Jerry, who is age 56, was just called into the President’s office at Napa Sunrise, Inc. He just learned that his position has been eliminated in the recent reorganization. While he is devastated, he thinks he may attempt to retire and work on his golf game. Jerry has a retirement plan at Napa Sunrise, which permits lump-sum distributions, and has accumulated some personal savings, but not enough to sustain him until age 65. Jerry also worked for KMA for 30 years and expects to receive a pension from KMA at age 65. He also expects to receive Social Security at age 67. Which of the following is correct?

a. Jerry cannot access his funds at Napa Sunrise prior to full retirement age for the plan

b. Jerry could take a distribution from Napa Sunrise, but it will be subject to ordinary income and subject to an early withdrawal penalty prior to the age of 59 ½

c. Jerry could begin taking substantially equal periodic payments, which would avoid the early withdrawal penalty, but he could not stop the payments until age 59 ½

d. Jerry can take any distribution permitted by the Napa Sunrise plan and avoid the early withdrawal penalty since he is separating from service at age 56.