• 10% early withdrawal penalty and 20% tax withholding waived
• $100,000 limit across all plans and IRAs
• Includes distributions from eligible retirement plans between January 1^st and December 31^st 2020.
• Option to have income taxed over three years with taxpayer ability to recontribute to any eligible retirement plan/IRA within three years regardless of that year’s cap
• Participants self-certify that they are impacted

 
 
Coronavirus-related Loans*:

• Loan limit increased to the lesser of $100,000 or all of vested account balance
• Repayment due dates between the date of CARES enactment and year-end – are delayed for one year
• Participants self-certify that they are impacted

 
*Defined as:

• Is diagnosed with COVID-19;
• Whose spouse or dependent is diagnosed with COVID-19;
• Who 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 as determined by the Treasury Secretary.

 
Suspension of Required Minimum Distributions (RMDs):
For 401(a), 401(k) 403(a), 403 (b) and governmental 457(b) plans and IRAs, temporary suspension of:

• Annual RMDs due in 2020
• Initial RMDs still due to be taken before April 1, 2020
• Participants who want to continue taking their distributions will be able to do so.

 
Additional Provisions
For 401(a), 401(k), 403(b), and governmental 457(b) plans and IRAs, temporary suspension of:

• Extension of the deadline to July 15, 2020, to contribute to IRA, HSA and MSA plans, as well as payments of the 10% penalty for premature distributions made in 2019
• The period for 2019 employer contributions to retirement plans that would normally be due is also extended until July 15.

 
Note: Not all vendors of plans with multiple vendors (such as most 403(b) or and a small number of governmental 457(b)) might allow all of the above transactions. Participants will need to verify with their vendor in advance.