Turning 59 ½ is significant when it comes to your retirement account, as it is the age that the IRS permits most individuals to draw from their retirement accounts without the standard 10% penalty for early distribution. In other words, you are of "legal retirement age" in the eyes of the IRS once you reach age 59 ½ . Consequently, once you retire or leave your current employer after age 59 ½ you have the option to begin retirement income or withdraw from your GuideStone account without penalty. But keep in mind that the IRS may still require that taxes be withheld when you withdraw. Click here to learn more about the taxes you pay when you withdraw funds.

Also if you are still working, you may be able to access the funds in your account once you reach age 59½. Most employer-sponsored retirement plans allow current employees to withdraw a portion of their retirement or begin receiving limited retirement income once they reach age 59 ½. This is known as a "Limited Retirement Benefit". Most GuideStone plans provide a "Limited Retirement Benefit", but there are some who do not. For example, if you work at a SBC church, your full account balance is available for withdrawal without penalty after age 59½. Alternatively, if you work at an agency and your retirement plan has certain rules, you may have access to only a portion of your balance after age 59½.

Your employer's plan rules determine how much is available once you reach age 59½ while you are still employed. In some cases, all contributions and earnings (employer and employee) are available after age 59½. In other cases, some employers will limit availability to only employee contributions and will not permit the distribution of employer-provided funds until after you have retired or left the employer. Please contact your employer if you are unsure of your employer's plan rules.

For more information on the availability of your funds or to how to request a withdrawal, please click here or contact us.