Borrowing From A Qualified Plan

In times of economic contraction, retirement plan participants often look to their plan as a source of loans to help them through cash flow difficulties. This is especially so for the many taxpayers that have a large part of their savings tied up in retirement plans. If done properly, such loans can be made without adverse tax consequences, so long as they are repaid in a timely manner. Such loans will not be treated as a taxable distribution from the plan.......

Rubin On Tax