As I understand it you can pull up to 10k without penalty.

Another option for you to consider woud be to convert your 401k into a self directed IRA,or if you already have an IRA, try that as well/instead.

Using the self directed IRA you can buy your home as an investment.

I WOULDN’T DO THIS.
The 401k is for retirement. Period. If you take money out now, it will hurt your retirement later.

I would do a loan with as little down as possible. Even a 100% loan (80/20).

However, i suggest that your total monthly payment isn’t more then 28% of your gross monthly incomes.

No.

I’ve heard of a 401K loan – never heard of using it as collateral.
Are you positive they didn’t do a loan from the 401K to get the down payment?

Goodness – who is buying your house that needs to have a 401K as collateral.
Sorry – but a lender can not come after 401K money in case the new buyer defaults.
A creditor CANNOT come after retirement assets.
(exception – roth)

Something is very wrong here.
/

1- YOUR company does not “return” your 401k money at all – the 401k plan is SUPPOSED to be administered by a 3rd party company like Fidelity or Vanguard
2-You should be getting quarterly statements from THAT company
3-if you have never seen a statement, I would call the IRS on your company – SERIOUSLY! they sound like they are violating major federal laws and scamming you from the start
4-If you do know which company is the 401k administrator, and you HAVE been getting regular statements and can access your account on the internet (should be available for just about ANY 401k plan anymore) – call them directly and have them do a direct rollover to an IRA for you – once the money has been withheld from your paycheck, your employer has no more than 10 days to deposit it into your 401k acct – after that – they have no more control or say over your funds

get all your former coworkers together and get this 401k situation addressed before they steal you all blind

you have to fill out paperwork to withdraw the money and will face a penalty for doing so (10% most likely)…..they do no automatically give this to you

They don’t just “return” it to you automatically. Read your 401(k) plan provisions. You can cash it out (unwise), roll it over into an IRA or (in some cases), leave it where it is. You have to make the choice and act on it.

Keeping your own records never hurts to verify record keeping. However, your employer should keep track of this for you.

When you retire, you will probably roll the Roth 401(k) accumulation into a Roth IRA and roll the before-tax employer contributions into a regular rollover IRA.

I believe a mixture of Roth and regular contributions is ideal. In retirement you will have some deductions and will be able to take some income at a low tax rate, therefore, a certain per-tax accumulation is good.

I notice you said, “I had it replaced.” I would take it back to where you had it put in and ask the repair people to complete their work, work isn’t finished till the light goes off.

if I had done this work, I would be looking for vacuum hoses that were left off or hoses that were frayed, and I would be re-examining everything again for carbon. good luck.

As I understand them, the Roth 401(k) provision applies ONLY to employee contributions. Any employer matching funds go into a separate account that essentially operates as a standard (pretax) 401(k) account. So I would think the plan custodian’s account statements will show those two separate accounts. There would be no need to track cost basis on the employer matches as it becomes taxable income when distributions on it are taken.

Talk to your plan administrator to confirm this.