You can withdraw your contributions (that's the original money you put into the account) tax- and penalty-free. But you'll owe ordinary income tax and a 10% penalty if you withdraw earnings (i.e. gains and dividends your investments made inside the account) from your Roth 401(k) prior to age 59 1/2.

If you cash out your 401(k) plan you will have to pay the deferred income tax liability on all of the contributions and gains in the account at that time. Moreover, if you are under age 59.5, you will be hit with a 10% early withdrawal penalty, making it an even less attractive option.

Failure to repay your loan will be considered a distribution on the unpaid balance and you will owe taxes (at your marginal income tax rate). If you are younger than age 59-1/2, you will also owe a 10 percent early withdrawal penalty on the amount you have not paid back.

The loan generally cannot exceed 50 percent of your vested account balance or $50,000 within a 12-month period—whichever is less. You must repay the loan within five years (unless used to purchase a principal residence or you are on active military duty).

MassMutual: A Life Insurance & Financial Services Company.

MassMutual Pension Plan MassMutual offers a cash balance pension plan for employees.

Your contributions, and any matching contributions from your former employer for which you are vested, are yours to do with what you choose. That includes cashing out.