401K distributions at 55

L1: 401K distributions at 55I am 53 and leaving my employer. If I leave my 401 with current employer and then separate from future employer at 55 or 56 or 57 or 58, may I come back to this 401 and make withdrawals without penalty?2004-06-17 07:36, By: Bob, IP: [148.8.100.74]
L2: 401K distributions at 55Short answer… No.
The exception reads something like… Distributions made to you after you separated from service with your employer, if the separation occurred after you reached age 55. 2004-06-17 07:49, By: Gfw, IP: [172.16.1.71]

L2: 401K distributions at 55Hello Bob:
The direct answer to your question is no. However, there is a solution. Select your next employer (B) with a keen eye towards their 401(k) plan provisions looking for two attributes:
1. They support periodic distributions as a plan feature.
2. They support “rollovers”; actually a “rollin” in this case from prior plans.
Then, go get yourself employed; perform a trustee-to-trustee transfer of 401(k) assets from plan A to plan B; quit employer B when it suits you in any year in which you will attain age 55 or greater; then commence penalty free distributions from plan B.
This is nothing more than a “switch the money from pocket A to pocket B” excercise, but is required to make the process work.
TheBadger
wjstecker@wispertel.net
2004-06-17 07:52, By: TheBadger, IP: [66.250.23.21]