 TITLE: Should I Withdraw Money from My 401(k) or IRA? CONTENT: The Case for Pulling Money from Your Retirement Accounts\n--------------------------------------------------------\nIn some instances, however, taking money out of a 401(k) or IRA might be your best bet.\nFor example, if you've been laid off and lack an emergency fund or a backup plan, you could be struggling to pay rent, buy groceries and cover other necessities. In that situation, pulling cash from a 401(k) or IRA might be the only way you can keep a roof over your head and food on your table.\nKeep in mind that most financial advisors say these withdrawal and loan options should be a last resort.\nSpeaking of resorts, it's not a great idea to pay for nonessential expenses like a vacation with money from a 401(k) or IRA. Likewise, you should steer clear of a withdrawal or loan from your retirement account to buy new furniture or cover wedding expenses. First and foremost, your retirement account should be reserved for your retirement. It's best to save up for a vacation, new furniture or wedding by setting up a bank account solely for that purpose and carefully budgeting. END