Can the plan participants withdraw their discretionary matching contributions before they retire or otherwise leave their job with us?
The same withdrawal restrictions that apply to other employer contributions in a 401(k) plan apply to discretionary matching contributions. Employees may remove fully vested employer contributions only after reaching age 59 ½ or when they terminate employment with your organization. Discretionary matching contributions are not available for hardship withdrawal.
Related Questions
- What happens to any unused contribution? Why can the participants get a refund of their unused contributions at the end of the Plan Year?
- Can the plan participants withdraw their discretionary matching contributions before they retire or otherwise leave their job with us?
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