Hardship Distribution Changes May Warrant IRS Clarification

Overview


Sarah Engle told attendees of a webinar hosted by McDermott that it is not clear if a change approved by Congress to retirement plan hardship distribution rules allowing plan participants to begin contributing to their plan immediately after a distribution is mandatory or permissive. “The way they’ve drafted this, it looks like this change may be permissive,”she explained, adding that the change also appears optional.