[broiler]

I would just add that retirement plan contribution limit for 2005 is $42k and will be $44k for 2006.

Also, if you have a retirement plan that allows early distributions, there are ways to get the money out before 59.5 without paying the 10% penalty. The easiest way is through susbstantially equal payments that last for at least 5 years. There is also a financial hardship provision that I have seen used. You also don't have to take the money out until the year after you turn 70.5, so you have a very long time period to push off paying the tax on the money in the plan.