Lindley Foods Enrollment - Web Book - Ready (1) - Flipbook - Page 6
ACCESS TO YOUR MONEY
Can I take money out of my account?
The federal government established qualified retirement plans to help you
prepare for retirement. For that reason, there are certain restrictions
regarding withdrawals and distributions. Remember to consider the tax and
long-term savings implications of taking money out of your account,
especially those prior to age 59 ½. You may be able to withdraw money in
these events:
PLAN HIGHLIGHTS
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Immediately after your employment terminates
Normal Retirement
Rollover account at any time
Hardship - subject to the IRS Safe Harbor Guidelines
In-service – after reaching age 59 ½,
Death-Your balance will be paid to your designated
beneficiary(ies)
Generally, distributions must begin after you reach age 73 if you have
terminated employment.
Can I borrow money from my account?
No, loans are not allowed.
What if I leave my Employer?
You generally have several options:
You can roll over your balance into an IRA or a new employer Plan, if allowed,
and keep the money tax deferred.
If your vested balance exceeds $5,000, you can leave your money in the Plan
tax deferred.
You may receive the vested balance in cash. You will be responsible
for paying taxes and other penalties that may apply. Note that 20% of
your taxable distribution will be withheld for income tax purposes.
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