Sec. 214. Modification of rules relating to hardship withdrawals from cash or deferred arrangements
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/bill/113/s/1270/is/section-214·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Section 401(k), as amended by section 201 of this Act, is amended by adding at the end the following: For purposes of paragraph (2)(B)(i)(IV)— The following amounts may be distributed upon hardship of the employee: Contributions to a profit-sharing or stock bonus plan to which section 402(e)(3) applies. Qualified nonelective contributions (as defined in subsection (m)(4)(C)). Qualified matching contributions described in paragraph (3)(D)(ii)(I). Earnings on any contributions described in clause (i), (ii), or (iii).
A distribution shall not be treated as failing to be made upon the hardship of an employee solely because the employee does not take any available loan under the plan. In determining whether a distribution is made upon the hardship of an employee, the Secretary shall not take into account whether or not an employee makes elective or employee contributions under the arrangement for any period after the distribution. . Subclause
(IV)of section 401(k)(2)(B)(i) is amended to read as follows: subject to the provisions of paragraph (15), upon hardship of the employee, or . The amendments made by this section shall apply to distributions made after December 31, 2013.