[danans]

> Spending from your 401k is different than liquidating it

Define "liquidating". Do you mean moving all investments in the 401k to cash and equivalents? That seems sensible if you don't want any more market-risk exposure going forward. Withdrawing everything at once seems ill-advised because you'll get hit with high taxes unless your 401k balance is really small.

[toast0]

I would assume this means take a full withdrawal of the 401k and dump it into a checking account.

> Even right now a lot of people retire and then liquidate their 401k