Will taking $4000 out of a 401K for an emergency affect someone recieving social security benefits?
L F asked:
My brother is deaf and has been recieving SS Benefits for 8 months now. He had to take $4000 out of his 401K for some dental work and to fix his car. I want to know if him using this money will make him ineligible for Social Security benefits, since we know one can only make a certain amount of money working while they are recieving Social Security.
Jacqueline
My brother is deaf and has been recieving SS Benefits for 8 months now. He had to take $4000 out of his 401K for some dental work and to fix his car. I want to know if him using this money will make him ineligible for Social Security benefits, since we know one can only make a certain amount of money working while they are recieving Social Security.
Jacqueline
Pearl
If your brother is getting Social Security Disability benefits and not Supplemental Security Income then the withdrawal will have NO affect on his Social Security Disability. Social Security does not consider a 401k withdrawal to be income from working or self-employment.