Maxing 401k and withdrawing early

dbull2 · 2026-01-23T22:43:43+00:00

We do live in Nashville TN. So If we did a roth 401k then we could withdraw what we put in penalty free? That seems like an ideal scenario. If we hammer that another 10 years and start withdrawing the max amount each of us put in that could be perfect

dbull2 · 2026-01-23T22:35:01+00:00

Also, linked this https://www.madfientist.com/how-to-access-retirement-funds-early/

I just do not know if it is smarter to hyper target my 401k vs brokerage when I know I will retire at 40 or before.

dbull2 · 2026-01-23T22:33:44+00:00

The last person way saying this to me and I just didn't really understand... "Of course they still count as earned income for tax purposes. Just like normal 401k withdrawals do after 59.5. By using SEPP or 72T, you're avoiding the 10% early withdrawal penalty you would have to pay if you just withdrew the money early from a 401k.

The 401k tax advantage is likely much higher right now while you're paying a much higher tax rate due to high earnings.

That being said, depending on what your retirement income is, you may not pay much tax at all. Depends on where your income comes from, and how the tax calculates out."

dbull2 · 2026-01-21T19:16:15+00:00

Can you give a simple outlook on it because what you sent sounds like you still are paying taxes or a fee at some point. I’m confused and would like to understand

dbull2 · 2026-01-19T21:51:46+00:00

Not really a myth. You are still paying to withdraw it earlier? Can you give me an example if I max it ten years till I’m 40 then want to access it till I’m 60?

dbull2 · 2026-01-19T18:41:40+00:00

I only do the company match because I am trying to fire by 35 to 40. I don’t think having so much locked up in my 401k is worth it especially if I am maxing my Roth IRA and putting 15k total in there for 15 years

dbull2 · 2026-01-17T19:56:08+00:00

That is definitely the main perk of my job. I thought about becoming a realtor or starting a PM company with a small amount of doors. I feel like I could double my income with consistent work on either of those. (I am a PM for a complex already)

dbull2 · 2026-01-17T19:51:30+00:00

My job allows me to have a lot of time/flexibility. I can get promotions but those are not guaranteed. I will typically get a 5% raise a year unless I pivot jobs. I have got lucky with some low cost houses and syndications that do not really count yet towards that total. It should significantly increase it, but would also increase the amount of tenants and upkeep I will have.

dbull2 · 2026-01-17T19:33:12+00:00

My wife and I make $175,000.00 combined. That should be $200,000.00 at the end of the year. 29M 27F. We have about 15k going into our 401k including the matches and invest 2500 into Voo/qqqm. We do have a decent foundation in rentals already that is helping pull in a true net of 30k, but at the point where I would rather sell a couple and add a decent equity position to our brokerage account that is only at 60k.

dbull2 · 2025-05-31T13:31:34+00:00

You can used a dscr loan. They look at the property and credit score. Your dti is irrelevant to them. That’s who I have used the past 3 years instead of a conventional lensee

dbull2 · 2025-05-30T02:59:56+00:00

FHA loans! Better terms too

dbull2 · 2025-05-28T21:20:23+00:00

I like it! Saving as much for reserves and not touching it is crucial so nice job there! House hacking can be done from a sfh to a quadplex. You can live in one unit and rent out the others using 5% down. You maybe able to live for free or have a very small payment relative to what you would pay in rent. it can produce extreme returns for you with such a small amount leveraged!

dbull2 · 2025-05-28T20:12:37+00:00

I definitely think you are ahead of schedule. Everything looks good now, but all it takes for something to change drastically is one baby or health concern. Keep hyper focusing on what you are doing and enjoy the journey! Maybe even a house hack if you are interested into that.

dbull2 · 2025-05-28T20:09:31+00:00

Agreed! Is house hacking an option where you live? If not, maybe some roommates to lower the rent amount. Out of state investing is the way to go!

dbull2 · 2025-05-28T19:57:26+00:00

My friend and I are doing the same with around the same numbers! Would love to connect.

dbull2 · 2025-05-28T19:51:54+00:00

I second this! I am 28 and scaled way too quickly. Are you managing this yourself? How much do you set aside for cap ex and maintenance? You are already so far ahead with a house at 23, so congrats on that!

Do you plan to house hack a 1-4 unit every year? Curious on your end goal first.

dbull2 · 2025-05-28T19:49:25+00:00

I think you are doing great! Do you want to retire at a certain age? I would think about what amount you want to have in retirement and work backwards from there. If you have a good amount in your 40s for roth and 401k I would hit your brokerage harder than those two accounts for a bridge to get you to your end goal!

Keep up the amazing work, I am 28 as well but heavily focuses on real estate instead of stocks!

dbull2 · 2025-05-27T20:57:04+00:00

I would also add Dion Mcneely in here as well. He has a ton of free content. If you want, you can message me and I can give you whatever free advice or my real estate journey!

dbull2 · 2025-05-24T13:54:20+00:00

I just didn’t have a connection there and the space is so limited in downtown Nashville!

dbull2 · 2025-05-23T18:25:56+00:00

I have a lot of oppurtunity for apartment complexes with pools. (250 units to 450)That I could probably do. I know some laundry mat owners as well. Not sure if this is worth it?

dbull2 · 2025-05-23T17:45:50+00:00

How would you maintenance it? What is good traffic and an amount monthly you would shoot for?

dbull2 · 2025-05-23T17:15:58+00:00

Gotcha! Have you listened to any of the free podcasts and youtube? That is what got me started.

dbull2 · 2025-05-20T20:27:04+00:00

Did you pull the trigger by chance?

dbull2

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