• Affected retirement plans
ii. 401(a) Plans
iii 401(k) Plans
iii. 403(b) Plans
• An otherwise premature distribution of up to $100,000.00 can be made if:
i. The individual was diagnosed with COVID-19; or
ii. The individual’s spouse was diagnosed with COVID-19; and
iii. The individual has experience- adverse financial consequences due to COVID-19
• With respect to COVID-19 related distributions
i. 10% penalty tax on the early distribution is waived
ii. One can allocate the taxable portion of the distribution over a three-year period
iii. The distribution is not subject to the 20% mandatory federal withholding tax.
iv. The COVID-19 distribution can be repaid within 3 years from the date of receipt..
• One has 180 days beginning on March 27, 2020 to take a loan which is capped at $100,000 less the value of any other outstanding loans.
• Required Minimum Distributions (RMD’s) are waived for 2020, including those that must be taken before April 1, 2020 but only to the extent not distributed before January 1, 2020