The CARES Act, signed into law on March 27, 2020, provides the opportunity to take a withdrawal due to adverse conditions created by COVID-19.
If you have money available for distribution, the law waives the 10% early withdrawal penalty for distributions up to $100,000 from qualified retirement accounts for coronavirus-related purposes made on or after January 1, 2020. In addition, income attributable to such distributions would be subject to tax over three years, and federal income tax withholding is voluntary. If you take a distribution, the law also allows you to recontribute the funds to an eligible retirement plan within three years without regard to that year’s cap on contributions.
A coronavirus-related distribution is one made to an individual:
1) who is diagnosed with COVID-19;
2) whose spouse or dependent is diagnosed with COVID-19; or
3) who experiences, or whose spouse experiences, adverse financial consequences as a result of being quarantined, furloughed, laid off, having work hours reduced, being unable to work due to lack of child care due to COVID-19, closing or reducing hours of a business owned or operated by the individual due to COVID-19, or other factors that may be established by the government in the future.
You may submit a Coronavirus Related Distributions (CRD) online through your MyGuideStone account.
Please be aware your Plan Sponsor may make additional funds available from within your retirement account balance for a CRD. Therefore, if you have questions regarding available funds for a CRD or to request a paper application, please contact a Customer Solutions Specialist at 1-888-98-GUIDE (1-888-984-8433). Our Customer Solutions Specialists are available Monday through Friday between 7 a.m. and 6 p.m. CST for your convenience.