Thanks for reading...

I am unemployed and using a portion of a 401k early withdraw to pay for health insurance? What are the limits involved? I took the withdraw in 2010 but I have been paying out of pocket for health care coverage since July of 2009 up until today.

What limits are you referring to? You have to pay income tax on the distribution from your 401(k) plus the 10% early withdrawal penalty. The 10% penalty may be reduced IF the money is used for medical purposes AND your medical expenses exceed 7.5% of your adjusted gross income. If this is the case you will have to file form 5329 to justify not paying the penalty.