February 09th, 2018

Hardship withdrawal changes announced

Just in - The Bipartisan Act of 2018, passed on 2/9/18 has made the following changes to hardship withdrawals effective for plan years starting 1/1/19 or later:

• Employees taking hardship withdrawals may continue making 401(k) withdrawals.  The 6-month restriction on 401(k) deferrals will not be required.
• Hardship withdrawals will be allowed from QNEC, QMAC and profit sharing contributions.
• Loans are not required prior to taking a hardship withdrawal

Please contact me if you would like to discuss these provision changes.