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Author: gdc45 One star, 50 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 120798  
Subject: Re: Child's education using 401K Date: 3/19/1998 11:54 PM
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<<I am interested in finding out if I will be able to withdraw from my 401K account before I am 59 to
pay for a child's college education without paying a penalty.

IRS publication 590 states that such a withdraw is valid for an IRA account. The publication does
not state that 401K accounts can be treated like IRA accounts.>>

I'm not positive about withdrawing 401(k) money for education sans penalty, but many plans have an option to borrow against the assets in a 401(k). Most often the "collateral" for such a loan must be placed in a fixed or money market account.

I know that doesn't directly answer your question, but I hope it provides another option for you to consider.

GDC
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