LoanFrom401k.com is not a financial advisor. We provide educational tools and insights to help you make informed financial decisions.

Calculators

401(k) loan vs SPY return

See how your money really works for you! 💡 Our 401(k) Loan vs. SPY Investment Calculator lets you compare the true cost of borrowing from your retirement account versus investing that same amount in the S&P 500 (SPY). Instantly visualize potential growth, interest paid, and opportunity gains — so you can make smarter financial moves with confidence.

Mortgage payment calculator

Unlock the power of smart home financing! 🏡 Our Mortgage Payment Calculator helps you instantly see your monthly payments, total interest, and payoff timeline — all in one glance. Adjust loan terms, interest rates, or down payments to find the perfect fit for your budget and dream home.

“Can I afford this house?”

Wondering if your dream home fits your budget? 🏠💰 Our “Can I Afford This House?” tool gives you instant clarity! Just enter a few details to see how your income, expenses, and mortgage terms stack up — helping you find the sweet spot between dream and reality before you buy.

Determine total cost of owning the home

The total cost of home ownership goes beyond the price you pay for the property. It includes the interest paid to the bank over the life of your loan. Comparing different mortgage terms helps you see how loan duration and interest rates can significantly affect your overall cost — empowering you to make a smarter, more informed decision.

Extra mortgage payment

Make your money work smarter. See how adding a little extra to your monthly or annual mortgage payments can help you pay off your loan years earlier and save thousands in interest. Our calculator shows exactly how much time and money you can save by making extra principal payments.

Refinance calculator

Wondering if refinancing your mortgage makes sense? Our Refinance Calculator helps you compare your current loan vs. new terms, showing how much interest you’ve already paid, how much more you’ll pay after refinancing, and whether it’s a smart financial move for your situation.

 Should I put my excess money to Roth IRA or to mortgage principal?

Discover which path helps you build wealth faster — investing in a Roth IRA or paying down your mortgage principal. Our calculator shows how your money can grow in tax-advantaged retirement savings versus how much interest you’d save by reducing mortgage debt early.
Make data-driven decisions with clear projections, side-by-side visuals, and personalized insights — all designed to help you maximize your long-term financial benefit.

Rent or Buy?

Deciding whether to rent or buy shouldn’t feel overwhelming. This smart, data-driven Rent vs Buy Calculator breaks down every cost, every benefit, and every hidden detail—so you can clearly see which choice builds more wealth for your future. Compare cash flow, equity growth, total cost of ownership, and investment potential—all in one simple, beautiful dashboard.

“Can I afford this house?”

Wondering if your dream home fits your budget? 🏠💰 Our “Can I Afford This House?” tool gives you instant clarity! Just enter a few details to see how your income, expenses, and mortgage terms stack up — helping you find the sweet spot between dream and reality before you buy.

Frequently Asked Questions

What is a 401(k) loan?

A 401(k) loan allows you to borrow money from your own retirement savings. You repay the loan—with interest—through payroll deductions. Unlike traditional loans, the interest you pay goes back into your 401(k) account, effectively paying yourself.

How much can I borrow from my 401(k)?

Typically, you can borrow up to 50% of your vested balance or $50,000, whichever is less. However, the exact limit and rules depend on your employer’s plan, so it’s important to check your plan’s loan policy.

What are the pros of taking a 401(k) loan?

 

  • No credit check required

  • Lower interest rates compared to personal loans or credit cards

  • You pay interest to yourself, not a bank

  • Quick access to funds in financial emergencies

 

 

What are the cons of taking a 401(k) loan?

 

  • Loss of investment growth while funds are withdrawn

  • Risk of taxes and penalties if you leave your job before repayment

  • Reduced retirement savings if repayment isn’t completed

  • Double taxation on the interest portion when you eventually withdraw in retirement

 

What happens if I leave my job before repaying the 401(k) loan?

If you leave your job—voluntarily or not—the outstanding loan balance typically becomes due quickly (usually within 60–90 days). If you don’t repay it, the remaining amount is treated as a taxable distribution and may incur a 10% early withdrawal penalty if you’re under 59½.

How is a 401(k) loan different from a traditional loan or credit card?

A 401(k) loan uses your own savings as collateral, so it doesn’t affect your credit score. Traditional loans rely on lenders and credit checks. However, with a 401(k) loan, you risk losing retirement growth and potential tax consequences if not repaid

Is taking a 401(k) loan a good idea?

It depends on your situation. A 401(k) loan can make sense for short-term needs or debt consolidation, but it may not be ideal for long-term borrowing or luxury purchases. Our calculators can help you compare the true cost of a 401(k) loan versus investing in the S&P 500 (SPY) or taking a home loan.

Can I take more than one 401(k) loan at a time?

Some plans allow multiple loans, but others restrict you to one outstanding loan at a time. Always confirm with your plan administrator, as taking multiple loans increases repayment pressure and limits your savings growth.

How does borrowing from my 401(k) affect my retirement?

When you borrow, that portion of your savings stops earning potential market returns. Even though you repay with interest, the overall opportunity cost can reduce your retirement balance. Use our Loan vs SPY comparison tool to see the long-term impact.

How can I decide between a 401(k) loan, home loan, or investing?

The right choice depends on your goals, risk tolerance, and financial health. LoanFrom401k.com offers calculators and tools that compare:

  • The cost of borrowing from your 401(k)

  • The potential growth if invested in SPY

  • The monthly payments on a mortgage or personal loan
    These insights help you make smarter, data-driven financial decisions.

Contact us

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About us

At LoanFrom401k.com, we empower you to make smarter financial decisions by revealing the true value of your retirement savings. Our mission is simple — to help you understand the impact of borrowing from your 401(k) versus investing those funds for long-term growth.