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401(k) Withdrawals can be requested in the form of Parsonage (Non-Taxable Housing Allowance for Ministers). This type of withdrawal involves coordination between the Reliant Office and The Principal Financial Group. To pursue this option, you must be at least age 59 1/2 and you must be eligible to receive Parsonage. (Other restrictions may apply.) The Employee will need to fill out a special Distribution form (Reliant will provide this form upon request) as well as a current Parsonage Request form (also to be requested from and provided by Reliant).  The employee does not have to be retired to start receiving this benefit, as long as the employee is at least age 59 1/2. 

 If you exit employment with Reliant and have at least $5,000 invested in the 401(k) Plan with Principal Financial Group, and you would like to be able to withdraw parsonage at a later date from your retirement account, there are a few key guidelines to note:

  • Anyone exiting employemnt with Reliant with $5,000 or more invested in Reliant's Retirement 401(k) Plan with Principal has the option to leave their 401(k) funds in Reliant's 401(k) plan.  The funds will remain invested in the fund until the former employee requests withdrawls at retirement age. 
  • Leaving funds in Reliant's Retirement 401(k) Plan with Principal requires no action by the former employee.  This is the default choice for 401(k) participants exiting employment with Reliant ,who have more than $5,000 invested in the 401(k) Plan.
  • IMPORTANT - Do NOT convert 401(k) funds to an IRA with Principal or with another investment company if you want to pursue this option.  Taking the funds out of Reliant's 401(k) Plan will forfeit your ability ability to withdraw funds as parsonage at a later date.
  • Former Reliant employees who are then employed in another field of work do not have to retire from a ministry role to be eligible to receive parsonage withdrawals later in life.  As long as the former Reliant employee retained his/her ministerial Commissioning/Ordination and it was not revoked by the issuing  church, the former employee will be eligible for parsonage withdrawls from Relaint's 401(k) Plan.

Please contact Barb Seckler, Finance Manager, at 407-671-9700 ext 108 or barb.seckler@reliant.org if you are interested in pursuing this type of withdrawal. 

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