QDRO
If a QDRO splits a 401(k) 50/50, can part of the funds be kept in the 401(k) and part be taken in a lump sum? If 100% is kept in the 401(k), at a later date can funds be withdrawn penalty tax free?
If a QDRO splits a 401(k) 50/50, can part of the funds be kept in the 401(k) and part be taken in a lump sum? If 100% is kept in the 401(k), at a later date can funds be withdrawn penalty tax free?
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Permalink Submitted by Alan - IRA critic on Tue, 2017-02-21 23:55
The alternate payee eligible for distributions directly from the 401k is always exempt from the early distribution penalty. However, eligibility to take these distributions are determined by the plan provisions.