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Accounting, Payroll & Pension Issues/401k Rollover as Seed Capital into my Start-up

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Expert: - 6/5/2009


Question
I'm starting a company and want to use my 401k as seed capital.  I've heard it is doable but nothing else.
Thoughts?  

Thank you for your time and consideration in answering. -V.

Answer
I am not a retirement specialist. With that said, I am not aware of an exception the the penalty for early withdrawal for the purpose you described.

So, yes you can withdraw the funds, but you will likely owe the normal penalty for early withdrawal.

Accounting, Payroll & Pension Issues

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Arthur Naman

Expertise

General accounting and bookkeeping questions. How to do monthly bookkeeping, how to prepare financial reports. How to reconcile accounts.

I cannot answer questions pertaining to pension or retirement planning.

This is not a forum to have homework answered. Please do your own homework.

Experience

30 years' experience doing tax and accounting work

Education/Credentials
MPA from Univ. of Texas at Austin, MBA Golden Gate Univ, San Francisco CA

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