A profit sharing plan, or 401K plan, is a type of retirement plan run by businesses for their employees. Usually, you make contributions into the plan, and your employer also contributes to the plan. If you suddenly need to pay unexpected bills, you may be considering making a withdrawal from your profit sharing plan. If your employer allows early withdrawals, the procedure for doing so is fairly straightforward.
Step 1
Contact your plan administrator -- usually your employer -- and ask if you are allowed to withdraw the funds. Some administrators may allow early withdrawal for hardship reasons like medical bills, while other plan administrators may not allow withdrawals at all unless you are no longer employed by the company.
Step 2
Get a withdrawal form from the plan administrator and fill it out. In many cases, you won't have to provide proof of hardship, if that's the reason for your withdrawal.
Step 3
Cash the check when you receive it or deposit it into your bank account.