Comments on: I cashed out my SIMPLE IRA

By: Leon

Leon — Thu, 28 May 2009 20:25:49 +0000

I am currently thinking of cashing out my small amount, $4000. I have an investment opportunity come my way and I believe it will make me more money than my 200 plus shares are making me right now. Before the RECESSION it was worth nearly $8500………I googled “cah out simple IRA” and your blog came up…..good luck to you and your family.

By: Станислав

Станислав — Sun, 24 May 2009 01:59:23 +0000

А вот интересно, а сам автор читает комментарии. Или мы тут сами для себя пишем?

By: Charles

Charles — Tue, 05 May 2009 17:27:58 +0000

It seems that you gave this some thought……I’m not sure if you made the right call or not. I stuggle with the concept of saving for retirement when I am struggling to manage my current debt.

I try to have the attitude that I am going to work and plan for the future attempting to make the most of what God has blessed me with; but with the faith that God will take care of my daily needs regardless of the good or bad decisions that I make.

By: Jake

Jake — Thu, 30 Apr 2009 01:22:28 +0000

I think what you did goes against everything ‘they’ tell you not to. However, I am beginning to think that what you did is 100% right. Especially if you have outstanding debt. The Bible says “owe no man anything” and “you are a slave to your lender”. I have ~14,000 in an IRA, and I am considering cashing out just to pay off my CC’s and pay off some of the mortgage. Remember those cute little graphs all the mutual funds have in their prospectus (turn $10,000 to $50,000 in 10 years?) I think it’s a joke. We are living in times where the dollar is just a piece of non-backed paper. Pay off debt, live in your means, and you will never regret it.

By: Anon

Anon — Mon, 27 Apr 2009 21:29:10 +0000

Many blessings to you
I wish you all the grace to deal with the challenges

By: Angie

Angie — Thu, 23 Apr 2009 22:15:01 +0000

Did you consider transferring the balance to an IRA? You could have done that. Also, why didn’t you wait until you ‘needed’ the money before cashing it in, instead of giving some (even a small amount) to the government for no reason? And you realize you bought high and sold low? Nothing seems smart about this decision.

By: Stew

Stew — Thu, 23 Apr 2009 17:11:29 +0000

We own a home in another state . . . we might sell it in the next month or we might do a deed in lieu in June.

By: Cheryl

Cheryl — Thu, 23 Apr 2009 15:15:10 +0000

I’m with DDFD. If you are in the hole $1200 each month, this money is simply a band-aid on a gushing wound. Most importantly, what is your plan going forward? You have only one choice as I see it: Increase your income or severely cut your budget. Sell anything that’s not tied down.

By: ZemoG

ZemoG — Thu, 23 Apr 2009 12:44:08 +0000

I just did it too. I am rolling over 5k and cashing 3k to pay my credit cards. Well I had 20k las March. And start my emergency fund.
You have 60 day to roll it over to a IRA account without penalty or taxes. Not until the end of the year. The SIMPLE IRA has a penalty of 25%.
I am hoping to put some money back to the new IRA account i have 50 day left. Visite my page and leave a note.

By: Barbara

Barbara — Thu, 23 Apr 2009 10:41:19 +0000

I agree with the decision to withdraw the IRA! We did the same thing a couple weeks ago for different reasons. Many say one should never withdraw a retirement account prematurely, but sometimes it does make financial sense…we all have different circumstances to deal with.

The frightening thing about this post is Stew´s blind faith that God will provide for his retirement. God gave us choice and wisdom so that we could take care of ourselves to the best of our ability, so to disregard that in favor of dependence on Him is not right. I sincerely hope Stew decides to plan for his future and set money aside, or he will probably be very sorry.

Good luck Stew!