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Greetings, Kalimsmith, and welcome. You wrote:

<<Would it be better for a working 60yr old to take out a substantial loan from his 401K or just pull the money out of the 401K. What would be more "Foolish" considering taxes etc. >>

The loan would definitely allow you to access your money without worrying about taxes today; however, you would have to begin repayments immediately with interest. The interest goes to your account, but it's paid in after-tax dollars and will be taxed again as earnings on that 401k when you finally retire. Additionally, when you do retire, any outstanding loan balance will be treated as a distribution to you in that year, which means it will be taxed in that year. Only you can run the numbers to see if the loan is "better" for you based on those circumstances.

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