I am in H-1B Visa status ( Foreign Employee ) working in US . I am planning to invest in 401K. If I go back and live permanently in my home country someday, can I still withdraw my 401K contribution when I reach retirement age.

I understand this 401K is indeed privately funded ( unlike Social Security ).

Please advise .

Dear George,

To answer your question, yes a foreign subject working in the US making a 401k contribution is entiled to make a withdrawal at the retirement age.

The remittance overseas is perfectly legal subject to the the applicable taxes depending on when a distribution is made.

Remember, this withdrawal would be subject to applicable US tax at the time of withdrawal.

A premature distribution would be subject to a 10% penalty when distribution starts prior to AGE 59 1/2.