- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Retirement tax questions
I am sorry for the passing of your grandmother.
The IRS definition of a hardship is specific and is requested from your employer at the time of the withdrawal. Generally, you would demonstrate a hardship need to your employer and they would approve the distribution according to plan rules. If you received a 1099-R, enter it as it is reported as this form is also issued to the IRS.
Although hardship withdrawals are permitted for funeral expenses for you, a spouse, or your dependent, there is no exception to waive the penalty for those expenses. See@dmertz comment below
[edited 1/23/17]
https://ttlc.intuit.com/questions/1901285-can-i-make-a-hardship-withdrawal-from-my-401-k
https://www.irs.gov/retirement-plans/retirement-plans-faqs-regarding-hardship-distributions#2
**Mark the post that answers your question by clicking on "Mark as Best Answer"