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Retirement tax questions
Yes, sounds like it may qualify as an "emergency." An emergency will allow you to make a withdrawal, still subject to tax, but without the 10% early withdrawal penalty. You can take one financial withdrawal emergency per year, not to exceed $1,000. So, $2,000 of your withdrawal won't be eligible for penalty relief.
Here is some more information: What are the exceptions to the penalty for an early withdrawal from my 401(k)?
‎February 8, 2025
5:57 AM