MMC Benefits Handbook
Receiving a Distribution
You can withdraw certain eligible sources of funds from your vested account while working (in-service withdrawals) or while disabled:
  • for qualifying financial hardships (Financial Hardship Withdrawal).
  • for any reason, once you reach age 59-1/2 (Age 59-1/2 Withdrawal*).
  • for any reason if you are entitled to long term disability benefits (Disability Withdrawal*).
  • for any reason if it is your after-tax account (After-tax Withdrawal).
  • for any reason if it is vested Company matching contributions (Employer Match Withdrawal).
  • for any reason if it is your rollover account, including Roth rollovers (Rollover Withdrawal).
  • for any reason if it is your MHRS Plan Account (MHRS Plan Account Withdrawal).
  • for any reason if it is your in-plan Roth conversion account (In-Plan Roth Conversion Account Withdrawal*).
* A withdrawal of Roth sources (including, where applicable, Roth 401(k) contributions, in-plan Roth conversion amounts, and rollovers of Roth contributions from other employer 401(k) plans, section 403(b) plans or governmental section 457(b) plans) will be considered a non-qualified distribution and earnings on those amounts will be taxable, unless (1) the withdrawal is made after you reach age 59-1/2 (or after you die or become disabled) and (2) you satisfy the required five taxable year period for a qualified distribution. The five-year period begins upon the earliest of the following: (i) your first Roth 401(k) contribution to the Plan, (ii) your first in-plan Roth conversion under the Plan, or (iii) your first Roth contribution to another employer's 401(k), section 403(b) or governmental section 457(b) plan if you made a direct rollover of Roth contributions from the other plan to this Plan.
In-Service withdrawals are not subject to a suspension of Company matching contributions.
You can take a loan (borrow) from your vested account:
  • and have up to two outstanding loans at a time.
  • for any reason.
When you leave the Company:
  • you are entitled to your vested account balance.
  • your account must be distributed if the vested account value is $1,000 or less, otherwise.
  • if your vested account value is more than $1,000, your account can remain in the Plan until April 1st of the calendar year after the year in which you attain age 70-1/2 when distributions must begin.