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DEMO CORPORATION PROFIT SHARING AND 401(K) PLAN

Hardship Provision


The Demo Corporation Profit Sharing and 401(k) Plan contains a Hardship Withdrawal Provision. You may be able to take an early withdrawal from your retirement account if you meet certain requirements.

You may only use your elective deferrals towards your hardship withdrawal. You may not withdraw any interest or gains earned on your elective deferrals. Company match and Company Discretionary contributions may not be used for hardship withdrawals.

Generally, Hardship Withdrawals are taxable income and subject to a 10% penalty for premature withdrawal of retirement funds. You may request that 20% federal withholding be made on your hardship withdrawal amount.

You must take advantage of the Plan Loan Provision before you can apply for a hardship withdrawal.

You can learn more about Hardship Withdrawals on the Notice of Hardship Withdrawals.

You may apply for a Hardship Withdrawal by completing an Application For Hardship Withdrawal. This is a one-page form. You may also be required to submit additional documentation to support the reason for your hardship request.

These forms are in Adobe PDF format, which will produce an exact copy from your printer. Most browsers have the Adobe Acrobat Reader plugin you will need, but if yours does not, you can download a free copy here:

get acrobat reader

To submit a form to the Demo Corporation Human Resources Department:

  1. Print the form, then fill out the paper copy.
  2. Deliver it in person to Justin Example at the Bigtown Corporate Office or mail it to Justin Example, Demo Corporation, One Demo Ave, Bigtown, NY 14111
If you have any questions about this Web site, please contact Justin Example at 716-555-5555 or 800-555-5555 Ext. 3103 or justin.example@demo.com.