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    dougsmart's Avatar
    dougsmart Posts: 1, Reputation: 1
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    #1

    Feb 19, 2009, 09:12 AM
    401K disbursment at 59 1/2 years old
    How much can you begin to withdraw from a 401K retirement profitsharing plan from work, at 59 1/2 years.
    Can you with draw all the funds.
    Can you only withdraw a certain percentage. Is there a penalty?
    ebaines's Avatar
    ebaines Posts: 12,131, Reputation: 1307
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    #2

    Feb 19, 2009, 09:24 AM

    In general you can take as much (or as little) as you like at age 59-1/2 without penalty. Just be aware that you will owe regular income tax on all withdrawals - both federal and state/local (if they have income tax where you live). Also, this assumes that you are no longer working at the job where the 401(k) account is - if you are still working there your employer may have rules restricting active emloyees from taking non-hardship distribution - check with the plan administrator to see.
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