Understanding 401k Early Withdrawal

Summary

The user, a former member of the Plumbers’ and Pipefitters’ Local 162 Union, is trying to withdraw their 401k early. The union claims theres a 12-month waiting period for full distribution. The user has not received any official documentation confirming this. The user left the union voluntarily and in good standing. The user is fully vested but under 59.5 years old. The user has not sought legal advice or contacted the Department of Labors Employee Benefits Security Administration for guidance. The user has contacted the union for clarification but is still waiting for a response.

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You Do Not Have Hours of Service Within a * Consecutive-Month Period: You are eligible to apply for a Partial Lump Sum Distribution (*%) or a Complete Lump Sum Distribution from the Plan when you are available for work through the Local Union, but you do not earn Hours of Service within a * consecutive-month period for which Contributions are due on your behalf to the Plumbers’ and Pipefitters’ Local * Pension, Retirement Savings and/or Health Plans so this is the verbage in my 401k I just recently left the union trying to pull my 401k early and my hall is stating I have to wait 12 months to get * percent
You Do Not Have Hours of Service Within a * Consecutive-Month Period: You are eligible to apply for a Partial Lump Sum Distribution (*%) or a Complete Lump Sum Distribution from the Plan when you are available for work through the Local Union, but you do not earn Hours of Service within a * consecutive-month period for which Contributions are due on your behalf to the Plumbers’ and Pipefitters’ Local * Pension, Retirement Savings and/or Health Plans so this is the verbage in my 401k I just recently left the union trying to pull my 401k early and my hall is stating I have to wait 12 months to get * percent
Did you receive any written communication from the union stating the *-month waiting period for *% distribution?
No
No
No
I did not
Did you consult with a financial advisor or attorney before deciding to withdraw your 401k early?
No
I did not
Do you have a copy of the plan document or summary plan description for your 401k? It should detail the rules for distributions.
I do
What does the plan document or summary plan description say about early withdrawal of your 401k?
You Do Not Have Hours of Service Within a * Consecutive-Month Period: You are eligible to apply for a Partial Lump Sum Distribution (*%) or a Complete Lump Sum Distribution from the Plan when you are available for work through the Local Union, but you do not earn Hours of Service within a * consecutive-month period for which Contributions are due on your behalf to the Plumbers’ and Pipefitters’ Local * Pension, Retirement Savings and/or Health Plans
You Do Not Have Hours of Service Within a * Consecutive-Month Period: You are eligible to apply for a Partial Lump Sum Distribution (*%) or a Complete Lump Sum Distribution from the Plan when you are available for work through the Local Union, but you do not earn Hours of Service within a * consecutive-month period for which Contributions are due on your behalf to the Plumbers’ and Pipefitters’ Local * Pension, Retirement Savings and/or Health Plans
Did you leave the union voluntarily or were you let go? This could impact your eligibility for early withdrawal from your 401k.
Voluntarily
Did you leave the union in good standing or were there any unresolved issues?
Good standing
I left in good standing
What is the location of your Local Union *?
Dayton ohio
Dayton, ohio
Did you receive any official documentation from your union or 401k plan administrator about the *-month waiting period for *% distribution?
No
What is the exact date when you left the union?
August * *
What is the exact date you applied for the 401k withdrawal?
August * *
Did you receive any official communication from your 401k plan administrator about the withdrawal process and its terms?
I just received the withdraw form
What does the withdrawal form state about the terms and conditions for early withdrawal of your 401k?
It does not say anything
It says nothing about it
Nothing
The qithdraw form says nothing about it
What is the name of your 401k plan administrator?
Empower
Empower
Karen
What is the contact information for your 401k plan administrator, Empower?
*
What is the exact amount you are trying to withdraw from your 401k?
*.*
What is the reason you are trying to withdraw your 401k early?
I left the union im fully vested
Have you reached the age of *.*, which is typically the earliest you can withdraw from a 401k without penalties?
No
Have you considered the potential tax implications and penalties of an early withdrawal from your 401k?
Yes
Have you contacted Empower to discuss the terms of early withdrawal and the *-month waiting period mentioned by your union?
No
Have you considered seeking legal advice to understand your rights and options regarding the early withdrawal of your 401k?
No
Have you tried contacting the Department of Labor's Employee Benefits Security Administration for guidance on your situation?
No
Have you considered the potential tax implications and penalties of an early withdrawal from your 401k?
Yes
Did you receive any official communication from your 401k plan administrator about the withdrawal process and its terms?
No
Have you tried reaching out to the Plumbers’ and Pipefitters’ Local * Union for clarification on the *-month waiting period?
Yes
What was the response from the Plumbers’ and Pipefitters’ Local * Union when you reached out for clarification on the *-month waiting period?
Still waiting on response
What was the last date you earned Hours of Service within the Plumbers’ and Pipefitters’ Local * Pension, Retirement Savings and/or Health Plans?
May * *
What was the response from Empower when you contacted them about your early withdrawal?
I needed to contact my union
Have you contacted your union regarding this issue as suggested by Empower?
Yes
I did
Yes
What was the response from your union when you contacted them regarding the issue as suggested by Empower?
12 month waiting period
What was the last communication you received from your union regarding the *-month waiting period?
Havnt received any
Nothing
Have you considered seeking legal advice to understand your rights and options regarding the early withdrawal of your 401k?