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    joeyo2000's Avatar
    joeyo2000 Posts: 1, Reputation: 1
    New Member
    		  
    #1

    Feb 15, 2011, 10:18 PM
    Can I get in legal trouble for falsifying papers for a hardship 401k withdrawl
    ScottGem's Avatar
    ScottGem Posts: 64,966, Reputation: 6056
    Computer Expert and Renaissance Man
    		  
    #2

    Feb 16, 2011, 04:51 AM

    Possibly, it depends on the rules of your 401(k). If your plan ONLY permits a withdrawal if it's a hardship, then your company could consider that you are untrustworthy and terminate you.

    Did you actually do this or just thinking of it?

    Generally a hardship still doesn't change your tax liability or forego the 10% penalty. It just allows the plan to allow the withdrawal.
    Fr_Chuck's Avatar
    Fr_Chuck Posts: 81,301, Reputation: 7692
    Expert
    		  
    #3

    Feb 16, 2011, 05:38 AM

    Yes, it is fraud, and is a form of cheating on your taxes and a IRS violation.

    If caught there can be additional fines and penalties given
    excon's Avatar
    excon Posts: 21,482, Reputation: 2992
    Uber Member
    		  
    #4

    Feb 16, 2011, 06:17 AM

    Hello j:

    Anytime you're "falsifying" something, somebody is about to be tricked. They're NOT going to like it very much, and if you did it to ME, you betcha you'd be in trouble. I don't LIKE to be cheated. Do you??

    excon
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