How do you account for 401k $ in FIRE calcs

[Accountant]

I have approx 825k in 2 401k accounts, mostly non Roth.  If doing a fire calc do you account for a penalty for withdrawing before age floor?

[Montecarlo]

https://forum.mrmoneymustache.com/investor-alley/how-to-withdraw-funds-from-your-ira-and-401k-without-penalty-before-age-59-5/

Apparently you can withdraw penalty free, but I would check with an accountant first

[terran]

https://forum.mrmoneymustache.com/investor-alley/how-to-withdraw-funds-from-your-ira-and-401k-without-penalty-before-age-59-5/

Apparently you can withdraw penalty free, but I would check with an accountant first

No need to check with an accountant. There are very well established ways of accessing 401(k) money before 59.5. You'd hear about it hear first if that wasn't actually true.

[DadJokes]

https://forum.mrmoneymustache.com/investor-alley/how-to-withdraw-funds-from-your-ira-and-401k-without-penalty-before-age-59-5/

Apparently you can withdraw penalty free, but I would check with an accountant first

No need to check with an accountant. There are very well established ways of accessing 401(k) money before 59.5. You'd hear about it hear first if that wasn't actually true.

I think it was tongue-in-cheek, due to the OP's name.

[Montecarlo]

I think it was tongue-in-cheek, due to the OP's name.

I thought about the irony as I was posting, but my meaning was more literal, along the lines of “don’t believe everything you read on the internet and do your own research.”

[LightStache]

I treat them differently in two ways. 1) I apply tax drag factor to after tax accounts that I don't include in retirement account returns. 2) My current plan calls for Roth ladder conversions over about 20 years, and I apply a 20% effective tax rate to each annual conversion. So if $100K comes out of my traditional and over to Roth, $20K comes out of my after tax accounts to pay the tax man.

ETA tax drag.

[terran]

https://forum.mrmoneymustache.com/investor-alley/how-to-withdraw-funds-from-your-ira-and-401k-without-penalty-before-age-59-5/

Apparently you can withdraw penalty free, but I would check with an accountant first

No need to check with an accountant. There are very well established ways of accessing 401(k) money before 59.5. You'd hear about it hear first if that wasn't actually true.

I think it was tongue-in-cheek, due to the OP's name.

Hah, missed that.