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<< 1. I understand that if you retire you can have access to 401K funds w/o penalty starting at age 55 (don't have to wait until age 59.5 to get penalty-free distributions due to retirement at 55).

True; if you have a cooperative plan administrator for your 401(k) plan who will support periodic payments to you.

BUT, if you retire PIOR to 55 - say at age 54 -, can you start collecting at 55 or do you have to wait until 59.5?

You must then wait or pay the penalty. >>

A clarification. At any age you can do a SEPP from a 401(k) without penalty.

TMF ExRO
Phil Marti
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