If I'm opening up a 401k for first time at 68 years old, is there any special waiting period seeing I'm over the 591/2 starting age to take it

Depends on your employment status and the rules of your specific plan. The IRS requires that you must start taking withdrawals by April 1 of the first year after either (a) you turn 70-1/2 or (b) you quit working, whichever comes later. However, the rules of your specific plan may actually require that you start distributions by April 1 of the year after you turn 70-1/2, even if you are still working. There may also be special vesting rules in your plan. So check with your plan administrator to see what the rules are.

Because I am 68 and setting up for the first time a 401k at my work, my question is, do I fall into the same rules as if I had this 401 k for a long time. If I quit a year from now can I still wait until I'm 70-1/2 to start taking contributions. My work contributes so even if I had this for a year its like free money from them.

Thank you

As I said before - check with your plan administrator for the specific rules of your plan. But in general if you quit a year from now (at age 69) you can wait to 70-1/2 before taking distributions UNLESS your company has some other rules in place. For example - many plans have a rule that if you leave and have a balance less than $5K they will automatically distribute the money (this is so they don't have to keep open a lot of small accounts for ex-employeess). It's good that your employer makes contributions for you but of course that would stop as soon as you are no longer an employee.