Posts  / #POST-209057
REDDIT

Take out 401K money now or in 2026?

S
May 3, 2025 · 21:33

Hi there! I'm 56 and just lost my job. Am planning to take out the money from my company 401K and take advantage of the Rule of 55, so no 10% penalty. This year I will make about 80K (22% tax bracket) but next year (2026) I'll be in the 12% tax bracket. Should I wait until January, and then the taxes will be lower (right?)?? Thank you!