Penalty On Distribution

[BOB W]

Has anyone heard of an exception for a premature distribution (code 1) for hardship. The hardship was to pay a mortgage the was behind 5 months.

Yes I know they should of renegotiated with their lender, but this was early in 2008.

[S T]

Withdrawal

from 401K - IRA, etc.

I don't think there is a "hardship" exception for mortgage, but it would help narrow the search if we knew what type of plan the t/p withdrew from.

Sandy

[BOB W]

from 401K - IRA, etc.

I don't think there is a "hardship" exception for mortgage, but it would help narrow the search if we knew what type of plan the t/p withdrew from.

Sandy

It was from a Laborer's Union Annuity. I was thinking that maybe the new stimulas had a provision for such an exception...???

[David1980]

Probably is an exception for being able to take money out of the 401k while still employed with the company. So an exception for the policy, rather than an exception for tax.

[BOB W]

Probably is an exception for being able to take money out of the 401k while still employed with the company. So an exception for the policy, rather than an exception for tax.

Dave & ST thanks for your replies. Isn't it strange when one goes fishing for answers that aren't there.......................