Your account is a 401(k) plan because of your summer job, and the sum of money is too tempting. It certainly is. However, taking out this money is a terrible decision. It can be compared to setting yourself on fire just to roast a marshmallow. 🔥
In case you take out this money, you will be penalized 10%, and the government will also charge you the income tax. In other words, you may lose nearly half of your money by the time it is taken out of the account. It is not a good idea at all.
What should also be considered is the fact that “the Rule of 55” is applied only to those who are over 55. You do not qualify since you are merely 18. In other words, the government decided to leave your money untouchable until you are ready to retire.
Another alternative is a 401(k) loan. However, it is risky because you take out this loan, and then you pay it back to yourself with interest. However, in case of unemployment, you need to repay this loan right away. Thus, you should not even think about it.
The best decision for you would be leaving this money in the account untouched and let them work. If you change your job, you can transfer it into an IRA. Compound interest will do its job.