UnThreaded | Threaded | Whole Thread (1) | Ignore Thread Prev | Next
Author: popyee Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 75383  
Subject: Withdrawal or lump sum to pay depts Date: 2/20/2001 7:31 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
I plan to retire at 55 next year and don't know what to do about a a second mortgage at 9.35 percent. Is it better to make withdrawals from my government 401K (TSP) to payoff the 2nd or to take a lump sum for the portion I need and pay the taxes. The taxes will be about 28% federal and 5 percent state. Of course the interest on the second is tax deductable and the TSP is tax defered. I addition, growth will occur in the TSP.

I tend to think that equal withdrawals from the TSP makes more sense but I haven't found a calculator to do the math.
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (1) | Ignore Thread Prev | Next

Announcements

The Retire Early Home Page
Discussion on accelerating retirement day.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement