Is withholding required on 401(k)

Posted by dpb on September 22, 2008, 3:03 pm

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Tried to make a withdrawal (over 59.5 so no issues of penalty) from a
small 401(k) from a (relatively) short employer.

Was informed it was "the law" that would have to withhold 25%.

When informed other firms didn't require that, of course, the telephone
robot couldn't do other than read the supplied script and claim
infallibility.

This is internal procedure and subterfuge of using a convenient whipping
boy of the IRS as an excuse rather than reality, correct?

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Posted by dpb on September 22, 2008, 3:09 pm

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dpb wrote:
...
dang! Pilot error! Wrong bloody group, sorry... :(

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