match does vest or appear in your account until 5 years of service.

Or alternatively, what you do is leave your job, and take the 401(k) as a bonus no penalty, taxes only.

>> No.56163211

get a loan with the 401k as collateral
buy btc with the money and dont pay the loan

>> No.56163242

>>56163124
Because Bitcoin is a psyop created by the Chinese government. If you buy it at all, you're betraying America and when Donald Trump becomes president again, people like you are in deep shit. That's all I'm saying. That's your only warning.

>> No.56163266

Random tax question, if a friend with way too much money is generous enough to split his income is it viable as a company owner to "hire" a NEET (maybe sweep the floor for a minute and go home or fuck around) instead of gifting $15k annually or would that not really save much money in the end? The hired NEET would then be able to contribute to IRA, and pulls down the richfag's tax bracket.

>> No.56163332

>>56163211
50% is the max collateral.
200k in account, withdraw 100k (pay 20% taxes), refuse to pay, lose 100k.
You walk out with 80k, because your dumbass thought you'd get a better deal than just go on LOA to collect.

>>56163266
That would save a little bit, but you'd still have to pay taxes as an employee. Honestly he should withdraw 15k cash, right it off as gambling debt year after year and gift it to you up to your lifetime gift limit.

>> No.56163341

>>56163124
>Why shouldn’t I just take a tax hit to invest in a high risk speculative asset?

It depends how based you are.

>>56163266
I doubt your rich friend wants to jump through all the compliance hoops and expose himself to potential liability just to bring you on as an employee to do fuck all. Also, do you want to pay taxes on the income you “earn” from this “job?”

Just take the gift

>> No.56163803

What a coincidence i just called my companies 401k brokeage less than an hour before this thread was made. My options are basically to take out a loan against it and pay it back otherwise there is no option to withdrawal

>> No.56166047
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56166047

>>56163124
Nigga can you keep your 401K intact and transfer some into a Fidelity IRA? You can buy BTC in Fidelity Crypto and its tax free. I trade crypto via IRA and don't pay shit in taxes.

>> No.56166104

>>56163803
If you quit your job, you'll be able to cash it out, but pay penalty