This may sound a fanciful scenario, yet recent events across Europe â including the looming independence referendum in Scotland â tell a very different story. Six days ago, the people of Spainâs most prosperous region, Catalonia, voted overwhelmingly for parties favouring the breaking away from Spanish rule.
1 If you are 55 or older and retired, you can withdraw from your TSP without being charged the 10% tax penalty (which is normally tacked onto early withdrawals) in addition to regular income taxes.
You can cash out your 401(k) before age 59 Â½ without paying the 10 percent penalty if: 1  You become completely and permanently disabled. 2  You incur medical expenses that exceed 7.5 percent of your gross income. 3  A court of law orders you to give the funds to your divorced spouse, a child, or a dependent.