You can take distributions from your IRA (including your SEPIRA or SIMPLEIRA) at any time. There is no need to show a hardship to take a distribution.Before age 59½, the IRS considers your withdrawal (also called a "distribution") from these IRA types as an early withdrawal, triggering a possible tax penalty. Yes. You do not have to withdraw your account when you leave state employment. Your retirement account continues as long as you have service credit. Guidelines for withdrawals. Withdrawals before age 59½. Withdrawals of Roth IRA contributions are always both tax-free and penalty-free. Early IRA withdrawals and early withdrawals from other qualified retirement plans are reported on IRS Form 5329. In general, it's when participants take money out of a traditional IRA or other qualified retirement plan before age 59½.