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I have a Walmart 401K through Merrill Lynch. I have a problem in my head that is called Schizo-Affective Disorder. I am having trouble getting hardship withdrawal. I have been on loan since the week of thanksgiving. What I'm asking is can I close out the 401K? I have filed SSDI and will probably have to again get hardship. I have to turn in bills from the past that doesn't help now. I have talked to Merrill Lynch about hardship but I'm tired of the same old song. I have tried to talk to lawyers and stock personal when all I want is my money without losing my job first.
Welcome to JustAnswer
You will have full access to your funds in 401k plan if you separate from your employer.
The IRS allows hardship withdrawals - but your employer is not required to provide hardship withdrawals to employers.
If your 401k plan allows hardship withdrawals - only the administrator of your 401k may decide if you are eligible.
The IRS may not force the administrator of your 401k to provide the hardship withdrawal.
If you separate from your employment - you will be able to take full distribution from 401k plan.
Sorry if you expected a different answer. Let me know if you need any help.
Is there a way to get my 401K without leaving my job?
Only if your employer's plan has these provisions and only based on the approval of the administrator of your 401k plan..
There are two provisions:
- the hardship withdrawal, and
- loan from 401k
There are no other provisions.
Sorry if you expected a different answer.