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In Service Withdrawal


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Posted

Participant is 57, Plan NRA is 55. Can he withdrawal elective deferral money or does he need to wait until 59 1/2?

What is the earliest allowable NRA?

Posted

He'd have to wait until 59 1/2 for "Elective Deferrals". The NRA age withdrawal is for in-service distributions from pension (i.e. Money Purchase) plans; meaning you cannot take one until the earlier of age 62 or NRA.

Good Luck!

CPC, QPA, QKA, TGPC, ERPA

Posted

Assuming that the participant has not terminated employment or become disabled or have experienced a hardship withdrawal, the plan document may not allow the elective deferrals account to be distributed prior to attainment of age 59½.

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