401k real estate investing
I retired at age 53. I rolled my pension into my 401k at age 59, so now that I am 60, I am “master of my own destiny” ! I would like to help my children and make a few dollars and minimize my tax load.
How can loan my children money from my 401k ? This will be a true loan as they will pay it back at the prevailing rates. I am willing to put them money back into the same or another 401k account or pay tax on the amount paid back annually.
Is this possible ?
Permalink Submitted by mk foss on Fri, 2014-02-14 04:26
You cannot loan money to someone related to the 401k participant. You also cannot sell to them, purchase from them or rent to them. These are considered prohibited transactions.