One thing to remember, there are a number of references available to try to define and determine exactly how to apply the exception for separation of service. They do not all agree as seen in these answers to your question. Plus, speaking for myself, I am not qualified to give you legal advice regarding your tax situation.
The bottom line is that when you use TurboTax, you are responsible for the information you include with your return and the application of exceptions you are using. In the unlikely event your return is audited, then the auditor may or may not agree with your interpretation of the exception. They could have the same resources cited here, or they may have other resources as well.
Just as an example, here is another source interpreting the exception for separation of service:
Watson vs IRS
An excerpt:
Moreover, the following legislative history regarding the age 55 exception supports our conclusion:
In all cases, the exception applies only if the participant has attained age 55 on or before separation from service. Thus, for example, the exception does not apply to a participant who separates from service at age 52, and, pursuant to the early retirement provisions of the plan, begins receiving benefits at or after age 55.
@marctt
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