Skip to main content
June 1, 2019
Solved

I was laid off and am over 50. Can I take my 401k without the 10% penalty?

  • June 1, 2019
  • 1 reply
  • 0 views
No text available
Best answer by NewGuy

The exception to the 10% penalty if you totally separate from service does not start until you reach age 55, unless you are a qualified public safety employee.  You can review all of the exceptions to the early withdrawal penalty at the below link.

https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-topics-tax-on-early-distri...


1 reply

NewGuyAnswer
Employee
June 1, 2019

The exception to the 10% penalty if you totally separate from service does not start until you reach age 55, unless you are a qualified public safety employee.  You can review all of the exceptions to the early withdrawal penalty at the below link.

https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-topics-tax-on-early-distri...


mwsnyderAuthor
June 1, 2019
Thank you, very helpful.  Since I am over 55 and was laid off, then I can take the distribution and not pay the penalty?