Jun 9, 2025 · What Is an In-Service Withdrawal? An in-service withdrawal occurs when an employee takes a distribution from a qualified, employer-sponsored retirement plan, such as a 401 (k) account, …

This FAQ discusses what 401 (k) plan in-service distributions are, what rules they're governed by, and how employed participants can access their accounts.

In most 401 (k) or 403 (b) plans, employees can take a distribution of their benefits upon employment termination. Some employers also allow in-service distributions, enabling employees to withdraw …

Mar 6, 2024 · Generally, 401 (k) plans can’t allow in-service distributions from pre-tax and Roth employee contribution accounts before age 59 ½. But withdrawals from these accounts are available, …

Feb 8, 2023 · You can typically avoid the 10% penalty through an in-service, non-hardship withdrawal. Some 401 (k), 403 (b), and 457 plans permit such distributions for plan participants who are still …

Jan 3, 2025 · An in-service withdrawal refers to the process of taking a distribution from a retirement plan like a 401 (k) before reaching the normal retirement age or leaving employment, subject to …

Nov 12, 2025 · Generally, you can’t withdraw from your pre-tax or Roth elective deferral accounts in your 401 (k), 403 (b) or 457 (b) plan before age 59½ if you’re still working.

Oct 26, 2023 · What is an in-service distribution? An in-service distribution allows an employee with a company-sponsored 401 (k) plan to make a withdrawal or rollover from that plan while they are...

Jul 11, 2023 · In-service distributions refer to withdrawals of money or assets from a retirement account by an employee who is still employed by the same company. These distributions are allowed under …