Wash. Admin. Code § 415-501-510 - May I withdraw some or all of my accumulated deferrals in the event of an unforeseeable emergency?
Current through Register Vol. 21-18, September 15, 2021
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May I withdraw some or all of my accumulated deferrals in the event of an unforeseeable emergency?
(1) Notwithstanding any other provisions in this chapter, you may request all or a portion of your accumulated deferrals in the event of an unforeseeable emergency. Distribution will be made within sixty days following the department's approval of your request. The amount paid will be limited strictly to that amount reasonably necessary to satisfy the emergency need.
(2) For purposes of this plan, an unforeseeable emergency is severe financial hardship resulting from:
(a) A personal illness or accident or the illness or injury of a spouse or dependent who meets the definition in Section 152(a) of the Internal Revenue Code;
(b) Loss of your property due to casualty, including the need to rebuild a home following damage not otherwise covered by homeowner's insurance, e.g., as a result of natural disaster; or
(c) Other similar extraordinary and unforeseeable circumstances arising as a result of events beyond your control, such as:
(i) The imminent foreclosure of or eviction from your primary residence due to circumstances that were beyond your control;
(ii) The need to pay medical expenses, including nonrefundable deductibles as well as the cost of prescription drug medication; or
(iii) The need to pay funeral expenses of a participant's or beneficiary's spouse or dependent (as defined in Section 152(a) of the Internal Revenue Code without regard to Sections 152 (b)(1), (2), and (d)(1)).
(3) The circumstances that constitute an unforeseeable emergency depend upon the facts of each case, but, in no case will the department approve a distribution request if the financial hardship is or may be relieved:
(a) Through reimbursement or compensation by insurance or otherwise; or
(b) By liquidation of your assets, to the extent liquidation of such assets would not itself cause severe financial hardship; or
(c) By cessation of deferrals under the plan.
(4) Examples: The following types of occurrences are not considered unforeseeable emergencies: Sending your child to college or purchasing a home.
(5) If the department denies your request for distribution, you may request a review of that decision according to the provisions of WAC 415-08-015.
[Statutory Authority: RCW 41.50.050. WSR 20-17-006, § 415-501-510, filed 8/5/20, effective 9/5/20. Statutory Authority: RCW 41.50.050(5). WSR 14-10-045, § 415-501-510, filed 4/30/14, effective 6/1/14. Statutory Authority: RCW 41.50.050(5), 41.50.780(10), and 41.50.770. WSR 04-22-053, § 415-501-510, filed 10/29/04, effective 11/29/04. Statutory Authority: RCW 41.50.050(5), 41.50.770 and 41.50.780. WSR 02-02-059, § 415-501-510, filed 12/28/01, effective 1/1/02. Statutory Authority: RCW 41.50.770, [41.50.]780 and 41.50.050. WSR 00-11-104, amended and recodified as § 415-501-510, filed 5/18/00, effective 6/18/00. Statutory Authority: RCW 41.50.050. WSR 98-20-047, § 415-524-010, filed 9/30/98, effective 10/31/98. Statutory Authority: RCW 41.50.050 and 41.50.780(11). WSR 96-16-020, § 415-524-010, filed 7/29/96, effective 7/29/96.]