Instead of code 1, the code in box 7 would be code 7 if you were over age 59½ at the time of the distribution from the 401(k). If you were under age 59½ at the time of the distribution but you separated from service from the company that provided this 401(k) plan in or after the year in which you reached age 55, the code in box 7 would be code 2.
