Hardship Withdrawals

[Guest Sara H]

Would anyone consider allowing a hardship withdrawal for a participant who would like to build a garage for his disabled wife so that she did not have to be "subject to the elements" when getting to and from her car?

[Guest Jim K]

It really depends on your Plan Document. If your document allows for a safe harbor hardship provision only, then your particpants will be limited to receiving a hardship unless it is for: Purchase of a principal residence, to pay for medical expenses, tuition or to prevent eviction. This will also require that the participant cease making employee contributions for a 12-month period. If your document references facts and circumstances hardships, then you may have the added flexibility.