Navneet Pahal

Navneet Pahal

About the Author :

Meenakshi JainNavneet Pahal CRPC ® Financial Advisor, is a Managing Partner at Pahal, Vora and Associates, a private wealth advisory practice of Ameriprise Financial Services, Inc. Visit www.pahalvoraandassociates.com, email: navneet.k.pahal@ampf.com, or Call: (619) 358-9893 for more information.

Should I use my 401(k) to fund my child’s college education?

Should I use my 401(k) to fund my child’s college education?

By Navneet Pahal You can, but it isn’t your best option. Your 401(k) plan should be dedicated primarily to your retirement. There are two primary drawbacks to using your 401(k) for college funding. First, if you withdraw funds from your 401(k) before you are 59½, you will owe a 10% premature distribution penalty on the withdrawal. This penalty is in …