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January 30, 2025
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If I took out a loan against my 401k is that considered a distribution

  • January 30, 2025
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    Best answer by xmasbaby0

    No.  A loan on your 401k is not a distribution, so you do not enter anything about the loan on your tax return.  If you do not re-pay it, then it becomes a distribution and they send you a 1099R at tax time.

    1 reply

    xmasbaby0Answer
    Employee
    January 30, 2025

    No.  A loan on your 401k is not a distribution, so you do not enter anything about the loan on your tax return.  If you do not re-pay it, then it becomes a distribution and they send you a 1099R at tax time.

    **Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**