Can I Use 401(k) for College Without Penalty?

Can I Use 401(k) for College Without Penalty?

Yes, you can use funds from your 401(k) and avoid an early withdrawal penalty if the distribution is based on hardship—that is, it’s an immediate and heavy financial need. Tuition and related educational fees and expenses are named expenses that can be immediate and heavy, per the Internal Revenue Service (IRS).8

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