I am worried too that I will lose all my money in my 401k with this economic depression. What should I do. I withdraw it, I know I will get penalized. I think the penalty is 10%. However, I agree with Bill, it might be better to pay the 10% penalty rather than losing all the money I invested.

Actually, it\'s true, it might not be a bad idea to hire a financial adviser. He/she would be able to give us expert advise on whether to continue contributing to our 401k or withdraw everything. My friend actually withdrew all his money from his 401k and paid a penalty. He used the money to buys stocks. He said now is the right time to buy because economy is down. It\'s true though, buy low and sell high. But I\'m kinda scared and don\'t want to risk the money I put into my 401k.

I think you\'re right. I\'m trying to set an appointment with a financial adviser to get recommendation on how I should handle my 401k in this kind of market. I want to withdraw my money. I\'ll be retiring soon and don\'t want to lose more money.

It\'s really sad that our economy is getting worse. Time are really tough now so there\'s no way I will risk my 401k. I will close my account and get my money to avoid losing more. I think I made enough for my retirement years. My advise, if you think you made enough profit, don\'t be greedy, just withdraw your money, otherwise you\'ll end up losing everything in this kind of market.

The economic condition of our country is very depressing. Specially this weeks wall street condition with the bankruptcy of Lehman Brothers, sale of Merril Lynch and the AIG bailout. Now is the time to be very cautious of our investments, specially our 401k. We need our 401k funds for our retirement and I\'m scared too of losing all the money I put into that, plus the money from my employer. I don\'t know about you guys, but I think I\'ll just withdraw the money and put it in a cd account to be sure that my money is secured. I don\'t mind getting a small amount of interest as long as my money is secured. I\'d rather pay the 10% penalty for early withdrawal than losing more.

I am really worried about our economy. It\'s getting worse! I\'ve been watching my 401k and I\'m losing money. I think I\'m better of withdrawing the funds and transferring it to my cd account. I know the interest is not high, but at least I\'ll gain something compared to losing all my money in this kind of market! Thanks for the idea msmith