Do you have to wait to be exactly 59 1/2 to withdraw from a 401(k)?

While you don't have to wait to be 59 1/2 to withdraw from a 401(k), it's good to do so because the IRS levies a penalty fee on those who make early withdrawals. Other assets should be used to prevent making an early withdrawal and incurring a 10 percent fee.

Depending on how much is withdrawn from the account and the age of the account, you can make a withdrawal from a Roth IRA account without incurring a penalty. One caveat is that withdrawing money from a Roth IRA compromises the account's overall growth capability. Even if you have a 401(k), it's a good idea to invest in a Roth IRA as well.